Money Market Rates and Savings Rates December 10, 2012

As we head until the final weeks of 2012 both average savings rates and money market rates are unchanged, ending another year of ultra low deposit rates. The best savings rates and best money market rates on our rate lists also haven't changed this week and probably won't for at least a couple more years.

Dealing with these pathetic interest rates for about 4 years now isn't an easy thing for anybody who relies on interest income to live or just even if you're just trying to stay ahead the rate of inflation. You basically can't do either investing only in deposit accounts which means you have to take on more risk to get the same return you would have several years ago without any risk. The current national average savings rate/money market rate on account balances of $10,000 is at 0.52 percent this week, unchanged from last week's average rate. Larger deposit amounts don't earn that much of a higher rate. Current rates on account balances of at least $25,000 are at 0.56 percent and account balances of $50,000 earn 0.63 percent.

Think these average rates are low? In this week's FDIC national average rate survey the average savings account rate is at 0.08 percent and the average money market account rate is at 0.12 percent. Jumbo savings rates on account balances of $100,000 or more are also at 0.08 percent and jumbo money market rates are at 0.18 percent.

The best savings rates and money market rates right now on national rate list are many times the average rates. The highest savings rate on our rate list this week is from Barclays Bank at 1.00 percent with an APY of 1.00 percent. The highest money market rate on our rate list is 4 basis points higher at 1.04 percent. Union FSB and Sallie Mae Bank are both offering money market rates at 1.04 percent with an APY of 1.05 percent.