Deposit accounts are foundational to banking. They allow consumers and businesses alike to spend, save, earn interest or be flexible with all three. Even better, deposit accounts are insured by the FDIC, meaning your money is safe and protected up to the legal limit.
In this Banking 101 post, we will walk you through the deposit accounts that we offer at Mabrey Bank and the advantages that each of them gives the customer. If you are interested in learning more or opening a deposit account, please stop by any of our 15 full-service locations across Oklahoma and speak to one of our expert bankers.
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Traditional Savings Account
This is your classic savings account that you can open at almost any bank across the United States. At Mabrey, these have low minimums to open, low to no monthly service fees and free statements. These accounts give you plenty of flexibility to move money around as necessary. For those wanting to set aside money for a future goal or large purchase or just to build an emergency fund, a traditional savings account is a great place to start.
At Mabrey Bank, it requires just a $50 deposit to open a traditional savings account and as long as your balance remains more than $100, we waive all monthly service fees. Additionally, you earn interest daily on every dollar in your account if you balance remains at $100 or more.
Money Market Account
A Money Market account, or MMA for short, is for customers with larger balances and more limited transactional needs. Like a traditional savings account, it requires a $50 deposit to open a Money Market account, but that is where the similarities end.
While you sacrifice some flexibility putting funds into an MMA, you can reap the rewards. At Mabrey, your savings in an MMA will earn a higher interest rate than funds in a Traditional Savings Account. You also have limited mobility with funds in your MMA, while its not to be used for daily spending, you can access your money in a pinch if necessary.
Certificates of Deposit (CDs) & CDARS
A Certificate of Deposit (CD) gives savers the highest earning potential of any deposit account. If you are unfamiliar with a CD, it is a time-based deposit account that offers steady, stable growth. As the customer, you and the bank enter into an agreement for you to leave a set amount of money in the bank for a specific time. At Mabrey that can be any amount over $2,000 for a period ranging from a few weeks to years.
That money has a fixed interest rate and specific date of withdrawal, known as the maturity date. These interest rates are higher than you could get for funds in a traditional savings account or MMA. However, these don’t offer any flexibility of movement during the CD term.
One variation of a CD is CDARS, or Certificate of Deposit Account Registry Service. This allows a customer to deposit more than $250,000, the maximum amount for FDIC coverage, and yet keep every dollar insured. Mabrey Bank divides those funds amongst other banks to keep insurance on the full amount while you get the convenience of dealing with only one bank and one statement.
Personal Checking Account
Don’t forget about a checking account as a deposit account. While not used for saving, most customers have money deposited into their checking accounts each month for daily use. While checking accounts don’t offer much in terms of interest, they are the most flexible account a bank can offer as far as transactions, deposits, transfers, etc. If it is a traditional checking account you have access to these funds at any time, any day.
At Mabrey Bank, we want to be sure our customers and businesses have access to a deposit account that fits their needs, both for short-term needs and long-term goals. Get in touch with us by calling our in-house Customer Service Team at (888) 272-8866 or stop by a branch and speak to a banker to learn more.