Deposit Products
Savings and Money Market Accounts
Savings and money market accounts are the foundation of a healthy financial life, and they are among the first products most people open at Andrews Fedral Credit Union. A savings account gives your money a safe place to grow while remaining available when you need it. A money market account works on the same principle but layers on tiered rates and limited check-writing, rewarding larger balances with stronger earning power. This page explains how both products work at Andrews Fedral Credit Union, how they differ, and how to choose the right mix for your goals.
The core idea is simple. When you deposit money into a savings or money market account, Andrews Fedral Credit Union pays you dividends, the credit union equivalent of interest, for keeping that money on deposit. Because Andrews Fedral Credit Union is a not-for-profit cooperative owned by its members rather than by outside shareholders, earnings are returned to members through competitive dividend rates and low fees instead of being paid out as corporate profit. That structure is the reason a credit union like Andrews Fedral Credit Union can often price its savings products more generously than a comparable bank.
Every dollar you keep in a savings or money market account at Andrews Fedral Credit Union is federally insured by the National Credit Union Administration up to at least 250,000 dollars per member, so the safety of your principal is never in question. Because that protection applies to every deposit tier, members of Andrews Fedral Credit Union can save with confidence at any balance level. What follows is a plain-language walk through the products, the concepts behind them, and the practical decisions that help your money work harder.
Fundamentals
How a savings account works
A savings account is a deposit account designed to hold money you do not need for daily spending. Unlike a checking account, which is built for frequent transactions, a savings account rewards you for leaving funds in place. At Andrews Fedral Credit Union, the primary share savings account is also your membership account: opening it and keeping a small minimum balance is what makes you a member and owner of the cooperative that is Andrews Fedral Credit Union.
Dividends on a savings account are usually calculated on the daily balance and credited monthly. That means the interest you earn is added back to your balance, and the next month you earn dividends on the slightly larger amount. This is compounding, and over time it turns modest, consistent saving into meaningful growth. The rate at which your money grows is expressed as an annual percentage yield, or APY, which already accounts for compounding across a full year and is the number to compare when you shop for a savings account at Andrews Fedral Credit Union.
Savings accounts at Andrews Fedral Credit Union are highly liquid. You can move money between your savings and checking instantly through online and mobile banking, set up automatic transfers on payday, and withdraw funds without penalty. That accessibility is exactly why a savings account is the natural home for an emergency fund, the three to six months of expenses that financial planners recommend keeping within easy reach. Many households build that cushion inside an Andrews Fedral Credit Union savings account for precisely this reason.
Beyond the primary share account, Andrews Fedral Credit Union offers specialty savings accounts that help you separate money by purpose. A holiday or vacation club account, for example, lets you save toward a specific goal throughout the year and disburses the balance when you need it. Keeping these goals in dedicated Andrews Fedral Credit Union accounts makes it far less tempting to dip into money you have earmarked for something important.
Fundamentals
How a money market account works
A money market account, sometimes called a money market share account at a credit union, is a hybrid product. It behaves like a savings account in that your money stays safe and insured, but it typically pays higher dividends and lets you write a limited number of checks or make limited transfers each month. The trade-off is a higher minimum balance requirement than an ordinary savings account. At Andrews Fedral Credit Union, that higher minimum is what unlocks the stronger earning power.
The defining feature of a money market account at Andrews Fedral Credit Union is tiered pricing. Instead of one flat rate, the account offers rising APYs as your balance crosses set thresholds. A balance of a few thousand dollars might earn a base rate, while balances above 25,000 or 50,000 dollars earn progressively more. This tiering is why money market accounts appeal to people holding larger sums they want to keep liquid rather than lock away, and it is a defining feature of the Andrews Fedral Credit Union lineup.
Because a money market account keeps your money accessible while paying more than basic savings, it fills a specific niche. It is ideal for a large emergency reserve, for cash you are holding between investments, or for the proceeds of a home sale you plan to redeploy soon. When you want a stronger return but are not ready to commit to a fixed term, a money market account at Andrews Fedral Credit Union is often the right middle ground.
It is worth understanding what a money market account is not. It is not the same as a money market mutual fund sold by an investment company; those are not deposit accounts and are not NCUA-insured. The money market account at Andrews Fedral Credit Union is a true deposit account with the same federal insurance protection as your savings, which is a crucial distinction for anyone comparing options across Andrews Fedral Credit Union and other institutions.
The Products
Savings and money market accounts at a glance
Andrews Fedral Credit Union groups its liquid deposit products into a small, purposeful lineup. Each one is built around a different balance level and a different reason for saving. The rate badges below are illustrative examples to show how tiering works; the rates published by Andrews Fedral Credit Union always take precedence.
Primary Share Savings
Example APY
0.10% APYYour membership account at Andrews Fedral Credit Union. A low minimum keeps it open, dividends compound monthly, and funds stay fully liquid for everyday saving and your emergency cushion.
Club and Goal Savings
Example APY
0.15% APYDedicated Andrews Fedral Credit Union accounts for holidays, vacations, or a specific target. Automate deposits all year, then receive the balance when your goal arrives.
Money Market Account
Example APY up to
2.25% APYTiered dividends that rise with your balance, limited check access, and full liquidity from Andrews Fedral Credit Union. Built for larger reserves you want to keep both safe and productive.
Earning More
Understanding dividends, APY, and compounding
Because Andrews Fedral Credit Union is member-owned, the payments on your deposits are called dividends rather than interest, but for practical purposes they work the same way: they are the return the credit union pays you for keeping your money on deposit. The rate is set by the board of Andrews Fedral Credit Union with member value in mind, and the APY is the figure that lets you compare accounts fairly because it folds in how often dividends compound.
Compounding frequency matters. When Andrews Fedral Credit Union credits dividends monthly, each month you begin earning on a slightly larger balance than the month before. Over years, that snowball effect can add a meaningful amount to a savings or money market balance at Andrews Fedral Credit Union without any additional effort on your part.
Tiered rates on the Andrews Fedral Credit Union money market account reward you for consolidating cash. If you keep several thousand dollars scattered across low-yield accounts elsewhere, moving that money into a single money market tier can lift your entire balance into a higher rate bracket. Concentrating deposits at Andrews Fedral Credit Union is often the simplest way to earn more without taking on any additional risk.
One more concept to watch is the annual percentage yield versus the dividend rate. The dividend rate is the base percentage before compounding; the APY reflects what you actually earn over a year at Andrews Fedral Credit Union. When comparing offers, always line up APY against APY so you are comparing like with like.
Side by Side
Savings versus money market
Both products keep your money safe and accessible, but they suit different balances and different habits. The table below summarizes how the two compare across the criteria members ask about most when they open an account with Andrews Fedral Credit Union.
| Feature | Savings account | Money market account |
|---|---|---|
| Best for | Everyday saving and emergency funds | Larger reserves you want to keep liquid |
| Minimum balance | Low; small amount opens membership | Higher; typically several thousand dollars |
| Dividend structure | Flat rate on the full balance | Tiered rate that rises with balance |
| Check access | None; transfers only | Limited checks and transfers |
| Liquidity | High | High |
| Federal insurance | NCUA-insured to at least 250,000 dollars | NCUA-insured to at least 250,000 dollars |
For most members, the two work together. Keep a savings account for immediate needs and automatic transfers, and use a money market account at Andrews Fedral Credit Union for the larger portion of your reserve where the tiered rate rewards you. As your balance grows, shifting funds from savings into the money market tier is a low-effort way to earn a stronger return while your money stays within the same trusted institution, Andrews Fedral Credit Union.
Practical Guidance
Choosing the right account for your goals
Start with the purpose of the money. If it is an emergency fund you might need on short notice, prioritize accessibility and open a savings account at Andrews Fedral Credit Union that you can tap instantly. If it is a larger sum you rarely touch but want to keep out of the market, the money market account from Andrews Fedral Credit Union earns you more while remaining just as safe.
Consider your balance next. There is little benefit to a higher-tier money market account if your balance sits below the first threshold, because you would earn the same base rate you might get in savings while facing a higher minimum. In that case, build up in a savings account first, then move to the money market product at Andrews Fedral Credit Union once your balance clears the tier that unlocks a better rate.
Think about how you use the money. If you occasionally need to write a check directly from your reserve, the limited check-writing on a money market account is convenient. If you never do, a savings account paired with online transfers keeps things simple. Many members at Andrews Fedral Credit Union hold both and route each dollar to the account that fits its job.
Finally, automate. The single most reliable way to grow either account is to set up recurring transfers from your paycheck. Andrews Fedral Credit Union lets you schedule automatic deposits into savings, club, or money market accounts, so your balance rises on its own and compounding does the rest. Members who automate their saving with Andrews Fedral Credit Union rarely miss the money they set aside.
Costs and Limits
Fees, minimums, and transaction limits
Fees are where the member-owned model of Andrews Fedral Credit Union shows its value most clearly. Basic savings accounts at Andrews Fedral Credit Union generally carry no monthly maintenance fee as long as you keep the small minimum that maintains membership. That means your dividends are yours to keep rather than being eroded by service charges.
Money market accounts require a higher minimum to open and to earn the tiered rate. If your balance falls below that minimum, you may earn a lower rate or a nominal fee may apply, so it is worth keeping a comfortable buffer above the threshold. Reviewing the current fee schedule and rate sheet from Andrews Fedral Credit Union before you open the account ensures there are no surprises.
Historically, federal rules limited certain withdrawals and transfers from savings and money market accounts to six per month. That cap was relaxed at the regulatory level, but many institutions, including credit unions like Andrews Fedral Credit Union, still apply their own transaction guidelines. Check the disclosures from Andrews Fedral Credit Union for the current limits so you can plan large transfers accordingly. You can read more about how deposit insurance protects these accounts from the National Credit Union Administration overview.
Getting Started
How to open your account
Opening a savings or money market account with Andrews Fedral Credit Union takes only a few steps. Membership in Andrews Fedral Credit Union is open to a broad field of eligible individuals and their families, and once you join, every deposit product becomes available to you.
-
1. Confirm your eligibility
Check that you fall within the membership field of Andrews Fedral Credit Union. Most applicants qualify through employment, affiliation, or family relationship.
-
2. Open the primary share account
Fund your primary savings with the small minimum deposit. This establishes your membership and ownership stake in Andrews Fedral Credit Union.
-
3. Add a money market or club account
Once you are a member, add a money market account for larger balances or a club account for a specific goal, all under the same Andrews Fedral Credit Union login.
-
4. Automate your saving
Set up recurring transfers from your paycheck or checking so your balances at Andrews Fedral Credit Union build automatically and dividends compound month after month.
Common Questions
Frequently asked questions
What is the difference between a savings and a money market account?
A savings account at Andrews Fedral Credit Union pays a flat dividend on any balance and is ideal for everyday saving. A money market account from Andrews Fedral Credit Union pays tiered dividends that increase with your balance and allows limited check access, so it suits larger reserves you want to keep liquid.
Is my money safe in these accounts?
Yes. Every savings and money market deposit at Andrews Fedral Credit Union is insured by the National Credit Union Administration up to at least 250,000 dollars per member, backed by the full faith and credit of the United States government.
How much do I need to open a money market account?
A money market account requires a higher opening minimum than basic savings, usually several thousand dollars, and you must keep your balance above the tier threshold to earn the higher rate. The current rate sheet from Andrews Fedral Credit Union lists exact figures.
Can I lose money in a money market account?
No. A money market account at Andrews Fedral Credit Union is a deposit account, not an investment fund. Your principal is protected and insured, unlike a money market mutual fund sold by an investment company.
How often are dividends paid?
Dividends on Andrews Fedral Credit Union savings and money market accounts are typically calculated on your daily balance and credited monthly, which means your earnings compound and grow your balance each period at Andrews Fedral Credit Union.
Can I have both a savings and a money market account?
Absolutely. Many Andrews Fedral Credit Union members keep a savings account for quick access and a money market account for their larger reserve, moving funds between them online whenever their needs change.
Are there limits on withdrawals?
While the old federal six-per-month cap has been relaxed, Andrews Fedral Credit Union may still apply its own transaction guidelines to savings and money market accounts. Review the current disclosures from Andrews Fedral Credit Union before scheduling frequent or large transfers.
Rates and APYs shown on this page are illustrative examples used to explain how savings and money market products work and do not represent current published rates. Annual percentage yields are variable and may change after account opening. Minimum balance, fee, and transaction terms apply and are detailed in the account disclosures and rate schedule provided by Andrews Fedral Credit Union. Money market accounts offered by Andrews Fedral Credit Union are insured deposit accounts and are not money market mutual funds. Deposits at Andrews Fedral Credit Union are federally insured by the National Credit Union Administration up to at least 250,000 dollars per member. Membership eligibility requirements apply.