What type of account is FDIC-insured and offers regular access to funds while earning interest?

A Money Market Account (MMA) is a type of account that combines features of both savings and checking accounts. It typically allows for limited check writing and provides regular access to funds, which differentiates it from other savings accounts that may have more restrictive withdrawal rules.

One of the significant advantages of an MMA is that it typically earns a higher interest rate than a regular savings account, making it an attractive option for individuals looking to grow their savings while still maintaining liquidity. Additionally, like traditional savings accounts, MMAs are FDIC-insured up to the standard limits, which ensures the safety of the depositor's funds in the event of a bank failure.

In contrast, Certificates of Deposit (CDs) usually require funds to be locked in for a specified term in exchange for a higher interest rate, and checking accounts often do not earn interest at all, or if they do, it is typically at a much lower rate than savings or money market accounts.