what is cash management accounts
Use cash management accounts to manage, move, and use your money easilyâand without any extra fees. Flexible cash management provides you the freedom to access, spend, and manage your money the way you want-with a debit card and free ATM withdrawals, free check writing, and free online bill pay**.
As the balance is divided between multiple banks, Fidelity is able to offer FDIC protection on balances up to $1,250,000; the standard FDIC limit is $250,000 per depositor per bank. The Cash Management account is an interest-bearing account. At the time of writing, the current APY for the account is 0.07%. This is much lower rate that 0.20%-0.90% APY offered by Capital One online checking account-read Capital One 360 checking review. Overall, the Fidelity Cash Management account is a solid option for users looking to leave fee-charging traditional banks.