5.36% Money Market Account from Bank of America? read and submit comments for this post

Update 10/25/08: Bank of America no longer has AAA affiliated accounts. However, there are still NEA affiliated accounts. For the latest rates, refer to the the BofA/NEA webpage. For more details about these accounts, refer to this FW thread.

With the merger of MBNA and Bank of America, there was uncertainity over the high-yield money market accounts that MBNA had been offering through various groups. I had reported on these MBNA money market accounts in previous posts. All of these accounts except the one through AAA now have been converted to Bank of America's standard low rate money market account. However, the money market account through AAA seems to have retained the high yield.

The AAA Money Market Savings Account remains indexed to the Money Fund Report (MFR) Averages. For balances over $50K, the rate is equal to the MFR + 0.50 which is currently 5.36% APY. For balances between $10K and $50K, the rate is equal to MFR + 0.25 which is currently 5.10% APY. These are great rates, especially for an account that offers limited check writing. Below shows the full rate tier:

Daily Balance     Index      Rate     APY
Less than $2.5K   MFR-0.25   4.48%    4.57%
$2.5K to $10K     MFR        4.73%    4.83%
$10K to $50K      MFR+0.25   4.98%    5.10%
$50K and over     MFR+0.50   5.23%    5.36%

According to this FW thread this account can be linked to your Bank of America checking account for instant transfers. Also, it is reported that it requires an AAA membership, and a hard credit inquiry is done in the application even for current Bank of America customers. Also, there's a $10 monthly maintenance fee ($12 in Texas) for balances under $2.5K.

Many have reported difficulty in the online application. This may be due to the transitioning of the website to Bank of America. We should be able to get more information on this account later this week.

If you're interested in a $100 sign-up bonus for a Bank of America checking account (and additional bonuses), refer to this post.