The best high-yield savings accounts have no fees, low deposit requirements and sky-high interest rates. Rates have been at an all-time high in the last year, making it easy to find savings accounts with rates well above the national average of 0.47%(1).
Every week, we compare hundreds of savings accounts from online banks, credit unions and the biggest names in the country, including American Express, Barclays and Marcus by Goldman Sachs.
8 best high-yield savings accounts
- Customers Bank High Yield Savings through Raisin: 5.32% APY
- TAB Bank High Yield Savings: 5.27% APY
- Cloud Bank 24/7 through Raisin: 5.26% APY
- UFB Secure Savings: 5.25% APY
- Bread Savings™ High-Yield Savings: 5.15% APY
- Bask Bank Interest Savings Account: 5.10% APY
- Upgrade - Premier Savings: 5.21% APY
- Varo Savings: Up to 5.00% APY
Customers Bank High Yield Savings through Raisin
4.6
★★★★★
Finder score
This Raisin exclusive high-yield savings account offers a competitive 5.32% APY, a minimum opening deposit of just $1, and no transaction limits. Although you'll find this account through Customer's Bank website as well, depending on which savings account you get, you might need to meet a minimum balance requirement to earn a lower APY.
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Pros
- Earn 5.32% APY
- $1 opening deposit
- No transaction limits
Cons
- Limited customer service through Raisin
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Annual Percentage Yield (APY) 5.32%
Minimum balance to earn interest $0
| APY | 5.32% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $1 |
verified_user FDIC Insured
Cloud Bank 24/7 through Raisin
4.7
★★★★★
Finder score
This savings account earns a strong 5.26% APY through Raisin. To get started, you only need $1, and there's no monthly transaction limit to withdraw funds. CloudBank is an online bank is heavily focuses on mobile and online accounts, but with an online bank comes no in-person support and no ATM network.
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Pros
- High 5.26% APY
- Low $1 opening deposit
- No monthly transaction limit
Cons
- Limited customer support
- No cash deposits
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Annual Percentage Yield (APY) 5.26%
Interest compounding Daily Minimum balance to earn interest $1
| APY | 5.26% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $1 |
verified_user FDIC Insured
UFB Secure Savings
4.7
★★★★★
Finder score
The UFB Secure Savings account earns 5.25% APY. Although the account has tiers, customers currently earn the same rate regardless of the balance in the account. There are also no opening balance requirements and no monthly maintenance fees with this account, and you'll get a complimentary ATM card for easy cash withdrawals. Although this is an online bank, a lack of physical branches allows UFB to offer such a strong APY. Just keep in mind that UFB frequently offers new accounts with higher APYs, so you may have to stay in contact with the bank to ensure you're getting the best rate offered.
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Pros
- High 5.25% APY on all balances
- Optional ATM card
- No minimum opening deposit required
Cons
- Tiered rates can change at any time
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Annual Percentage Yield (APY) 5.25%
Interest compounding Daily Minimum balance to earn interest $0 Monthly transaction limit 6
| APY | 5.25% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $0 |
verified_user FDIC Insured
Upgrade - Premier Savings
4.3
★★★★★
Finder score
Upgrade's Premier Savings account offers a strong 5.21% APY on balances of $1,000 or more, no monthly fees and a robust mobile app that lets you manage your account with ease. To earn this APY, however, you'll need to maintain a balance that's a bit higher than what's required on other accounts on our list.
-
Pros
- Competitive 5.21% APY
- No monthly fee
- High APY
Cons
- $1,000 minimum balance to receive APY
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Annual Percentage Yield (APY) 5.21%
Interest compounding Daily Minimum balance to earn interest $1,000
Upgrade is a financial technology company, not a bank. Premier Savings accounts are provided by Cross River Bank, Member FDIC. See partner terms and conditions
| APY | 5.21% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $0 |
verified_user FDIC Insured
Varo
4.7
Varo is running a Referral Bonus Promotion through January 11, 2024 that gets both existing and new customers $30 when signing up for a Varo Bank account.
Varo offers an optional savings account with an APY starting from 3.00% APY but can go as high as 5.00% APY on the first $5,000 saved. Varo has no minimum opening deposit requirement and charges no monthly fee. You'll receive a few extra benefits to round out the package, including up to 6% cash back when you use your Varo card at select retailers.
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Pros
- Earn up to 5.00% APY
- Overdraft protection
- Up to 6% cash back
Cons
- No checks or wire transfers
- Must open a Varo checking account first
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Annual Percentage Yield (APY) 5.00%
3.00%
Interest compounding Daily Minimum balance to earn interest $0
| APY | Up to 5.00% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $0 |
verified_user FDIC Insured
Bread Savings™ High-Yield Savings
4.3
★★★★★
Finder score
Bread Financial offers an impressive interest rate on its High-Yield Savings account. You earn 5.15% APY on balances up to $1 million in your savings account. While you can open multiple high-yield savings accounts, Bread imposes a $10 million total limit for each customer. While there are no monthly fees, you'll need $100 to open an account. But it's only FDIC insured up to $250,000. Also, new accounts may experience withdrawal delays for the first 30 days. There are also minimal fees. The only ones you'll need to watch out for are: $5 fee for paper statements, a $15 fee for check requests and a $25 fee for outgoing wire transfers.
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Pros
- Attractive 5.15% APY on balances up to $10 million
- Few fees
Cons
- $100 opening deposit
- Can't withdraw funds during your first 30 days
- No physical branches available
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Annual Percentage Yield (APY) 5.15%
Interest compounding Daily Minimum balance to earn interest $0 Monthly transaction limit 6
| APY | 5.15% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $100 |
verified_user FDIC Insured
TAB Bank High Yield Savings
3.9
★★★★★
Finder score
Tab Bank's High Yield Savings account features a 5.27% APY paired with no monthly maintenance fees and no opening deposit requirements. Tab Bank only requires a minimum balance of $0.01 to start earning interest. And unlike most other savings accounts that cap you at $250,000 to earn interest, there's no cap with Tab. But we don't recommend keeping more than $250,000 in an account, as you're only insured up to this amount. Also, if you want to close the account, there's a $10 account closure fee.
-
Pros
- High 5.27% APY
- No opening deposit
- $0 monthly fee
Cons
- $10 account closure fee
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Annual Percentage Yield (APY) 5.27%
Interest compounding Daily Minimum balance to earn interest $0.01 Monthly transaction limit 6 Fee per transaction over the limit $20
| APY | 5.27% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $0 |
verified_user FDIC Insured
Bask Bank Interest Savings Account
4.6
★★★★★
Finder score
The Bask Interest Savings account lets you earn a whopping 5.10% APY on your entire account balance. There are no monthly maintenance fees and no minimum balance requirements. That means you'll earn interest no matter how much you've deposited. Like most savings accounts, it doesn't come with an ATM card, and you're limited to six outgoing transfers every month.
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Pros
- Competitive 5.10% APY
- No minimum balance requirement to earn APY
Cons
- Account is as new as February 2022
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Annual Percentage Yield (APY) 5.10%
Interest compounding Daily Minimum balance to earn interest $0 Monthly transaction limit 6
| APY | 5.10% |
|---|---|
| Fee | $0 |
| Minimum deposit to open | $0 |
verified_user FDIC Insured
Methodology
Finder’s banking experts analyze hundreds of savings accounts weekly to find the best ones that can help you build up a nest egg and accumulate interest quickly. We weigh these factors to determine the accounts that make the final cut:
- 5% APY or higher
- $0 monthly fees
- $100 or lower minimum opening deposit
- No strict membership requirements
- Wide state availability
Honorable mentions
Among the hundreds of savings accounts we analyze, there were a few worth mentioning that didn’t quite make the cut of our strict APY minimum in our methodology. These accounts still exceed standards thanks to their wide availability, few or no fees, good reputation and higher-than-average interest rates.
- American Express® High Yield Savings Account: 4.35% APY
- Barclays Online Savings: 4.35% APY
- Capital One 360 Performance Savings: 4.35% APY
- Discover® Online Savings Account: 4.30% APY
- Marcus Online Savings: 4.50% APY
- Quontic Bank High Yield Savings: 4.50% APY
- SoFi Checking and Savings: Up to 4.60% APY
What are high-yield savings accounts?
The only difference between a regular savings account and a high-yield savings account is the significantly higher rate — they are the same type of deposit account. High-yield savings accounts aren’t a different savings product but are different from a money market account and a certificate of deposit.
Run-of-the-mill savings accounts tend to have APYs between 0.01% and 0.47%, whereas high-yield accounts tend to have rates above this.
The only potential downside with high-yield savings accounts is that they’re typically found at online banks or fintechs. These institutions don’t have to maintain physical branches, so they can afford to offer high APYs. This means if you want the high rate, you’ll likely have to be comfortable managing the account exclusively online.
How to choose a high-yield savings account
Here are a few pointers when comparing savings accounts:
- Look for savings accounts with rates higher than the 0.47% APY national average.
- Consider online banks, as their accounts tend to offer higher rates due to fewer overhead costs.
- Most savings accounts don’t have monthly fees, but compare all fees just in case.
- Look for automated savings tools, such as savings round-ups.
- Make sure the bank is insured through the FDIC or NCUA.
- Check how accessible your funds are via mobile apps, ATM cards and transaction limits.
How often do savings rates change?
Savings rates can change frequently. They have variable interest rates, so they can change in response to interest rate changes enacted by the Federal Reserve. The Federal Reserve meets eight times annually (every six weeks) but can meet more often when economic events require it. Since 2022, interest rates on savings products have nearly doubled.
With inflation numbers easing, the Federal Reserve has signaled that rate cuts are possible in 2024.
Dive deeper Fed interest rates forecast
Savings accounts compound interest.
The money in your savings account passively grows, thanks to compound interest. Savings accounts can compound interest daily, monthly or yearly, meaning you are earning interest on your already earned interest. Most savings accounts compound it daily, and earned interest is paid monthly, helping your savings grow faster.
— Bethany Hickey, Writer, Banking and Loans.
Dive deeper
How much can I earn with a high-yield savings account?
How much you can earn with a high-yield savings account depends on your interest rate, balance, monthly contributions and how long you let it sit. And if you have a monthly fee, you’ll need to factor that in as well.
A free savings account with a $10,000 deposit earning 0.47% APY can only earn $47.23 in one year.
With a 5.00% APY account and a $10,000 deposit, you can earn $513.75 in interest after one year. That’s a huge difference.
Use our calculator to see how much you can earn with your intended deposit, desired interest rate amount and planned monthly contributions.
4 ways to maximize your savings rate potential
- Deposit funds while the APY is high. Savings account APYs can fluctuate over time, so it pays to put as much money as you can afford into the account while the APY is high.
- Compound interest. Look for an account with daily compound interest. This allows your money to grow faster by being paid for the interest you’ve already earned.
- Use savings tools. Take advantage of automatic transfers and savings round-up tools to contribute to your savings regularly.
- Pair it with other high-yield accounts. While your money is in a savings account, consider opening a high-yield checking account to boost your spending money. Some accounts, like OnPath FCU High Yield Rewards Checking, offer APYs as high as 7%.
How to open a savings account
You’ll need to provide your full name, address and government-issued ID to apply for a savings account. Some accounts require an opening deposit, which you can meet by transferring funds from another account or depositing cash if the bank has physical branches.
Must read How to open a bank account online
5 alternatives to savings accounts
If you’re not sure a high-yield account is the right type of savings account for you, consider these alternatives for saving and storing your money.
- Certificates of deposit (CD) lock your money for a set term and with guaranteed interest earnings, regardless of national rate changes. Currently, Crescent Bank offers one of the best CD rates on its 12-month terms at 4.85% APY.
- Money market accounts (MMAs) are similar to regular savings accounts, though they can offer a debit card and checkwriting privileges. Currently, Hanover Bank offers one of the strongest money market account rates at 5.20% APY.
- A high-yield checking account offers a place to spend and save on unspent funds with rates as high as 4% APY.
- Investment accounts can offer strong yields, but your money isn’t insured by the FDIC. But some platforms, like Robinhood, offer FDIC-insured plans that let you earn strong yields on uninvested funds.
- Treasury bills are a type of short-term loan to the government backed by the US Treasury Department. Most offer a term of one year or less, with longer terms offering higher rates.
Frequently asked questions
Why do savings accounts have transaction requirements?
The Federal Reserve had something called Regulation D, which stipulated that a bank can’t allow consumers to withdraw more than six times per month. That Regulation has since been suspended, but many banks and credit unions still abide by this standard.
Do savings accounts get a debit card?
No, traditional savings accounts won’t come with a debit card. You can find accounts that offer ATM cards, but they can’t be used for purchases. If you want a hybrid of a sayings and checking account, look into money market accounts — these are interest-bearing accounts that often come with a debit card and checkwriting privileges.
Do savings accounts need opening deposits?
Not all savings accounts come with opening deposit requirements. Those that do often range around $20 to $100 for an initial deposit.
