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Whether you’re building an emergency fund or saving up for a goal, looking at rates paid by traditional accounts can be frustrating. If you want your money to work a little harder while you make financial progress, a high-yield savings account can make a difference.
Online high-yield savings accounts usually pay a higher annual percentage yield (APY) than traditional savings accounts. Some accounts also have higher minimum deposit amounts needed to qualify for the best APY. Always consider your goals and financial habits when choosing a high-yield savings account.
| Name | Best for | APY | Min. deposit for APY |
|---|---|---|---|
Western Alliance Bank High-Yield Savings Premier | Highest APY | 5.36%† | $500 |
UFB Secure Savings | Overall | 5.25% | $0 |
Bread Savings High-Yield Savings Account | Goals | 5.15% | $100 |
Bask Bank High-yield savings | Earning airline miles | 5.10% | $0 |
Valley Direct High Yield Savings Account | Beginners | 4.80% | $1 |
CIT Platinum Savings | More to save | 5.05% | $5,000 |
Quontic High Yield Savings | Financial tools | 4.50% | $100 |
SoFi High Yield Savings | Welcome bonus | 4.60% | $5,000 |
Ally Bank Savings | Roundups | 4.35% | $0 |
Synchrony Bank High-Yield Savings | Easy access to funds | 4.75% | $0 |
Our top recommendations
If you’re looking for some good options, check out our list of best high-yield savings accounts.
Western Alliance Bank: Best for high APY
Highest APY
Western Alliance Bank High-Yield Savings Premier
Highest APY
Western Alliance Bank High-Yield Savings Premier
Best for
Highest APY
APY
5.36%†
Min. deposit for APY
$500
Monthly fee
$0
FDIC
Insured
Bank Size
$70 billion
Pros:
- No account activity or maintenance fees.
- Low minimum deposit of $0.01
Cons:
- Limited individual banking products and services.
Western Alliance Bank is one of the nation’s largest commercial banks. You don’t have to worry about monthly account activity or maintenance fees, but for individuals, banking products are limited.
Six withdrawals per month used to be a Federal Reserve Bank mandated limit on savings accounts until 2020, but some banks have kept the rule as a way to limit customers’ access to savings. Western Alliance Bank doesn’t set a monthly cap on withdrawals, which is a nice perk.
UFB Direct: Best for overall value
Overall
UFB Secure Savings
Overall
UFB Secure Savings
Best for
Overall
APY
5.25%
Min. deposit for APY
$0
Monthly fee
$0
FDIC
Insured
Bank Size
$20.82 billion
Pros:
- No maintenance fees.
- No minimum deposit.
- ATM card.
Cons:
- Limited banking products and services.
- No in-person banking.
UFB Direct offers one of the most competitive APYs and is a division of Axos Bank. You can access a number of tools, including SMS banking when you don’t have access to Wi-Fi and can’t use the app. You can transfer between accounts and even increase your protection if the FDIC insurance isn’t enough.
The savings ATM card offered by UFB Direct is also a nice feature that gives you access to tens of thousands of no-fee ATMs along with the earnings that you can’t get from a standard checking account.
Bread Savings: Best for setting goals
Goals
Bread Savings High-Yield Savings Account
Goals
Bread Savings High-Yield Savings Account
Best for
Goals
APY
5.15%
Min. deposit for APY
$100
Monthly fee
$0
FDIC
Insured
Bank Size
$21.6 billion
Pros:
- No maintenance fees.
- Calculator to help you calculate your savings over time as you work toward your goals.
- FDIC insurance.
Cons:
- Limited individual banking products and services.
- No in-person banking.
- Requires $100 to open an account.
Bread Savings is an online-only bank that offers a great way to save for goals using a high-yield savings account. The bank focuses heavily on high-yield savings products and offers a handy calculator to help you with goal-setting. It’s easy to open an account and get started working toward your savings goals.
Another nice feature of Bread Savings is its certificate of deposit account offerings. CDs with terms from 1 to 5 years offer APYs as high as 5.35% with a minimum deposit of $1,500.
Bask Bank: Best for earning airline miles
Earning airline miles
Bask Bank High-yield savings
Earning airline miles
Bask Bank High-yield savings
Best for
Earning airline miles
APY
5.10%
Min. deposit for APY
$0
Monthly fee
$0
FDIC
Insured
Bank Size
$28.3 billion (Texas Capital Bank)
Pros:
- No maintenance fees.
- Choose an account that earns 2.5 AAdvantage miles for each dollar saved.
- No minimum balance.
Cons:
- Limited banking products.
- No ATM card.
Bask Bank is a division of Texas Capital Bank and offers a savings option that allows you to accumulate American Airlines miles rather than interest on your account if you prefer. For those with loyalty, it can be a way to increase how much you earn and boost how quickly you earn miles.
Bask Bank savings is definitely no frills. Bask doesn’t offer many other banking products other than savings and certificates of deposit (CDs). And unlike some other online banks on this list, Bank Bank still follows Regulation D that limits the number of withdrawals from your account to six per accounting period.
Valley Direct: Best for beginners
Beginners
Valley Direct High Yield Savings Account
Beginners
Valley Direct High Yield Savings Account
Best for
Beginners
APY
4.80%
Min. deposit for APY
$1
Monthly fee
$0
FDIC
Insured
Bank Size
$61 billion
Pros:
- No maintenance fees.
- Earn Valley Direct’s the best APY on any balance.
- Interest is compounded daily.
Cons:
- Limited banking products.
- No in-person banking.
Valley Direct, the online digital offering from Valley Bank, a full-service bank headquartered in New Jersey, is ideal for beginning savers who want to begin earning a high yield immediately. You only need $1 to open an account, and you’re eligible for the best APY just by having $0.01 in the account. You don’t need to worry about monthly maintenance fees and there are plenty of online tools to help you manage your account.
It’s easy to open an online account with Valley Direct, and though it doesn’t offer any banking other banking products, its parent Valley Bank does.
CIT Platinum Savings: Best for those with more to save
More to save
CIT Platinum Savings
More to save
CIT Platinum Savings
Best for
More to save
APY
5.05%
Min. deposit for APY
$5,000
Monthly fee
$0
FDIC
Insured
Bank Size
$100 billion
Pros:
- No maintenance fees.
- No minimum balance.
- Interest is compounded daily.
Cons:
- Limited banking products.
- Requires a $100 opening deposit.
- Must maintain a balance of $5,000 for the best APY.
CIT is well-known for its high-yield products aimed at those who have more to save. It’s easy to deposit more into the account through transfers and mobile check deposits. It’s best for those who have at least $5,000, though, since the high APY is only available for those with a higher balance.
Like most of the banks on this list, CIT is an online-only bank. CIT parent company First Citizens Bank is based in North Carolina and has physical locations in 23 U.S. states. CIT does not charge ATM fees, and you get up to $30 in other bank’s ATM fees reimbursed per month.
Quontic: Best for financial tools
Financial tools
Quontic High Yield Savings
Financial tools
Quontic High Yield Savings
Best for
Financial tools
APY
4.50%
Min. deposit for APY
$100
Monthly fee
$0
FDIC
Insured
Bank Size
$561 million
Pros:
- No maintenance fees.
- Credit monitoring tools.
- Access to mortgage options.
Cons:
- Limited banking products.
- Requires a $100 opening deposit.
Quontic: offers a fast and easy way to open one of the best high-yield savings accounts. In addition to offering a competitive yield, the Quontic app includes the ability to track your spending and monitor your credit. You can also access mortgage products.
One of the notable features offered by Quontic: is the analytics tools you get with a savings account. Users can get a full credit report, and credit report monitoring, as well as the ability to categorize, search and filter their transactions in order to manage spending.
SoFi Savings: Best for a generous welcome bonus
Welcome bonus
SoFi High Yield Savings
Welcome bonus
SoFi High Yield Savings
Best for
Welcome bonus
APY
4.60%
Min. deposit for APY
$5,000
Monthly fee
$0
FDIC
Insured
Bank Size
$30.07 billion
Pros:
- No maintenance fees.
- Welcome bonus of up to $300.
- Earn an APY on a connected checking account.
Cons:
- Must deposit $5,000 for the highest bonus.
- Aggregate qualifying balances must be $5,000 for highest APY.
- There’s no standalone checking account.
SoFi Savings offers a welcome bonus of between $50 and $300, depending on how much you deposit. You can also divide up your savings into different goals. SoFi will also open a linked checking account that also earns an APY.
Customers who enable direct deposit into their high-yield savings account also get access to their paychecks early.
Ally Bank: Best for roundups
Roundups
Ally Bank Savings
Roundups
Ally Bank Savings
Best for
Roundups
APY
4.35%
Min. deposit for APY
$0
Monthly fee
$0
FDIC
Insured
Bank Size
$196 billion
Pros:
- No maintenance fees.
- Tools to boost your savings even more.
- Buckets for different goals.
Cons:
- Higher APYs elsewhere.
- $25 fee for research on extensive transaction history.
Ally is one of the pioneers of high-yield online banking, offering a suite of products and services. In addition to making it easy to save with different sub-accounts for goals, Ally also offers roundups. When you make purchases with connected accounts, you can automatically save more. Ally also offers automatic transfers when it identifies “safe” savings.
One underappreciated and useful feature of Ally Bank accounts are the low fees. Ally doesn’t charge for incoming domestic or international wire transfers, and it doesn’t charge for standard or expedited ACH transfers. So no matter how you move your money, you do it for less.
Synchrony Bank: Best for easy access to funds
Easy access to funds
Synchrony Bank High-Yield Savings
Easy access to funds
Synchrony Bank High-Yield Savings
Best for
Easy access to funds
APY
4.75%
Min. deposit for APY
$0
Monthly fee
$0
FDIC
Insured
Bank Size
$112.93 billion
Pros:
- No maintenance fees.
- Access funds fee-free with ATM card.
- No minimum balance or deposit.
Cons:
- Limited banking products.
- Some ATMs might charge their own fees, and those aren’t reimbursed.
Synchrony offers access to fee-free ATMs to access your cash if needed. It’s one of the few online banks that offers an ATM card. You can also apply for credit cards and easily manage your account from the mobile app.
Unfortunately, Synchrony doesn’t reimburse you for ATMs at non-financial institutions (like the ATM in your local pizza shop), and it only reimburses you $5 per statement cycle for ATM withdrawals at financial institutions. That works out to roughly 2 covered withdrawals per month.
How we chose the best high-yield savings accounts of 2024
We compared savings accounts based on the following criteria: APY, minimum deposit, minimum balance and fees. We also took the search volume on the brand name or bank name, the introductory bonus for opening the account, accessibility (like the number of branches or ATMs) and whether the bank is insured into our analysis for greater nuance.
Ultimately, we looked for savings accounts that offer the most value to customers.
Choosing the best savings account: Where to begin
When choosing a high-yield savings account, consider what you hope to accomplish with the account. Compare three to five accounts, paying attention to:
- APY.
- Whether you need to maintain a higher balance to get the best APY.
- Minimum opening deposit.
- Perks and benefits.
Make sure you get what’s likely to work best for you.
What is a high-yield savings account?
A high-yield savings account is one that offers an APY that’s much higher than the national average. Often, high-yield savings accounts are only accessible online. Usually, you’ll see the account pay between five and ten times what you’d get with a brick-and-mortar institution.
Pros:
- APY is usually higher than the overall national average for savings accounts.
- Usually liquid with easy access to the money.
- You might have access to other perks and benefits.
Cons:
- You might need to maintain a higher balance to get the best APY.
- There are usually withdrawal limits.
- APYs can be cut with little notice.
Alternatives to high-yield savings accounts
- Certificates of deposit (CDs): If you’re willing to “lock up” your money, you might be able to get a better yield at a guaranteed rate for a set period of time. This can protect you if rates fall and APYs start to drop.
- Money market account: You can also get liquidity with a money market account, which might have checking-writing privileges and other benefits. However, you might still have withdrawal and transaction limits.
Frequently asked questions (FAQs)
Are high-yield savings accounts safe?
Yes, as long as the account is with an FDIC-insured institution, your funds are protected up to FDIC limits.
Do high-yield savings accounts have withdrawal limitations?
Yes, many savings accounts have withdrawal limits. Review your deposit agreement to ensure you understand it.
Are there penalties for closing a high-yield savings account?
There usually aren’t penalties for closing a high-yield savings account, but you should read the fine print to make sure.
How often do savings rates change?
These can change at any time, depending on market conditions, the Fed Funds rate and other factors.
Do you pay taxes on interest earned in a high-yield savings account?
Interest earned from a high-yield savings account is usually reported as income on your tax return, and you might have to pay taxes on it at your ordinary rate.
Why are most high-yield savings accounts online?
In many cases, these financial institutions are saving money on the overhead from brick-and-mortar operations. It helps them keep costs low while reaching more people.
Can you ever lose your money with a high-yield savings account?
In most cases, you’d only lose money if the bank weren’t FDIC insured, or if you have deposits above the limit. You can also lose buying power to inflation if the inflation rate is higher than the APY.
†5.36% annual percentage yield (APY) is accurate as of 01/17/2024 and subject to change at the Bank's discretion. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.
AP Buyline’s content is created independently of The Associated Press newsroom. Our evaluations and opinions are not influenced by our advertising relationships, but we might earn commissions from our partners’ links in this content. Learn more about our policies and terms here.
