money market account (MMA)

Special savings-account which pays fluctuating interest rate that, on average, is higher than the interest rate on ordinary savings accounts. However, a certain minimum credit balance must be maintained in an MMA, and only a limited number of checks can be written on it in a month although, usually, there is no limit on transfer of funds over the bank's counter or through automated teller machines (ATM). An MMA balance is covered under deposit insurance like an ordinary savings account balance. Also called money market deposit account (MMDA).