My paypal account now offers me a chance to make money off of the money i keep in paypal. Its a money market account. Does anybody have any information on these and what should I look out for?
A money market is usually extremely low risk, probably the same as having your money in a bank, and if your Pay Pal account pays no interest, it sure wouldn’t hurt to get a little extra interest. It most likely is a bank money market, and not a mutual fund money market. You might want to make sure it is federally insured, but then again is your Pay Pal account currently? (I don’t have one myself.) .
Paypal offers horrible rates on a money market account. Go to bankrate.com and find a better APR at a bank near you. A lot of times, they will offer a higher interest rate if you have a savings and MM account at the same time. Beware though, you can only withdraw 6 times per month (usually) from a MM account, and only write 3 checks/month. It kinda sucks if you write a lot of checks. You can also check into have a MM and a checking account linked so you can write all of your checks.