Cash Management Account | More Than A Bank Account | Fidelity (2024)

† Important information about comparison: The National Deposit Rates for Interest Checking is published by the FDIC. The average of rates paid on interest bearing checking accounts at all insured depository institutions and credit unions for which data is available, with rates weighted by each institution’s share of domestic deposit. The monthly average is published every 3rd Monday of each month. All published rates and yields are based on information available on the last business day of the prior month end. https://www.fdic.gov/resources/bankers/national-rates/

You could lose money by investing in a money market fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund’s sponsor has no legal obligation to provide financial support to money market funds and you should not expect that the sponsor will provide financial support to the fund at any time.

The Fidelity Cash Management account is a brokerage account designed for investing, spending and cash management. Investing excludes options and margin trading. For a more traditional brokerage account, consider the Fidelity Account.

1.

Zero account minimums and zero account fees apply to retail brokerage accounts only. Expenses charged by investments (e.g., funds, managed accounts, and certain HSAs) and commissions, interest charges, or other expenses for transactions may still apply. See Fidelity.com/commissions for further details.

2. All assets of the account holder at the depository institution will generally be counted toward the aggregate limit. For more information about FDIC insurance coverage, please visit the FDIC website at www.FDIC.gov or call 877-ASK-FDIC. As referenced in the FDIC-Insured Deposit Sweep Program disclosure, customers are responsible for monitoring their total assets at the Program Bank to determine the extent of available FDIC insurance. All FDIC insurance coverage is in accordance with FDIC rules. Go to Fidelity.com/fcmacorebanks to see a list of eligible Program Banks, and the FDIC Disclosure Document.

3.Your account will automatically be reimbursed for all ATM fees charged by other institutions while using a Fidelity® Debit Card linked to your Fidelity Cash Management Account at any ATM displaying the Visa®, Plus®, or Star® logos. The reimbursem*nt will be credited to the account the same day the ATM fee is debited from the account. Please note that there may be a foreign transaction fee of 1% that is not waived, which will be included in the amount charged to your account. The Fidelity® Debit Card is issued by PNC Bank, N.A., and the debit card program is administered by BNY Mellon Investment Servicing Trust Company. These entities are not affiliated with each other or with Fidelity Investments. Visa is a registered trademark of Visa International Service Association, and is used by PNC Bank pursuant to a license from Visa U.S.A. Inc.

4. Forbes Advisor January 2024, Cash Management Accounts. Learn more about the award methodology.

Images are for illustrative purposes only.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917

887150.15.0

Cash Management Account | More Than A Bank Account | Fidelity (2024)

FAQs

Is a cash management account the same as a bank account? ›

A cash management account is a nonbank cash account where you can park your cash, may have the opportunity to earn competitive interest rates and withdraw money as you need it. While cash management accounts might share similar features with traditional banking accounts, generally, they are not banking products.

Is a Fidelity cash management account a checking account? ›

The Fidelity Cash Management Account is technically a brokerage account, not a checking account. However, it was designed to function like a traditional checking account and includes many of the same benefits, such as debit card access, check writing and mobile check deposit.

Can I have more than one Fidelity cash management account? ›

Open as many accounts as needed

You can open as many accounts as you like. An additional account may be a good option to keep your business and personal finances separate.

Can you withdraw money from a cash management account? ›

You can deposit or withdraw money from your CMA account via Direct Deposit, by using Bank of America ATMs, through our telephone or online funds transfer service or through a FedWire® wire transfer.

Why use a cash management account? ›

A CMA can streamline your finances by allowing you to make transactions, earn high-yield interest and sometimes use a credit line that's attached to your investment securities all without having to transfer funds between different accounts.

Can you withdraw cash from Fidelity cash management account? ›

To initiate an online cash withdrawal, simply log in to your Fidelity account and go to the 'Transfer' tab. From there, select 'Withdraw Money' and choose the amount and account for the funds to be deposited into. Confirm the transaction, and you're all set!

Can you withdraw from Fidelity cash management account? ›

The maximum you can request to withdraw from your account online or by telephone is $100,000 per account. To request a withdrawal greater than $100,000, you must complete a paper form.

How do I deposit cash into my Fidelity cash management account? ›

Currently, you can only transfer from the bank to make a deposit to your Fidelity Account. Generally, after 7 to 10 business days you will be able to use Electronic Funds Transfer to withdraw from as well as deposit to your Fidelity non-retirement account via Fidelity.com.

What is the difference between Fidelity brokerage and cash management account? ›

Money in a CMA can usually be used to pay bills and make purchases, sometimes with use of a debit card or check writing; money in a brokerage account is strictly for buying, trading and selling stocks, bonds, funds and other securities.

Does Fidelity cash management account have direct deposit? ›

Direct and automatic deposits

You can set up two types of deposits for your Fidelity accounts: direct deposit of a paycheck or government check to a Fidelity account, or automatic deposits from a bank account or Fidelity Cash management account to specific investments.

Are cash management accounts risky? ›

If you're looking for a safe place to stash your money, a cash management account is a low-risk way to save and earn interest.

Is cash management FDIC-insured? ›

Cash balances in the Fidelity® Cash Management Account are swept into an FDIC-Insured interest bearing account at one or more program banks and, under certain circ*mstances, a money market mutual fund (the "Money Market Overflow").

Is Fidelity no longer FDIC-insured? ›

Cash balances in the Fidelity® Cash Management Account are swept into an FDIC-Insured interest bearing account at one or more program banks and, under certain circ*mstances, a money market mutual fund (the "Money Market Overflow").

How safe are cash management accounts? ›

FDIC insurance protects your deposits so that in the event a bank goes out of business, the funds in your account are safe. FDIC insurance is typically up to $250,000 per partner bank. CMA providers are usually not responsible for making sure a customer's total assets at a bank stay within FDIC insurance limits.

What is cash management in banking? ›

Cash management comprises the operational and banking processes associated with the collection, aggregation, holding and disbursem*nt of cash. The Financial Management Act 1995 provides that Accountable Officers have specific accountabilities for the efficient, effective and ethical use of resources.

What is considered cash management? ›

Cash management is the monitoring and maintaining of cash flow to ensure that a business has enough funds to function. Investments, bill payments, and unexpected liabilities can affect a business' inflows and outflows, and in turn their cash management.

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