Home > A nice bank money market deal for 2014

A nice bank money market deal for 2014

January 1st, 2014 at 02:49 pm

To start the New Year off right, I just finished opening up a new online Barclay's Dream money market account. I already have a regular Barclay's money market, which I currently use for three purposes:

1. As a place to transfer money from my checking account when the balance there gets higher than I need (since I earn no interest on checking). Currently a regular Barclay's online money market earns .90%.

2. As my so-called emergency fund. It's basically liquid money. I don't dip into this too frequently, but when I have a big ticket purchase, I transfer money from here back to checking so I don't have to cash out any mutual funds. It's usually something I use for big home improvements, like my new roof.

3. My property taxes are due twice a year, and rather than let the money sit, earning no interest, in my checking account, I transfer $500 a month to my Barclay's account so the money is there when I need to pay the bill in January and July.

Now Barclay's has debuted its new "Dream" money market account (,which gives you the following benefits above and beyond its regular money market:

1. Interest is .95%.
2. BONUS #1: You're supposed to use this account to save money for a specific purpose, whether it's for college, a car, house, retirement or whatever. Every time you make consecutive deposits for 6 months, they give you a 2.5% bonus on the total interest you earned over that time.
3. BONUS #2: Make no withdrawals for 6 consecutive months and earn another 2.5% bonus on the past six months of interest earned.

You can only contribute a maximum of $1,000 a month.

I figure I'm planning on saving anyway, to bulk up my emergency savings, so this will allow me to have a dedicated account for that; the other account will be solely for property taxes, making it easier for me to see where I stand with the segregated funds, plus I'll get a nice little bonus for doing so.

3 Responses to “A nice bank money market deal for 2014”

  1. creditcardfree Says:

    Good plan! Thanks for the information on the Dream account.

  2. rob62521 Says:


  3. beawealthywarrior Says:

    I'm going to check out the Dream account, thanks!

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