Money market mutual fund: Money market mutual funds pay interest and may permit check writing, but they aren't federally insured. Savings accounts vs. money market accounts vs. mutual funds Savings
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Oct 06, 2021 · Now about the hold back, these are funds held back from the loan that are not made available to the borrower for one reason or another. What I think you had from your description was a servicing fee set aside. The older loans (especially with Financial Freedom) had a monthly service fee with the loan of usually $30 - $35.
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We used to keep ours in VMMXX (Vanguard Prime Money Market Fund). At the time interest rates were higher and money market funds typically offered better interest rates than bank savings accounts. But with interest rates currently at historic lows, money market funds pay close to zero percent. Bank interest rates are now slightly higher.