A money market deposit account at an FDIC insured bank is not the same as a money market mutual fund. A money market deposit account at an insured bank has the same FDIC insurance coverage limits as a checking, savings and CDs does. Money market mutual funds do in fact have some exposure to investments risk and the principal on those accounts can be at risk, albeit very little risk. Therefore, the only reduction to the balance in your money market deposit account is through funds reduction when you access and spend money or bank charges assessed for normal account use. The balance is not at risk due to the bank’s investment performance.

No user commented in " If I open a money market deposit account at my bank with $50,000 is there any chance that I can lose part of my money or my balnc can dwindle if the bank invests this money is some investments that default? "

Follow-up comment rss or Leave a Trackback

Leave A Reply

 Username (*required)

 Email Address (*private)

 Website (*optional)