- APY
- 5.10%
- Minimum deposit
- $0
- Bonus
- None
Best high-yield savings accounts
Grow your savings faster with these top picks
Partner Disclosures
Fixed rates from 8.99% APR to 29.99% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to receive an additional (0.25%) interest rate reduction on your Personal Loan (your “Loan”), you must set up Direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A., or enroll in SoFi Plus by paying the SoFi Plus Subscription Fee, all within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled Direct Deposit to an eligible Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion, or during periods in which SoFi successfully receives payment of the SoFi Plus Subscription Fee. This discount will be lost during periods in which SoFi determines you have turned off Direct Deposit to your Checking and Savings account or in which you have not paid for the SoFi Plus Subscription Fee. You are not required to enroll in Direct Deposit or to pay the SoFi Plus Subscription Fee to receive a Loan.
Written by Cassidy Horton
+1 more
Edited by Tammy Burns
Bread Financial and SoFi
The best high-yield savings accounts help you fast-track your financial goals by offering interest rates that outpace traditional savings accounts by a mile.
While the average savings account rate is currently 0.46% according to the FDIC, these top picks earn 5.00% or more. On a $10,000 balance, that’s like earning $500 in yearly interest versus $46 with a traditional account.
Even if you dread opening another bank account, setting aside 30 minutes to open a high-yield one can put a lot of money in your pocket this year.
Our top 6 picks for best high-yield savings accounts
- Bask Bank
- Laurel Road
- UFB Direct
- Bread Financial
- SoFi
- Synchrony Bank
Compare top high-yield savings accounts
To create our list of the best high-yield savings accounts, we thoroughly researched and compared the current annual percentage yields (APYs) offered by various banks and credit unions. We also considered minimum balance requirements, fees and ease of use to ensure our top picks provide the most value for your money.
- APY
- 5.00%
- Minimum deposit
- $0
- Bonus
- None
1.0
1 review
- APY
- 5.25%
- Minimum deposit
- $0
- Bonus
- None
1.1
932 reviews
- APY
- 5.15%
- Minimum deposit
- $100
- Bonus
- None
1.1
106 reviews
- APY
- 0.50% on checking balance; up to 3.80% on savings balance
- Minimum deposit
- $0
- Bonus
- Up to $300
1.0
35 reviews
- APY
- 4.75%
- Minimum deposit
- $0
- Bonus
- None
How to open a high-yield savings account
Opening a high-yield savings account is quite simple.
“Online accounts can be opened in minutes; a transfer from your old bank to the new account is all it takes to get started,” said Leslie Tayne, founder and head financial attorney at New York-based Tayne Law Group. “If you aren't depositing cash, the entire process can be completed online and quickly.”
Follow these steps:
- Research options. Look for banks, online banks or credit unions (like the ones on this list) that offer high-yield savings accounts. Compare interest rates, minimum balance requirements and fees, so you know what to expect.
- Choose an institution. Once you’ve compared a few options, select the bank or credit union that sounds the best to you. Ideally, it should have no fees and offer features you’re looking for, such as an ATM card, overdraft protection or savings tools.
- Gather documents and information. The application will usually ask for your full name, home address, date of birth, Social Security number and a government-issued ID (like a driver's license or passport).
- Visit the institution's website. Go to your chosen bank or credit union’s website and locate the "Open an Account" or "Apply Now" button.
- Fill out the online application. Enter your personal information and upload a copy of your ID if needed. You may also need to choose an initial deposit amount and method (such as transferring funds from another bank account).
- Accept terms and submit. Read and agree to the terms and conditions of the account, then submit your application. You’ll usually find out instantly if you’re approved or not, although it may take a few days in some situations.
- Get approved. Once approved, you'll receive information on how to access your new high-yield savings account — usually through the bank’s mobile app and website.
“There are minimal downsides to switching your traditional savings accounts to a high-yield account,” said Tate. “And you can always switch back if you find that the new account isn't meeting your needs.”
Pros and cons of high-yield savings accounts
High-yield savings accounts have one major benefit: “They typically give savers a much higher APY than traditional savings accounts,” said Tayne.
However, these accounts tend to be mostly offered by online-only banks, which often means fewer account options and no ability to deposit cash.
Pros
- Higher APYs than traditional savings accounts
- Many accounts have no minimum balance requirements
- Often have no monthly fee
- Your money is insured the same as with regular savings accounts
- Easy to open and manage online
- Funds can be easily transferred between accounts
Cons
- May have limited customer service hours and no physical branch access
- Fewer account options compared to banks with traditional accounts
- Interest rates can still fluctuate
- Some accounts may require a minimum balance to earn the highest APY
- Usually can’t deposit cash into your account
- May have a limit on withdrawals per month
» MORE: Cash management account vs. high-yield savings account
FAQ
Are high-yield savings accounts safe?
High-yield savings accounts offered by banks are generally safe because they’re insured by the Federal Deposit Insurance Corporation (FDIC) for up to $250,000 per depositor per institution. Similarly, high-yield savings accounts from credit unions are insured by the National Credit Union Administration (NCUA) for the same amount. This means that even if the bank or credit union fails, your funds are protected up to the insured limit.
Can the interest rate on my high-yield savings account change?
Yes, the interest rates on high-yield savings accounts are variable (not fixed), meaning they can change at any time. Even still, high-yield savings accounts almost always have consistently higher rates than traditional savings accounts.
How do I choose the best high-yield savings account for me?
The four main things to look at are the interest rate (APY), minimum balance requirements, fees and accessibility (i.e., ways to access your money). Ideally, the account you pick should have a consistently high APY, low or no minimum balance requirements and minimal fees. If you want an ATM card, make sure it has that, too.
Article sources
ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
- Federal Deposit Insurance Corporation, “National Rates and Rate Caps.” Accessed April 18, 2024.
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