Starting June 15, 2024, Fidelity Cash Management account will offer an elective option to have your default sweep account be the high-yield SPAXX money market fund (4.95% yield at time of this writing). Until now, their default deposit sweep is an FDIC account with an interest rate which is not highly competitive (2.72% at time of this writing).
There were always work-arounds, but now it’ll be simple to have your Fidelity Cash Management Account act like an ordinary checking account and also get top-yield interest rates. The Fidelity CMA has long offered traditional banking features like ACH routing and account numbers, Billpay, mobile check deposit, physical checks, and ATM cards. A lot of travelers like the CMA account due to its unlimited worldwide ATM fee reimbursements.
Hat tip to MyMoneyBlog