[Jeff]

I’m considering using Fidelity’s Cash Management Account (CMA) instead of a traditional High-Yield Savings Account (HYSA), and I’m curious about the real-world experiences of others who have taken this route.

If you’re using the Fidelity CMA as your primary savings or cash reserve account, I’d love to hear your thoughts.

How does it compare to an HYSA in terms of interest earned, ease of access to your money, and overall convenience?

Are there any downsides or limitations you’ve encountered—such as transfer delays, lack of features, or customer service issues?

Additionally, have you found the CMA’s integration with Fidelity’s investment platform to be a plus?

I’m particularly interested in understanding whether the benefits—like the flexibility, ATM access, and potential for higher yields via Fidelity’s money market funds—truly outweigh the simplicity and predictability of a dedicated HYSA.

Your insights would be really helpful for anyone trying to decide between these two options.

Thanks in advance!

[Melanie]

I feel like the cash mgmt pays less than the regular brokerage account?

You can pay bills out of either but the brokerage account core fund SPAXX pays more (but isn’t FDIC insured if that matters to you.)

[Rick]

If you like rate chasing, do it. It can make you more money. I did it for years and enjoyed quite a lot of extra money, including new account bonuses.

But that kinda effort is not for everyone.
And everyone else should strongly think of the big brokerage firm money market fund options.

Vanguard I believe is usually a little higher on rate on their mmf making it good for someone who wants set it and forget it savings.

Like here is my house down payment money I need in 6-12 months.

Fidelity CMA is better for activity. The more standard lifestyle checking and savings. Money in and money out. Their CMA has auto sweep in and out of mmf so near zero hassle.

The CMA has worldwide atm fee reimbursement and it is in about 2-3 days after fee posts (and they mean worldwide any amount.

My record so far was $15 atm fee in Istanbul reimbursed).

This is really one of the best bank account like options available today for anyone.

[Patrick]

I use a Fidelity money market fund in lieu of an HYSA. I use it in a brokerage account, not a CMA.

Not much difference between Fidelity’s brokerage and CMA accounts.

[Lisa]

I love it and definitely recommend it. I had my paycheck direct deposited into it and paid bills out of it.

It gets the money to Fidelity sooner so that I can immediately transfer to my brokerage account and invest it.

I wish I had discovered a CM account sooner.
Also, there are three MM options you can choose. SPAXX is the default.

If you buy SPRXX, it’s slightly more return and once you have $100k in cash in it, you have access to their highest rate with FDZXX.

[Lara]

I’ve been using it for about 6 months as my primary checking account. It’s been great for us.

[Sean]

I use it as my checking and savings account and I’ve had absolutely zero issues.

It doesn’t work with Zelle but I’ve never once used that in my life.

You can still use PayPal and Venmo so it’s really not an issue if you are trying to send money.

[Matt]

We have recently consolidated 95% of our financial lives to Fidelity.
Vanguard brokerage assets and IRAs for me and my wife were moved to Fidelity.

HYSA was moved to money market fund in Fidelity brokerage.
Checking account through our credit union was moved to Fidelity Cash Management Account.

HSA and 401k were already at Fidelity.

Regarding holds on transfers, do not “pull” money from external accounts through the Fidelity interface. That money is subject to a pretty long hold.

Instead, “push” money. Go to the external account website and transfer money to Fidelity from the external account.

The money is available, I think, whenever the money is received. Same thing with direct deposit.

We have not had any issue accessing funds when doing it this way.

[Erin]

We use it. Only challenge I found with our CMA was a delay in available funds to withdraw when transferred as an ACH from another bank.

We were told that Fidelity lengthened their “settled” timeline to protect against fraud.

We didn’t have that issue in our Fidelity brokerage, just in the CMA.

Once I understood the timeline, I adjusted and not a problem for us now.

[Holland]

I use the Fidelity CMA for my primary checking account. IMO, it’s the best checking account available.

For one reason, no matter where I am — in the US or not — my ATM cash withdrawals are free.

As for your question about using it to replace a HYSA. For that you need a brokerage account, which is free.

In the brokerage account you can select a money market fund as your cash position.

SPAX is one I have chosen for some of my accounts and it pays just under 5%.

[Author]

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