- September 11, 2023
- Posted by General Electric Credit Union
- 4 read
Harness Better Earnings with a Business Money Market Account
When it comes to managing business finances, entrepreneurs need accounts that balance growth potential, security, and liquidity. Business money market accounts check all these boxes and then some, which is why they’re a go-to savings tool for businesses. If you’ve considered opening one but need more convincing, use this guide to tip the scale.
The value of business money market accounts
1. Higher interest rates
One of the most attractive features of business money market accounts is the potential to earn more off your balance. Unlike traditional savings accounts, money market accounts have a higher interest rate. This allows entrepreneurs like you to grow funds at a faster pace. As a result, you may be able to hit business milestones and embrace opportunities in a shorter amount of time.
In general, deposits in eligible business accounts are covered up to $250,000 by the Federal Deposit Insurance Corporation (FDIC) for banks and the National Credit Union Administration (NCUA) for credit unions. Stability and security are paramount for any business, making this coverage crucial. With a business money market account, you’re not only saving smarter – you’re also saving with greater peace of mind.
- Use the NCUA’s Share Insurance Estimator to see if your business funds are fully covered.
3. Enhanced liquidity
Some savings vehicles, like business certificates, also grow your balance with a great rate. But certificates require a hands-off approach. Once you fund one, you can’t touch the money until the term ends. This makes them a reliable and structured way to save but could pose challenges for some businesses. It’s important to select a certificate term that’s realistic for you.
Business money market accounts provide entrepreneurs with the best of both worlds – access to funds and interest-earning potential. Daily operations, unforeseen expenses, and investment opportunities are all great reasons to keep capital liquid.
- General Electric Credit Union business members have access to cash through a network of nearly 100,000 fee-free ATMs nationwide.1
Bundle a Business Advantage Money Market Account (BAMMA) and checking account
If the idea of a BAMMA sounds good, the added power and convenience you could unlock by bundling one with a GECU business checking account will sound even better! Having both allows you to easily manage your cash flow between accounts and take advantage of Overdraft Protection Transfers,2 a free overdraft solution that transfers money from your BAMMA account to cover a charge if you don’t have the funds in your checking account.
In today's dynamic business environment, optimizing your savings strategy is vital for long-term success. GECU’s BAMMA offers liquidity, a competitive interest rate, and seamless account management through Online Banking and our top-rated mobile app.3 Now for a limited time, business members can earn 5.25% APY for the first six months with a minimum deposit of $25,000 (new money only).4 Contact our dedicated Business Services team to learn more and take advantage of this exclusive offer.