Maximize your savings potential by choosing the right high-yield account to support your financial goals. Two popular options are Certificates of Deposit (CDs) and Money Market Accounts (MMAs). While both offer ways to earn interest on your funds, they serve different purposes depending on your financial goals. In this post, we’ll compare the key differences, pros and cons, to help you consider what choice may best fit your needs.
What is a CD?
A Certificate of Deposit (CD) is a time-bound deposit account where you agree to leave your money untouched for a set term—ranging from a few months to several years—in exchange for a fixed interest rate.
Pros of a CD:
- Higher interest rates than regular savings accounts or MMAs
- Locked-in rate for a fixed period, offering predictability even if market rates drop
- Deposit insurance for peace of mind
Cons of a CD:
- Limited access to funds during the term (early withdrawal may incur penalties)
- Less flexibility—once the rate is locked, you can’t benefit from rising rates
- Not ideal for emergency funds or short-term needs
Explore our CD options and see how you can lock in a competitive rate today.
What is a Money Market Account?
A Money Market Account (MMA) combines features of a savings and checking account. It typically offers a competitive interest rate and allows spending flexibility.
Pros of a Money Market Account:
- More flexibility than CDs—withdraw funds as needed
- Competitive interest rates
- FDIC insured & DIF Insurance, keeping your funds secure
- Good for emergency savings or short-term goals
Cons of a Money Market Account:
- May require a higher minimum balance to avoid a maintenance fee
- Some banks may have a limit on the number of transactions that can be preformed
- Interest rates are variable and subject to change without notice
- Lower earning potential compared to long-term CDs
Learn more about our Money Market Accounts —enjoy both flexibility and earning potential.
So, Which High Yield Savings Account Option Should You Choose?
It depends on your savings goals:
- Choose a CD if you can set funds aside and prefer a fixed, generally higher return over time.
- Choose a Money Market Account for flexibility and quicker access to your funds while still earning interest.
Some savers even use both—placing a portion in a CD for long-term growth and the rest in an MMA for short-term access. That way, you get the best of both worlds—growth for the future and access when you need it.
No matter which savings path you take, make sure you’re choosing a bank that puts your security first. At BankProv, every deposit is insured in full—both by the FDIC and the Depositors Insurance Fund (DIF)—giving you peace of mind that your money is protected above and beyond federal limits.
Unsure which option is right for you? Connect with our team or visit your local branch to explore opening a high-yield savings account and to create a strategy that fits your goals.
Start saving smarter today.
Open a CD | Open a Money Market Account