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Most brokerage accounts offer money market accounts. People use them to park funds as from dividends until they are invested. Or with shorter settlement dates broker prefer cash in the account before executing a purchase.

Afik they differ in the tax status of interest. Some are fully taxable, some fed tax free, and possibly some free of state and/or local taxes.

With rates so.low this hardly matters to many of us. But of course for those parking sizable sums there its important to make the right choice.

It comes down to the tax rates you pay vs the difference in interest rates.
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