Whether you’ve recently transitioned out of the military, are navigating a major life event, or are simply looking for a smart place to keep uninvested cash, you may be wondering: Where can I park my money safely without locking it up or losing out on interest?
That’s exactly where the new Cash Reserve Account (CRA) from AAFMAA Wealth Management & Trust LLC (AWM&T) comes in. Designed specifically for members of the military community, our CRA provides a flexible way to earn competitive interest while keeping your funds accessible, without the constraints of traditional savings accounts or certificates of deposit (CDs).
Let’s take a closer look at how this new offering can help you feel more financially grounded while planning your next move.
A Safe, Flexible Place to Hold Cash With No Strings Attached
If you’ve ever been frustrated by the low interest rates on savings accounts or the inflexibility of CDs, you’re not alone. These options offer some benefits, but they also often come with limitations, like withdrawal penalties or fixed periods that don’t always align with your life’s changing needs.
The CRA offers a refreshing alternative.
With a CRA, you can store uninvested cash in institutional money market funds that offer competitive interest rates, paid monthly. That means your money is still working for you, even while it’s waiting to be invested or used. And unlike CDs, there are no maturity dates, no withdrawal penalties, and no lock-in periods. You get full access to your funds anytime you need them.
It’s a flexible solution built around your lifestyle. This is especially useful during periods of uncertainty or transition, when keeping your cash accessible and protected is essential.
Get Breathing Room When You Need It Most
Our new CRA also adds value for families navigating the loss of a loved one. As of 2025, Armed Forces Mutual Life Insurance beneficiaries have the option to direct their payout into a Cash Reserve Account.
This change gives you the ability to pause, reflect, and plan, without having to make major financial decisions in the middle of grief or upheaval. You can take the time you need to weigh your options — whether you’re considering long-term investments, setting aside funds for a child’s education, or simply ensuring day-to-day stability — while knowing that your money is safely earning interest in the meantime.
There’s no pressure or rush. Just a sense of calm financial stewardship while you get your bearings.
You Stay in Control, No Matter What Life Brings
Whether you’re preparing for retirement, waiting to buy a home, planning to invest, or just not sure what’s next, the CRA is a powerful tool to have on your side. It gives you control without complexity, so you can move forward with confidence, knowing that your uninvested cash is in the right place.
Here’s what you get with a CRA:
- Access to institutional money market funds.
- Competitive interest rates, paid monthly.
- No fixed terms or withdrawal limits.
- No activity or transfer fees. A low annual fee of 10 basis points is assessed to maintain the account. No other fees apply.
- A dedicated Relationship Manager to assist with questions or concerns.
- Optional use as a payout destination for Armed Forces Mutual Life Insurance benefits.
It’s a solution that reflects AWM&T’s ongoing commitment to evolving with the needs of military families by offering smart, forward-thinking financial strategies that meet you where you are.
What Else Should You Know?
Here are a couple of commonly asked questions about our CRA.
What are the interest rates like?
Rates are competitive but can fluctuate daily based on economic conditions, the federal funds rate, and the Federal Reserve policy environment. CRA funds are held in an institutional money market that invests primarily in U.S. Treasury and other short-term U.S. government securities.
Is this FDIC insured?
No, the CRA is not FDIC insured, as it is not a traditional bank deposit. However, it remains an extremely safe option for holding cash. The funds are invested in U.S. Treasuries and government obligations, which are among the most secure and liquid assets available in the financial markets.
Money market funds are designed to maintain a stable net asset value (NAV), meaning your principal is preserved. Regulatory changes implemented after 2008 have further strengthened this stability by requiring a constant NAV, effectively minimizing the risk of principal loss to near zero.
While these funds do not offer FDIC insurance like bank deposits, they may provide higher yields, low costs, no transaction fees, and no withdrawal limits — benefits that many investors find compelling.
Get Started with Confidence
If you’ve been holding cash in a low-interest savings account or putting off financial decisions because nothing felt like the right fit, this is your opportunity to take a step forward without locking yourself in.
A Cash Reserve Account gives you the space to plan, the ability to pivot, and the peace of mind that your money is still working for you.
To explore whether a CRA is right for your situation, or to speak with a trusted professional about your broader financial goals, schedule a free, no-obligation consultation today or call us at 910-307-3500.
You’ve served. You’ve planned. Now it’s time for your money to serve you — with flexibility, confidence, and care.
About Us
Founded in 2012, AAFMAA Wealth Management & Trust LLC (AWM&T) was created to meet the distinct financial needs of military families. We proudly deliver experienced, trustworthy financial planning, investment management, and trust administration services — all designed to promote lasting security and independence.
We are proud to share the mission, vision, and values of Armed Forces Mutual, our parent company. We consistently build on the Association’s rich history and tradition to provide our Members with a source of compassion, trust, and protection. At AWM&T, we are committed to serving as your trusted fiduciary, always putting your best interests first. Through Armed Forces Mutual's legacy and our financial guidance, we provide personalized wealth management solutions to military families across generations.
© 2025 AAFMAA Wealth Management & Trust LLC. Information provided by AAFMAA Wealth Management & Trust LLC is not intended to be tax or legal advice. Nothing contained in this communication should be interpreted as such. We encourage you to seek guidance from your tax or legal advisor. Past performance does not guarantee future results. Investments are not FDIC or SIPC insured, are not deposits, nor are they insured by, issued by, or guaranteed by obligations of any government agency or any bank, and they involve risk including possible loss of principal. No information provided herein is intended as personal investment advice or financial recommendation and should not be interpreted as such. The information provided reflects the general views of AAFMAA Wealth Management and Trust LLC but may not reflect client recommendations, investment strategies, or performance. Current and future financial environments may not reflect those illustrated here. Views of AAFMAA Wealth Management & Trust LLC may change based on new information or considerations.
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