Best high-yield savings account rates: Updated daily

The Fortune Recommends editorial team looked at more than 60 banks and credit unions and identified several financial institutions offering high yields, some more than 11 times the national average.

Top 20 highest savings rates on the market today

SPONSORED PARTNER

SoFi Checking & Savings

APY	4.60%
Minimum Balance Required to Earn APY	$0
Minimum Opening Deposit	$0
Monthly Maintenance Fee	None

Advertiser Disclosure

View offer

at SoFi

About

SoFi (which stands for Social Finance, Inc.) began as a student loan refinancing company and has since expanded into a broad financial services company that offers a range of products, including bank accounts, loans, investments, insurance, and more. SoFi operates primarily online and does not have physical branches.

Additional Details

SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.60% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either Direct Deposit or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 10/24/2023. There is no minimum balance requirement. Additional information can be found here.

View offer

at SoFi

Calculate interest earnings on top savings accounts

Are you curious about your earning potential with these banks? Use the calculator below to see how much interest you could earn with various deposits, contributions, and interest rates. Keep in mind that the APY on savings accounts can fluctuate without warning, so if you want to lock in a high interest rate for an extended time, you may want to consider certificates of deposit (CDs) instead.

The best high-yield savings accounts: Editors' picks

Our picks for this month’s best high-interest savings accounts offer high yields, low fees, and other important features, such as ATM access, online and mobile banking, and more. Plus, each account is protected by the Federal Deposit Insurance Corp. (FDIC), which insures up to $250,000 per depositor, per account, giving you an extra sense of security for your savings.

Note: APYs in our list below are updated daily but are subject to change. Read our full methodology here.

UFB Direct: 5.25% APY

UFB Direct is an online bank and a division of the more widely known Axos Bank. Its branchless, online-only model allows it to keep costs down and offer some of the best rates on savings and money market accounts on the market. It offers high-yield savings, money market accounts (MMAs), and mortgages.

UFB Secure Savings

APY	5.25%
Minimum Balance Required to Earn APY	$0
Minimum Opening Deposit	$0
Monthly Maintenance Fee	$0

View offer

at UFB Direct

Additional Details

Customers can contact a customer service representative via telephone 24 hours a day, 365 days a year, or via secure messaging in their mobile banking app.

View offer

at UFB Direct

Why we picked it

UFB Direct’s savings account rivals competitors in rate, with a 5.25% APY. With no minimum deposit requirement and zero monthly fees, this account could be a great option for anyone looking to boost their savings. UFB Direct also stands out for its massive ATM network of over 91,000 locations, highly rated mobile app, and generous customer service hours, including 24/7 phone support. 

You’ll likely want this savings account in addition to other deposit accounts at your primary bank since UFB doesn’t offer a checking account. However, your UFB preferred savings account also includes a complimentary ATM card for fast cash.

People with large amounts of cash should be aware of the UFB Direct savings account’s limits:

• $250,000 maximum opening deposit
• $30,000 maximum daily transfer
• $60,000 maximum monthly transfer

Learn more: Read our UFB Direct review

Credit Karma Money Save: 5.10% APY

Credit Karma is a financial technology company (fintech) owned by Intuit. It offers personal finance tools, calculators, credit monitoring services, and a limited range of banking products, such as checking and savings accounts.

Credit Karma Money Save

APY	5.10%
Minimum balance required to earn APY	$0.01
Minimum opening deposit	$0
Monthly maintenance fee	$0

View offer

at Fiona

Additional details

Credit Karma has an online help center with a robust list of articles detailing most customer concerns. If you can’t find an answer to your question, you can fill out an online form to contact member support.

View offer

at Fiona

Why we picked it

When it comes to opening a Credit Karma Money Save account, you don't have to worry about meeting a minimum deposit requirement to open the account or paying monthly maintenance fees. You can enjoy a generous 5.10% APY, plus, the minimum balance needed to earn the APY is only a penny, so your savings will grow no matter the amount.

To open the savings account, you’ll first need a general Credit Karma account. From there, you can open the online account through its online browser or in the app. 

Note that Credit Karma isn't a bank, so your deposits are held by MVB Bank and its partner banks. This arrangement allows you to receive FDIC insurance coverage of up to a whopping $5 million. In general, FDIC insurance covers $250,000 in assets per customer, so this is quite the jump and could be helpful for those with large accounts.

Varo: 5.00% APY

Founded in 2015, Varo is an online-only bank offering products, such as bank accounts and a credit card. As a neobank, it has over 3 million customers with a mission to make financial inclusion available to all.

Varo Savings

APY	5.00%
Minimum Balance Required to Earn APY	$0
Minimum Opening Deposit	$0
Monthly Maintenance Fee	$0

View offer

at Fiona

Additional details

If you need help with your account, you can get support via chat or phone call. Chat support is available Sunday through Saturday from 8 a.m. to 4:30 p.m. Mountain time, and you can give them a call Monday through Friday from 9 a.m. to 4:30 p.m. MT.

View offer

at Fiona

Why we picked it

With a Varo Bank account, you can earn a whopping 5.00% APY on your savings, but you’ll need to meet some qualifications first. When you first invest, you’ll earn 3% on your balance. To earn the 5.00% APY, you’ll need to meet one of these two requirements:

1. Receive qualifying direct deposits of $1,000 or more in your account
2. Have a positive balance on both your Varo bank and savings account

However, note that you’ll only receive a 5.00% APY on balances up to $5,000. Any additional balance above that amount earns 3%. While Varo doesn’t offer the best APY, it does provide helpful savings tools, such as a round-up feature that rounds up your spending on a transaction and stashes that money in your savings account.

Learn more: Read our Varo Bank review

My Banking Direct: 5.55% APY

My Banking Direct is an online-only bank and division of Flagstar, N.A., one of the largest regional banks with a significant retail presence in the Midwest and California.

My Banking Direct

APY	5.55%
Minimum opening deposit	$500
Monthly fee	None

View offer

at Fiona

Additional details

Customers can call 24/7 to reach an automated system or talk to a banker Monday–Friday from 8 a.m. to 8 p.m. Eastern time, Saturday from 9 a.m. to 5 p.m. ET, and Sunday from 9 a.m. to 2 p.m. ET. They can also send a secure message through the online banking portal

View offer

at Fiona

Why we picked it

My Banking Direct’s 5.55% APY is impressive, and with no monthly fee and only $1 needed to earn the APY, it’s a highly accessible account as long as you’ve got  $500 to open it. 

Mobile banking (including mobile check deposits), automatic deposits, and unlimited transactions make this account appealing for short- or long-term savings goals. My Banking Direct’s mobile app is through its parent company, Flagstar, and the Flagstar Mobile Banking app is rated well for both Apple and Android users. It uses fingerprint and face ID for extra security.

My Banking Direct makes it easy to set up automatic direct deposits, helping you grow your savings quickly and effortlessly. You can also utilize mobile check deposits, so you’ve got options for how you want to add to your account.

Learn more: read our My Banking Direct review

Newtek Bank

Newtek Bank Personal High Yield Savings

APY	5.25%
Minimum balance required to earn APY	$0.01
Minimum opening deposit	$0
Monthly maintenance fee	$0

View offer

at Fiona

Additional details

Customers can call Newtek Bank and receive support 24/7, or they can send an email to digitalbanking@newtekone.com.

View offer

at Fiona

Why we picked it

With Newtek Bank, you get a low-cost savings account with a stellar rate that’s over 11 times the current national average. There’s no minimum opening deposit or monthly maintenance fees. Plus, you only need to have a balance of $0.01 to earn interest, meaning you can grow your savings no matter how small you’re starting out. 

You can rest assured knowing there are no service charges or transaction fees related to the account, although, as with savings accounts, there’s a limit of six transactions per statement cycle. 

You can access your funds easily on Newtek’s digital platform. Its app is rated quite well for both Apple and Android, with 4.6 and 4.4 stars, respectively. Newtek also offers many customer service options, so if you need help, you can connect with them via video, audio, text chat, or phone call.

Learn more: read our Newtek Bank review

See more savings accounts we've reviewed

Major national banks with high-yield savings accounts

Major national banks generally offer minuscule APYs compared to some of the top institutions on our list. For example, Bank of America, Chase Bank, and Wells Fargo offer a measly APY of 0.01% on their savings accounts, whereas most of the options listed above are over 5%. 

Large banks don’t rely on the money consumers deposit into their savings accounts the way smaller banks do. Huge financial institutions make their money from interest paid on loans, fees, and securities. Smaller banks and online fintechs are continuously looking for ways to draw in new customers, and offering competitive APYs on their deposit accounts is a great incentive. Additionally, online banks generally have fewer upfront costs, so they can offer better rates to their customers.

That being said, a few major banks still offer decent rates on savings accounts. Here are several national banks and their savings account APYs as compared to the best on our list:

What is a high-yield savings account (HYSA)?  

A high-yield savings account works just like a traditional savings account. It’s a deposit account at a credit union or bank that you can use for saving and earning interest on your money. The main difference is that the high-yield savings account offers a much higher APY on the money you keep in your account.

APY

The most recent rates from the FDIC put the national savings APY average at 0.46%, while there are many high-yield savings accounts that offer a 4.00% APY or higher. 

Monthly maintenance fee

Some financial institutions charge a monthly fee to cover the administrative costs of providing a savings account. These fees can often be waived by meeting certain requirements, such as maintaining a minimum balance or linking a checking account. However, fees can easily wipe away your interest earnings, so choosing an account that charges minimal or no fees is important, if possible.

Minimum deposit

You may be required to deposit a minimum amount of money to open a high-yield savings account. Depending on the account, the amount can range from $0 to $1,000 or more. It’s also common for high-yield savings account rates to be tiered, meaning higher rates are available for higher balances. Always check the balance requirements of an account to find out if you need to meet a certain threshold to earn the advertised rate.

How does a high-yield savings account work?

When you deposit money in a high-yield savings account, your savings will grow thanks to the magic of compound interest. This means you’ll earn interest on the principal balance in your account and any interest you earned previously. For example, if you deposited $100 in your account and earned $10 in interest over the past few months, you will earn interest on the entire $110.

Can savings account interest rates change?

The APY on your account can and likely will fluctuate any time the Fed raises or decreases the federal funds rate. That’s the interest rate banks charge one another to borrow money, and your bank may be inclined to raise or lower rates on its financial products based on these changes. 

How much will $10,000 make in a high-yield savings account?

The interest you’d earn on a $10,000 deposit depends on the annual percentage yield and frequency of compounding.

For example, if you deposited $10,000 into a high-yield savings account that earns 5% APY—and didn’t make any other contributions—you’d have a total balance of $10,500 at the end of one year, assuming the interest compounds annually. If it compounds daily, you’d have a bit more: $10,512.67.

The rate at which your interest compounds (daily, weekly, monthly, or annually) will depend on the financial institution. 

Pros and cons of high-yield savings accounts

If you’re considering putting your money in a high-yield savings account, there are a few key benefits and drawbacks to be aware of.

Advantages of high-yield savings accounts

One of the main advantages of high-yield savings accounts is that they typically offer interest rates well above the national average. Currently, the national average APY for a traditional savings account sits at 0.45%, whereas some of the high-yield accounts on our list boast rates as high as 5.00%. 

A high-yield savings account also provides greater security than some other investment options. Most high-yield accounts are FDIC- or National Credit Union Administration (NCUA)-insured, meaning that your deposits are protected up to $250,000 per depositor, per institution in the event of a bank failure. 

Disadvantages of high-yield savings accounts

Meanwhile, you usually won’t earn as much in a savings account as you would by investing your money in the market, even with a high-yield account. Even so, high-yield savings accounts are sensitive to changes in the economy, which means that your APY can increase or decrease at the discretion of your bank. 

There may also be a cap on your monthly withdrawals. Your financial institution may limit the number of withdrawals you can make each month. You may be charged a fee for each additional transaction if you exceed the limit.

Best uses for a high-yield savings account

High-yield savings accounts can be an effective savings vehicle for savers with many different types of goals. A few common uses for high-yield saving accounts include:

• Emergency savings: You’ll never exactly know when you’ll need to dip into your emergency savings. A high-yield savings account is a liquid account that makes it easy to access your funds in a pinch.
• Savings for major purchases: Say you want to purchase a new home appliance or save for a down payment on a new vehicle you plan to purchase within the next few months. A high-yield savings account can help you earn interest on your savings until it’s time to make your purchase.
• Short-term financial goals: A high-yield savings account is a great place to stash your cash for a specific goal, such as a family vacation or home renovation.

How to choose the best high-yield savings account for you

Choosing the right high-yield savings account will require you to think carefully about your financial habits, preferences, and goals so that you can select the account that best suits your needs. 

Shop around for a lucrative APY

The APY is the interest you can expect to earn on the money you keep in your account for one year. While this percentage may fluctuate depending on your bank and the economy's health, you’ll want to give your savings the greatest chance of growing and earning as much compound interest as possible. 

The FDIC regularly publishes average national rates for various accounts, including high-yield savings accounts, so this is a trustworthy resource to use when shopping around for rates. Ideally, a lucrative high-yield savings account will offer a savings rate of at least 10 times that rate. 

Consider the requirements for opening an account

Many, but not all, high-yield savings accounts require a minimum deposit to open your account. This figure can vary widely across financial institutions, with some requiring no minimum deposit and others requiring a minimum deposit well into the thousands. If you’re a new saver, you may not be able to opt for an account requiring a higher minimum deposit. 

Read the fine print on fees

Certain accounts may charge fees for maintaining your account, transferring funds, and more. An excessive fee structure can eat into your balance if you’re not keeping close tabs on your account. Weigh the different fees you could become responsible for and determine if the perks that come with the account outweigh potential penalties down the line. 

Consider access limits on your funds

Not all high-yield savings accounts will come with physical branch access or a large ATM network. If you’re looking for an account that will provide you with face-to-face support and easy access to your funds, double-check that the financial institution you’re considering banking with has locations and ATMs in your area.  

Review online and mobile platforms for usability

If you prefer to do your banking on your desktop or phone, explore the financial institution’s online and mobile platforms before opening an account. Read Apple App Store and Google Play reviews to learn more about the digital platforms and tools available to you and what kinds of features and services are available on those platforms. 

Weigh available customer service options

Lastly, it’s important to know how to contact a representative if you have questions or issues related to your account. Some financial institutions take a digital-first approach and don’t offer easy access to a real human. Others prefer a phone call over chat or email options. Make sure an account’s customer service options align with how you like to communicate.

How to open a high-yield savings account

Ready to open an account? Here’s what to do:

• Research different banks and credit unions: Compare accounts from different financial institutions to see which offer the best interest rates and benefits and have the lowest fees. Be sure to check both traditional brick-and-mortar institutions and online banks.
• Check the requirements: Some banks might require a minimum deposit to open an account or require a certain balance to avoid fees. Be sure you understand the terms and are comfortable with them.
• Visit the bank or apply online: Many banks and credit unions allow you to open an account online or through their mobile app. If you prefer, you can usually go to a physical branch to open your account.
• Fill out the application: You will need to provide some personal information, including your Social Security number or individual taxpayer identification number (TIN), a valid ID (such as a passport or driver’s license), and contact information.
• Deposit funds: Once your application has been approved, you’ll need to deposit funds into the account. The amount will depend on the bank’s requirements.

Alternatives to high-yield savings accounts

High-yield savings accounts differ from other types of deposit accounts in a few key ways:

• Access to your savings: High-yield savings accounts are more liquid than other types of accounts, such as CDs. Withdrawing money from a CD before maturity could result in an early withdrawal penalty. With a high-yield savings account, you may still be limited in how many withdrawals you can make within a particular time, but you still have some access to your money. Similar to traditional savings and MMAs, you may also have debit cards and/or check privileges.  
• High-yield savings accounts offer variable APYs: The APY on your high-yield savings account fluctuates, similar to a traditional savings account or MMA. For savers who prefer a fixed rate, a CD may be a better option, but it would mean giving up access to your funds for the duration of your CD term until your account reaches maturity.

High-yield savings accounts vs. traditional savings accounts

The primary difference between a high-yield savings account and a traditional savings account lies in their interest rates. High-yield savings accounts offer significantly higher interest rates compared to traditional savings accounts, which means that the money saved in a high-yield account grows faster. In some cases, high-yield accounts might come with more restrictions, such as limitations on the number of withdrawals and higher minimum balance requirements.

High-yield savings accounts vs. CDs

High-yield savings accounts are similar to traditional savings accounts, with the key difference being that high-yield accounts typically offer a more generous APY. They differ from CDs in that high-yield savings accounts preserve access to your funds, while CDs require that you commit to locking up your funds for a fixed term if you hope to avoid a penalty.

High-yield savings accounts vs. money market accounts

High-yield savings accounts are similar to MMAs in that you’ll earn interest on your balance and can easily access your funds. One key difference between the two account types is that you may need to deposit and maintain a certain balance to open an MMA and, in some cases, the higher the balance, the higher your rate may be.

Our methodology 

The Fortune Recommends™ team collaborated with industry leader Curinos to bring you savings accounts with the highest rates from around the country. The rates in this article only cover online and brick-and-mortar banks and do not include credit unions.

For the editors' picks, we compared more than 60 online savings accounts and specifically looked for accounts available to customers in the United States regardless of where they’re located, subject to the terms of each account. Our methodology ranked each account in these core categories: 

• APY (50%): This number represents the real rate of return on your balance; the higher the APY, the better. 
• Monthly fees (10%): Some banks charge monthly maintenance fees. We ranked banks with lower (or zero) monthly fees higher on the list.  
• Minimum amount to earn APY (10%): To earn the high APY, some banks require that you maintain a certain dollar amount in the account, which we view as a limiting factor. 
• Minimum opening deposit (10%): Some financial institutions require a deposit amount when you open your account. We rate a higher opening deposit as less attractive. 
• Mobile app rating (10%): Many banks have a mobile app you can use to manage your account. We looked at banks’ mobile app ratings in the Apple store.
• Money management tools (5%): Some banks offer digital tools that make it easier for customers to track their spending and savings.
• Customer support (5%): Top picks offer customers various ways to get in contact: chat support, by phone, or even email—our team rated phone support the highest.

Frequently asked questions