By Sabrina Karl

Whether you’re saving for a home or a vacation, or just socking away money in an emergency fund, putting your savings in an account that’s firewalled from your day-to-day spending is a smart strategy.

But as soon as you begin exploring where to stash the money, you’ll be faced with a choice: should you open a savings account or a money market account? Many banks and credit unions offer both, so it can be confusing how they differ.

The distinction has more to do with rules the bank has to follow for each account than it does with how you can use them. Indeed, for most savers, the two are interchangeable: both will pay you interest, both let you deposit as often as you like, and both will be federally insured (assuming the account is with an FDIC bank or an NCUA credit union).

Savings and money market accounts both also limit how many withdrawals you can make. That number is set by federal law, so it doesn’t matter which account type or institution you choose – six withdrawals per statement cycle will be your max.

But withdrawals are also where you might notice a distinction. Money markets typically offer paper checks you can write on the account, giving you more ways to access your funds than the electronic transfers and ATM withdrawals you’ll be limited to with a savings account.

This greater flexibility in retrieving your money comes at a price, of course. Although banks vary, savings accounts generally pay higher interest rates.

That means the best choice will depend on whether check-writing privileges are useful for how you’ll use the account. If they are, look for the best-paying money market you can find. But if not, shop both account types and make the interest rate your priority.