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August 16, 2018

Earn Higher Returns on Your Savings with Premium Money Market Accounts

Premium Money Market Accounts

Premium money market accounts are deposit accounts offered by banks and other financial institutions to customers with significant minimum balances who want the highest interest rate available from a savings account. For prospering customers who want to avoid potentially risky stock or bond investments, yet still seek returns on savings and federal deposit insurance that cash holdings cannot match, a premium money market account may be a good choice.

Premium money market accounts are a type of money market account. The main difference in that they generate higher interest rates than ordinary money market accounts, interest rates that are generally markedly higher than traditional savings accounts.

Because interest is paid every cycle, these accounts feature the full power of compounding – an excellent way for customers to put their money work for them over the long-term.  

Higher minimum balances are required for premium money market accounts. There are also limits on the number of transactions during each billing cycle, including withdrawals.  

These accounts are best for customers who want available liquidity on their savings, yet do not need to make regular withdrawals and can leave the principal and interest largely undisturbed.

[Premium and ordinary money market accounts (both forms of bank savings accounts) should not be confused with money market funds, which are investments in short-term debt securities.]

Virginia National Bank (VNB) offers premium money market accounts that can meet our customers’ needs. We invite you to contact our experts today to learn more about VNB's account options.

The primary advantage is a higher interest rate, but there are other benefits too:

Secure Returns: The interest rate is not only high, but clearly defined and paid every cycle. This makes premium money market accounts more reliable than many stock market investments.

Safety: Like all bank savings products, premium money market accounts are insured by the U.S. Federal Deposit Insurance Corporation (FDIC). Within FDIC limits, your money is safe.

Ready Access: These accounts can be accessed several times each statement cycle without limits on withdrawals, providing liquidity as ready cash to cover unexpected expenses.

Easy Check-Writing: A certain number of checks can be written from these accounts in each statement cycle, so there is no need to transfer money from savings to checking.

Returns on savings are guaranteed and can grow as the interest compounds.

For customers who have accumulated substantial savings, premium money market accounts can potentially provide more effective ways of saving to meet longer-term goals. These include:

Life’s Big Purchases: Maybe it’s for new cars, dream vacations, school expenses or weddings, but the higher interest rates of premium money market accounts can potentially help you reach major life goals more quickly. These accounts can also be combined within other accounts to save for the real big-ticket items, such as primary or vacation homes and college tuition costs.

Rainy Day Funds: That premium money market funds have withdrawal restrictions can keep customers from depleting their accounts to satisfy life’s immediate desires. This can keep these funds securely tucked away for emergencies, when customers need that money most.

Premium money market accounts from VNB offer attractive interest rates, secure returns, safety and flexibility. We hope you will contact our experts to open one of these accounts today.

VNB PREMIUM MONEY MARKET ACCOUNT: DETAILS

•    Minimum opening deposit of $1,000
•    6 withdrawals allowed per statement cycle period
•    $15 per withdrawal after 6 withdrawals
•    $100,000 minimum balance to avoid monthly maintenance fee of $12
•    Interest paid monthly
•    Tiered premium interest rates: (Rates effective February 1, 2018, subject to change)
      Under $100,000 – same interest rates as Money Market Account
      $100,000 to $499,999.99 .75% APY*
      $500,000 to $999,999.99 1.00% APY*
      $1,000,000 to $4,999,999.99 1.11% APY*
      $5,000,000 and over 1.26% APY*
*    Annual Percentage Yield (APY)
•    Monthly statements
•    No transaction fee for the use of Virginia National Bank ATMs


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