Frequently Asked Questions

How does a money market account work?

A Money Market account is a cross between a certificate and a checking and typically pay a higher rate of interest than regular savings accounts. Furthermore, because they're NCUA-insured for up to $250,000 per depositor, they're a very safe investment, as you don't risk losing any of your principal.
A Money Market account works very similar to a checking account. Members may make unlimited deposits, withdrawals and transfers. This account is an attractive option for members to earn more interest while also keeping funds readily accessible if their situation changes.

Why are they called Money Market Accounts? Is my money invested in stocks? What is a MMDA?

No, the funds aren’t invested in stocks, despite the name. A money market account (MMA) or money market deposit account (MMDA) is a deposit account that pays interest based on the strength of the financial institution's priorities. Travis Credit Union’s priority is to pay our members first, unlike Wall Street banks, which pay shareholders before account holders even though the financial strengths may be equal.

How easy is it to access my money? Is my money stuck in a money market account?

Easy! You’re allowed unlimited withdrawals. Access your money online, in-person or by using checks.

Are my funds tied up like Certificates?

No, your funds are not locked in for any period of time– you may withdraw funds at any time.

Are there any fees?

No. We don’t charge a low balance or maintenance fee, and there’s no fee to open an account.

How are savings and money market accounts different?

An MMA is more like a high-interest checking account. At Travis, we offer three Money Market Accounts for the best return on your savings. The more you invest, the higher the dividend-rate you earn.

Are money market accounts insured?

Yes! Your funds are insured by the NCUA up to $250,000 per depositor, per financial institution.

Can I rollover my 401(k) to a money market account?

There may be tax implications when rolling a 401k into a money market account. For specific information related to your individual needs, we encourage you to consult a tax professional or a TFS Financial Consultant.

What should I be asking to help me decide if an MMA is right for me?

Consider the following, and if the answers are “yes,” then an MMA may be right for you.

Do I want to make more money?
Do I usually keep this balance in my savings?
Will I be using any of the funds soon for a major purchase?
Would I like the convenience of a checking account but the benefit of a savings account?