Best money market account rates today, January 1, 2026 (earn up to 4.1% APY)

Core Insights - The article discusses the current state of money market accounts (MMAs) and highlights the importance of earning competitive rates on savings as interest rates decline following recent Federal Reserve rate cuts [1][4]. Group 1: Current MMA Rates - The national average interest rate for money market accounts is 0.58%, but top rates can exceed 4% APY, comparable to high-yield savings accounts [3][8]. - Some banks are offering MMA rates above 4.50%, although rates above 7% are not available in the current market [8][9]. Group 2: Federal Reserve Rate Cuts - The Federal Reserve maintained a target range for the federal funds rate of 5.25%–5.50% until September 2024, when it cut the rate by 50 basis points, followed by additional cuts in November and December [4][5]. - As of December 2025, the federal funds rate stands at 3.50%–3.75%, leading to a decline in deposit account rates [5]. Group 3: Considerations for MMA - Money market accounts provide liquidity and easy access to funds, making them suitable for savers with short-term goals or those building an emergency fund [6][7]. - They are appealing to conservative savers due to FDIC insurance and the inability to lose principal, although riskier investments may be necessary for long-term savings goals [7].