Best High-Yield Savings Accounts of 2023
If growing your savings is your key motive for opening an account, then a high-interest savings account is what you’re looking for.
We analyzed savings accounts from the top traditional banks, online banks, and credit unions to identify the ones that offer the highest and most consistent rates and low-fee savings accounts, helping you grow your savings faster.
Best Savings Accounts for 2023
Savings Accounts Reviews & Details
The reality is:
The highest-tier savings accounts are similar in that they provide market-leading savings rates. However, the slight differences may matter depending on your savings habits and preferences.
Read our editor's savings account reviews from the top financial institutions:
The Marcus by Goldman Sachs Online Savings account keeps it simple when it comes to saving.
Marcus by Goldman Sachs Online Savings
In addition to one of the top interest rates, the account comes with no monthly or transaction fees. So, you can focus on growing your savings. The Marcus mobile banking app lets you keep tabs on your account from your smartphone.
Read the full editor's Marcus Online Savings account review.
American Express® High Yield Savings Account
The American Express® High Yield Savings Account is another popular option for a reliably competitive savings rate, and the brand is noted for top-notch customer service.
The account has no monthly fees or minimum balance requirement.
The biggest downside may be the lack of mobile app access, but that may be good if you want to avoid the temptation to move or spend money too easily.
Read the American Express® High Yield Savings Account editor's review.
CIT Bank Savings Connect
The CIT Bank Savings Connect account is a great savings option alone, but it’s even better paired with the CIT Bank eChecking account.
The benefits of this combo include extremely convenient ATM access.
Both accounts do not have monthly maintenance fees.
Read the full editor's review on CIT Bank Savings Connect.
Ally Bank Savings Account
The Ally Bank Online Account helps savers stay focused on building their deposit balance with helpful tools to stay on track.
Customers can create digital buckets within the account designated toward specific savings goals. You can also link a checking account, and Ally will analyze your cash flow to transfer money to your savings automatically (without interrupting your recent financial patterns).
Additionally, the account comes with no monthly fees.
Read the full editor's Ally Bank Savings Account review.
Capital One 360 Performance Savings Account
The account has no monthly maintenance fee or any other account service fees. (Transactions that would typically incur a fee -- such as an excess withdrawal -- may be denied.)
Capital One is a brick-and-mortar bank with one of the best mobile banking apps with great design, easy navigation, mobile check deposit, Zelle payments, and more.
Read the Capital One 360 Performance Savings Account editor’s review.
Discover Online Savings
A high interest rate is great, but not if you can’t count on remaining at that level. That’s why we keep track of banks that offer the most consistent interest rates on savings accounts.
Discover Bank is hyper-focused on helping customers build savings, and its savings account is designed for that common financial goal.
As one of the biggest online banks, it has kept savings rates competitive consistently -- so you don't have to keep switching banks in search of a high APY.
Moreover, the account comes with no monthly fee, and the mobile banking apps allow you to access your account at any time from anywhere.
Read a full editor's Discover Bank Online Savings account review.
What to Know About High-Yield Savings Accounts
On the surface, savings accounts seem simple, but there are a number of factors that you need to pay attention to when picking a savings account:
The interest rate is one of the most important aspects of a savings account. It can be the difference between losing to inflation and keeping pace. It can also accelerate your progress toward long-term savings goals.
Compounding, or the ability to earn interest on interest, is what makes interest so powerful. Imagine you’re trying to save $15,000 for a down payment on a home.
If you’re earning no interest, reaching your goal will take 150 months or 12.5 years. If you’re earning 5% interest, it will take you less than ten years.
You’ll have contributed $12,000 and earned more than $3,000 in interest after ten years. More than 20% of the money for your down payment will have come from interest.
Why high interest rates are important
|After X Years...
||Average Savings APY at Top National Banks: 0.026% APY
||Average Savings APY at Top Online Banks: 3.00% APY
|Total interest earned after 10 years
Many online banks offer savings interest rates with higher APYs than national banks. Some credit unions may also offer higher rates on limited amounts if you meet balance and transaction requirements.
Savings Account Rates at the Top National Banks
You might be willing to pay the occasional fee if you have a big chunk of change in your savings account, and that tasty interest rate makes it worth your while.
However, that interest rate you signed up for might not be the one you’re getting a year, six months, or even three months down the road. And then, your account choice might not look like as nearly a good choice anymore.
This is commonly called a teaser rate or an introductory rate, and the difference between what you get going in and what it changes to can be drastic, with your interest payments sometimes being cut nearly in half.
Many banks won’t be completely forthright about how much you’ll be charged for certain services. We read the fine print to ensure you get the best and most consistent rates for your savings account.
Note: Not all banks will use teaser rates.
Fees and minimums
Fees and minimums are the other major aspects of savings accounts you must watch out for. The entire idea of a savings account is for it to be a safe place for your money.
You can hardly call a savings account "safe" if your bank will take the money from you with fees.
You may think that banks are happy to have your business, but many banks charge a fee for you to maintain an account with them.
The fees can range from $6 to $8, which may not sound all that much per month but can add up to a hefty yearly sum.
If you're keeping only a few hundred dollars in the account, the sum would be much less than the savings yield you're getting.
Bank of America, for example, has an $8 monthly fee on its basic savings account. Chase has a $5 fee for its Chase Savings account.
Since the interest rate at both banks is so low, those fees can quickly outpace the interest you can earn.
There are usually ways to avoid fees on savings accounts. Bank of America will waive its savings account fee if you maintain a $500 minimum balance.
You can also avoid the fee if you have a checking account with Bank of America. Similarly, Chase will remove the fee with a minimum balance of $300 or a monthly repeating transfer of $25 from a Chase checking account.
Banks use fees to encourage their customers to act in specific ways.
Savings Account Minimum Balances to Avoid Monthly Fees
If you don’t hit the minimum balances, some institutions will charge you if you don’t have another account at the same bank, like a checking account. This can limit your options when it comes to diversifying your banking.
Associate Professor of Social Work, University of North Carolina, Greensboro
Every American deserves an opportunity to build savings.
Banks should offer savings accounts for free -- no maintenance fee and no minimum monthly balances -- as a cost of doing business. These accounts should be linked to checking accounts that meet Bank On National Account Standards.
ATM fees may cost around $3 per withdrawal and add up monthly if you don't watch your transactions.
If you use an ATM outside your bank's network, you could be slapped with fees both by your bank and the bank to which the ATM belongs.
Going green has perks that go way beyond the environmental benefits. Used or canceled checks are now saved as digital images; this is fine for many.
However, when the time comes that you may need a copy of your check for tax purposes, for instance, you'd have to pay for it.
The same holds for bank statements and other paper documents.
The good news is most banks only charge when you request a copy of an old check or statement.
If you request for your checks to be delivered with your paper statement monthly, you'll get both free of charge.
Closing account fees
If your bank fees get really bad and you want out after only a few months, don't expect them to make it easy for you.
For the brief period they have served you and for closing an account, whether it's less than 90 or 180 days, you may need to pay a small fee.
The ability to set up recurring transfers is a very useful feature for a bank account.
Recurring transfers can send money to an investment account, move it to a vacation account, or otherwise automate your financial life.
If you’re saving up for multiple financial goals at once, recurring transfers make it easy without spending hours entering transfer requests.
Setting up a recurring transfer should be a free feature at banks that offer it. Savings accounts are designed to make your financial life easier, and recurring transfers take that a step further.
You have the best intentions to build larger savings, but reality creeps in when you’re not expecting it.
There may be times when you'll have to access those funds for urgent matters. It could be once a month or several times a month.
Just note that some banks will start charging after three or four withdrawals per month. If these withdrawals become frequent, the bank could automatically convert your savings account to a checking account or close your account entirely.
Read more about excess withdrawal fees and how does they compare across the top banks.
Savings Withdrawal Fees at Top U.S. Banks
||Savings Withdrawal Fee
||Maximum # Of Fees Charged Monthly
|Bank of America
||$10 after the first 6 withdrawals (fee waived if you maintain $20,000 in account)
||$5 after the first 6 withdrawals (fee waived for Chase Premier Savings accounts with a balance of $15,000 or greater, or $25,000 or greater in Chase Business Premier Savings accounts)
||Does not charge
||$15 after the first 6 withdrawals
||$15 after the first withdrawal
||$10 after the 6 allowed
||$9 after the first 6 withdrawals for Money Market/Savings accounts (fee waived for Savings Overdraft Protection transfers)
$3 after the first 3 withdrawals for Club Accounts
||$10 after the first 6 withdrawals
||$15 after the first 6 withdrawals
||$15 after the first 6 withdrawals
||$3 after the first 3 withdrawals
||No excess withdrawal fee
||No charge, but if this happens on more than occasional basis, the bank reserves the right to close the account for misuse
||$5 after the first 6 withdrawals
||No maximum, plus if you repeatedly exceed these limits, Santander will convert your account to a non-interest bearing checking account
||No excess withdrawal fee
||No charge, but if this happens on more than occasional basis, the bank reserves the right to close the account
Overdraft fees are big business for banks. The banks, in turn, often offer a way for you to use your savings accounts to "protect" you from these fees. But they don't completely protect you and only lessen the burn.
Overdraft protection works by linking your savings account to your checking account and automatically transferring funds to cover should you accidentally overdraft your checking.
It sounds like a nice enough feature, and it makes sense. After all, you had the money -- just not in the right account—anything to avoid that $38 overdraft fee.
The problem is, this service often isn’t free. You’re being protected from overdraft, to be sure, but you’re still paying something for the service.
Overdraft transfer fees cost about one-third of your typical overdraft fee.
So, while you are paying less than normal, you're still being charged -- making this one important feature. This is one feature to inquire about when evaluating your top savings account options.
Other Important Features
There are some other features we look for in savings accounts that can enhance an account:
Some banks let you separate your savings account into multiple pools of cash. You can add a nickname like “vacation fund” or “down payment” to those sub-accounts. That makes it easy to track multiple goals at once.
Debit/ATM card access
Savings accounts might also offer debit cards or ATM cards so that you can withdraw your cash more easily. If yours does, be sure to keep track of what ATM network the bank is part of so that you can avoid fees.
A high-quality mobile banking app can also make or break the savings account experience. Transferring money or checking your balance in a pinch is a helpful tool. Once you get used to it, not having those options isn’t easy.
Automatic savings programs
Other features, like Bank of America’s Keep the Change program, can help you save in other ways. Knowing all of the miscellaneous features a savings account offers can help you decide on the right account for you.
The FDIC insures every savings account in the United States for up to $250,000. Even if the bank that your savings account is at closes, you’ll get your money back (up to the covered amount).
The full faith and credit of the U.S. government backs the FDIC. That means you don’t have to worry about the FDIC running out of money. Every dollar you put in a savings account is completely safe.
Why Do Online Savings Accounts Top Our Picks?
Online banks don’t have to charge fees to stay afloat due to their low overhead costs. Online banks can centralize their operations by avoiding the need to rent buildings and hire tellers for physical locations.
This greatly reduces the cost of running the bank. Online banks also understand that it can be difficult not to have a physical location to visit when you need to withdraw or deposit cash.
That’s why most online banks refund ATM fees (limits may apply).
Online banks can also offer high-interest rates because of their lower costs. As a bonus, online banks tend to have excellent mobile and online apps since they’re the main interface customers will use.
Credit unions can also offer low fees and high interest rates but for a different reason than online banks.
Credit unions are owned by the people who open accounts with them.
That means that they will always be run to maximize account holders' benefit. However, credit unions have eligibility requirements that must be met before you can become a member.
An online savings account can be a great way to stash away your cash and earn interest.
It’s better than putting your extra money in a buried coffee can in the front yard or its bank equivalent, the interest-free checking account.
Many do not realize that certain savings accounts can cost you money while earning a negligible interest rate.
The associated fees could more than cancel out the money you will earn. So, your balance could get smaller with each passing month. A coffee can isn’t looking too bad now.
When opening a savings account, banks can use several little tricks to keep you from noticing discrepancies.
This deposit account can be a risk-free place to sock away cash until you figure out what else to do. But you must ensure hidden fees or other costs won’t blindside you.
Frequently Asked Questions
Is your money safe in an online savings account?
Yes, your money in an online savings account is safe because your deposits are insured by the FDIC (up to the eligible limits) just the same as a savings account from a brick-and-mortar bank.
Online banks are FDIC-insured too. In fact, the most popular online banks are some of the biggest U.S. financial institutions (by deposits).
Where can you get the most interest on my savings?
You’re likely to earn the most interest on your savings from an online bank. An online bank is able to offer market-leading interest rates because it doesn’t have to pay the high operating costs of running a physical network of branches and ATMs.
Without having to pay expenses for real estate, employee staffing, security, insurance, maintenance, and utilities, customers of online banks benefit from higher savings rates and lower (and fewer) fees.
Can you open and have multiple savings accounts?
How many times can you transfer in and out of my savings account?
Under federal law, you cannot make more than six (6) withdrawals or transfer out of your savings account per month. Banks may charge an excess withdrawal fee after the sixth withdrawal or transfer per month.
Additionally, if you make excess withdrawals on a regular basis (ultimately determined by the bank), the bank may choose to close your account or convert the account into a checking account.
Note: Some banks charge a withdrawal fee before the 7th withdrawal.
For example, the bank might charge such a fee upon the 5th withdrawal.
The Best Savings Accounts By State
We reviewed more than 100 savings accounts from the top U.S. banks, credit unions, and financial services providers for this guide.
The Best Savings Accounts were selected based on the consistency of high interest rates, fees, minimum balance requirements, account features, banking experience, and more.
Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any savings product issuer.