Margarette Burnette is a NerdWallet authority on savings, who has been writing about bank accounts since before the Great Recession. Her work has been featured in The Associated Press , USA Today and other major newspapers. Before joining NerdWallet, Margarette was a freelance journalist with bylines in magazines such as Good Housekeeping, Black Enterprise and Parenting. She is based near Atlanta, Georgia.
Assigning Editor Yuliya Goldshteyn
Assigning Editor | Banking
Yuliya Goldshteyn is a former banking editor at NerdWallet. She previously worked as an editor, a writer and a research analyst in industries ranging from health care to market research. She earned a bachelor's degree in history from the University of California, Berkeley and a master's degree in social sciences from the University of Chicago, with a focus on Soviet cultural history. She is based in Portland, Oregon.
Fact CheckedMany, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
Strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions .
More than 90 financial institutions surveyed by our team of experts.
More than 50 data points considered for each bank and credit union to be eligible for our roundups. For this specific page, more than four data points were considered per institution.
The best savings accounts have high annual percentage yields, or APYs. The higher the APY, the more money you'll earn over time. NerdWallet’s list of best savings accounts have APYs of up to 5.30%.
NerdWallet's featured accounts are among those that have consistently had the highest rates for years. (In 2022, banks began to increase the interest rates on their savings accounts after a period of rate cuts in response to financial conditions.) The accounts on this page can bolster your emergency fund faster than an account with an average rate, which is currently just 0.46% .
Strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions .
More than 90 financial institutions surveyed by our team of experts.
More than 50 data points considered for each bank and credit union to be eligible for our roundups. For this specific page, more than four data points were considered per institution.
The best savings accounts have high annual percentage yields, or APYs. The higher the APY, the more money you'll earn over time. NerdWallet’s list of best savings accounts have APYs of up to 5.30%.
NerdWallet's featured accounts are among those that have consistently had the highest rates for years. (In 2022, banks began to increase the interest rates on their savings accounts after a period of rate cuts in response to financial conditions.) The accounts on this page can bolster your emergency fund faster than an account with an average rate, which is currently just 0.46% .
The Fed is expected to lower its benchmark rate in September. Saving in a high-yield account means you can still earn some of the best rates around, even if APYs start falling.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
SoFi Checking and Savings
Learn moreat SoFi Bank, N.A., Member FDIC
Best for Savings Accounts
SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.50% 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. Only SoFi members with direct deposit are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of 8/27/2024. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.
With $0 min. balance for APY Earn up to $300 with direct deposit. Terms apply. Learn moreat SoFi Bank, N.A., Member FDIC
Bread Savings™️ High-Yield Savings Account
Learn moreat Bread Savings, Member FDIC
Best for Savings Accounts
All Bread Savings APYs are accurate as of 09/05/2024. APYs are subject to change at any time without notice. Offers apply to personal accounts only. Fees may reduce earnings. For high-yield savings accounts, a minimum of $100 is required and must be deposited in a single transaction. For high-yield savings accounts, the rate may change after the account is opened.
With $100 min. balance for APY Learn moreat Bread Savings, Member FDIC
CIT Bank Platinum Savings
Learn moreat CIT Bank, Member FDIC
Best for Savings Accounts
With $5,000 min. balance for APY Learn moreat CIT Bank, Member FDIC
E*TRADE Premium Savings
Read reviewBest for Savings Accounts
With $0 min. balance for APY Read reviewUFB Portfolio Savings
Learn moreat UFB Direct, Member FDIC
Best for Savings Accounts
With $0 min. balance for APY Learn moreat UFB Direct, Member FDIC
Marcus by Goldman Sachs Online Savings Account
Read reviewBest for Savings Accounts
4.40% APY (annual percentage yield) with $0 minimum balance to earn stated APY. Accounts must have a positive balance to remain open. APY valid as of 4/3/2024.
With $0 min. balance for APY Read reviewNerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
Learn moreat SoFi Bank, N.A., Member FDIC
With $0 min. balance for APY
Earn up to $300 with direct deposit. Terms apply.
The savings portion of Checking and Savings offers 4.50% APY (variable and subject to change) for customers with direct deposit or a deposit of at least $5,000 every 30 days into the account. Without direct deposit or the other monthly deposit, that goes down to 1.20% APY.
Some banks have excellent savings options, but don’t offer checking accounts. This means customers will have to look at additional institutions to meet their full banking needs. But if you prefer to keep your checking and savings at the same bank, SoFi has you covered.
In addition, money kept in the checking portion of the account earns 0.50% APY, regardless of whether you set up direct deposit. There’s no minimum deposit requirement to open an account and no monthly maintenance fees.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
Learn moreat Bread Savings, Member FDIC
With $100 min. balance for APY
The Bread Savings™️ High-Yield Savings Account has no monthly maintenance fees and a solid APY. The account requires a minimum opening deposit of $100. Keep in mind that Bread Savings doesn’t offer checking accounts, so you’ll have to open one elsewhere.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
at CIT Bank, Member FDIC
With $5,000 min. balance for APY
CIT Bank's Platinum Savings account pays a 4.85% APY on balances of $5,000 or more. If your balance is below $5,000, the APY is 0.25% . The minimum amount to open an account is $100, and there are no monthly service fees.
As hinted above, this account is best for those who carry balances of $5,000 or more. If you plan to deposit a smaller amount, CIT Bank does have three other savings options. But those accounts don’t have rates as high as the Platinum Savings rate, so you may be better served finding a comparable high-yield account at a different bank.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
Read reviewWith $0 min. balance for APY
This financial institution, part of the Morgan Stanley Private Bank brand, offers a high-yield savings account with an attractive rate and no monthly fee. E*TRADE also offers a mobile app that lets customers access their balance, make transfers and manage their E*TRADE securities accounts, too.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
at UFB Direct, Member FDIC
With $0 min. balance for APY
UFB Direct’s savings account offers an attractive APY. The account has no monthly maintenance fees and there is no minimum amount requirement.
Editor’s note: Over the past year, NerdWallet readers have described delays in getting issues resolved through customer support. These complaints don't factor into UFB Direct's star ratings. Please read the the full review for details.
NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service.
Read reviewWith $0 min. balance for APY
The Wall Street firm’s online bank has a strong savings option with a rate of 4.40% annual percentage yield, and there is no minimum balance requirement to start earning interest. The bank’s online CDs also have top yields.
The account is best for people who want to park their money in an online-only account and don’t need to visit bank branches. You can still access your money in multiple ways, including via desktop and mobile app. Note that Marcus does not offer a checking account or an ATM card, so you’ll need to transfer funds from an external account.
The best savings account interest rates are around 5%. At a brick-and-mortar bank, you'll often find savings rates closer to the national average, which is currently 0.46% .
If you have a $10,000 savings balance, choosing an account that pays 5% will earn you about $500 in a year, while an account paying you 0.40% APY would earn about $40. The difference increases the more you deposit and the longer you keep it in the account.
If you have money left in your checking account each month — or you can adjust your budget so that you do — you should have a savings account with a high rate. (Again, think around 5%.) It's always helpful to have money set aside for emergencies, and it'll earn you much more in an account that pays one of the best savings account rates than in a checking account.
Just make sure you can keep enough in your savings account to avoid monthly fees. Most online savings accounts don't charge these, but many traditional accounts do.
The best savings accounts typically don’t charge monthly fees. You make your deposit and watch your balance grow as your money earns interest.
» Find out how your savings could add up with NerdWallet’s compound interest calculator .
It's easy to find a savings account at your local bank, but if you want to earn a high rate and pay the lowest fees, you should consider storing your savings in an online account. Without the added expenses of large branch networks, online banks and nonbank providers are able to offer more favorable returns than national brick-and-mortar banks.
You can typically open an account either online or in person. You'll need to provide your Social Security number and contact information (phone number and address), along with at least one form of identification, such as a driver’s license or a passport. If you’re applying for a joint account, the other person must provide this information and ID too.
Similar to opening a savings account at a branch, you’ll need to provide some information to open an online account. You'll provide your contact information and Social Security number, in addition to information from your ID (such as your driver’s license number). To make your initial deposit, you may need to link an external bank account to transfer money electronically.
Yes, provided your money is insured by the Federal Deposit Insurance Corporation or the National Credit Union Administration.
» Dig deeper: Learn more about FDIC and NCUA insurance for deposit accounts.
Yes, rates are variable and can change over time. If you are looking for a fixed rate account, and can set aside funds for a specific time period without making a withdrawal, consider opening a certificate of deposit. NerdWallet's list of best CD rates features top options.
Financial institutions generally don’t change savings rates on an hourly, daily or even monthly basis. In fact, under normal circumstances, it’s common to see APYs remain the same for several months.
It’s important to note, however, that rates are variable and theoretically can change at any time. In addition, many providers will change their rates based on what their competitors are doing. You will often see groups of providers increase or decrease their APYs at around the same time, especially if the Federal Reserve recently increased or cut rates.
To get the best yield for your money, it’s a good idea to check out the best savings rates on a regular basis — at least once a month.
» Find high rates across checking, savings and other accounts in NerdWallet's list of high-interest accounts .
Savings account: A deposit account from a financial institution that typically earns interest.
Interest: Money a financial institution pays into an account over time.
Compound interest: Compound interest is the interest you earn on both your original money and on the interest you keep accumulating. In an account that pays compound interest, the return is added to the original principal at the end of every compounding period, typically daily or monthly. Each time interest is calculated and added to the account, the larger balance earns more interest.
Annual percentage yield: The annual percentage yield, or APY, is the amount of interest an account earns in a year. The calculation is based on the account’s interest rate and the number of times interest is paid during the year.
Minimum balance: A minimum balance is the lowest dollar amount you need in a bank account either to avoid fees or satisfy account requirements. The minimum can be an average balance or a fixed amount that’s required either daily or monthly.
Average monthly balance: An average monthly balance is found by adding up the account balances at the end of each day in a month, and then dividing by the number of days in the month.
Minimum opening deposit: An initial deposit, or minimum opening deposit , is the specific amount of money you need to open a bank account.
Here are a few options:
Money market accounts: These accounts are a type of savings account, but they might have higher minimum balances and offer perks such as check-writing, which is rare for savings accounts.
Certificates of deposit: These accounts lock your balance away for a specified period of time — often between one year and five years — in exchange for a higher interest rate. But if you withdraw any money during the term, you'll typically have to pay a penalty. CDs are also covered by FDIC insurance.
Yes, savings account interest is generally taxable. Your provider will probably send you a form reporting it if you earned more than $10 during the tax year. Note that you are likely to earn more interest with a high-yield savings account.
When we describe a savings account that is offered by a bank, we note “Member FDIC,” since the bank is a member of the Federal Deposit Insurance Corp. and the account is federally insured. If a financial technology company — not a bank — offers a savings account, it typically partners with a bank that is an FDIC member to hold the funds so deposits can be insured. In those cases, we note “funds insured by the FDIC.” Savings accounts at credit unions are federally insured by the National Credit Union Administration, so we note “funds insured by the NCUA.”
Here are all of NerdWallet's picks for the best savings accounts.
Barclays , 4.20% savings APY with no minimum to open account ( read full review ), Member FDIC. Bask Bank , 5.10% savings APY with no minimum to open account ( read full review ), Member FDIC.BMO Alto , 5.10% savings APY with no minimum to open account ( read full review ), funds insured by FDIC.
Bread Savings™ , 5.15% savings APY with $100 minimum to open account, ( read full review ), Member FDIC.*
CIT Bank , 4.85% savings APY with $100 minimum to open account ( read full review ), Member FDIC. Citizens, 4.50% savings APY with $0.01 minimum to open account ( read full review ), Member FDIC. E*TRADE , 4.50% savings APY with no minimum to open account ( read full review ), Member FDIC.EverBank (formerly TIAA Bank), 5.05% savings APY with no minimum to open account ( read full review ), Member FDIC.
Ivy Bank , 5.30% savings APY with $2,500 minimum to open account ( read full review ), Member FDIC.Jenius Bank , 5.25% savings APY with no minimum to open account ( read full review ), funds insured by FDIC.
Laurel Road , 5.15% savings APY with no minimum to open account ( read full review ), funds insured by FDIC.
LendingClub , 4.80% savings APY with no minimum to open account ( read full review ), Member FDIC. Marcus , 4.40% savings APY with no minimum to open account ( read full review ), Member FDIC.My Banking Direct , 5.25% savings APY with $500 minimum to open account. ( read full review ), Member FDIC.
Popular Direct , 5.01% savings APY with $100 minimum to open account ( read full review ), Member FDIC.
Quontic Bank , 4.50% savings APY with $100 minimum to open account ( read full review ), Member FDIC.
Salem Five Direct , 5.01% savings APY with no minimum to open account ( read full review ), Member FDIC.
Sallie Mae Bank , 4.50% savings APY with no minimum to open account ( read full review ), Member FDIC.
SoFi , 4.50% savings APY ( variable and subject to change) with no minimum to open account ( read full review ), Member FDIC.
Synchrony Bank , 4.65% savings APY with no minimum to open account ( read full review ), Member FDIC.
TAB Bank, 5.02% savings APY with no minimum to open account ( read full review ), Member FDIC.UFB Direct, 5.15% savings APY with no minimum to open account, Member FDIC. Editor's note: Over the past year, NerdWallet readers have described delays in getting issues resolved through customer support. These complaints don't factor into UFB Direct's star ratings. Please read the full review for more details.
Upgrade, 5.02% APY, no minimum to open account ( read full review ), funds insured by FDIC. Zynlo, 5.00% APY with $10 minimum to open account ( read full review ), funds insured by FDIC. *Bread Savings™ disclosureBread Savings ™ says: All Bread Savings APYs are accurate as of 09/05/2024. APYs are subject to change at any time without notice. Offers apply to personal accounts only. Fees may reduce earnings. For high-yield savings accounts, a minimum of $100 is required and must be deposited in a single transaction. For high-yield savings accounts, the rate may change after the account is opened.
Last updated on September 3, 2024
We took a close look at over 90 financial institutions and financial service providers, including the largest U.S. banks based on assets, internet search traffic and other factors; the nation’s largest credit unions, based on assets and membership; and other notable and/or emerging players in the industry. We rated them on criteria including annual percentage yields, minimum balances, fees, digital experience and more.
To recap our selections.
A savings account is a deposit bank account that lets you securely store funds while also typically earning interest. You can deposit your money at your financial institution through cash, check or bank transfer, and it will safely earn interest while it is in your account. With savings accounts, money is insured up to $250,000 per depositor, so your funds are safe.
Is my money safe in an online savings account?Yes. Most savings accounts are insured by the Federal Deposit Insurance Corp. and others are insured by the National Credit Union Administration. Both cover up to $250,000 per depositor, per institution and per account type, in case your bank fails. All of the best savings accounts in NerdWallet's analysis are insured, just like bank accounts at national institutions.
How much money should I keep in my savings account?A savings account holds money that you don’t need for daily spending. It can be a great spot to park your emergency fund or money that you're setting aside for a specific purchase, like a vacation or a down payment on a house. Since everyone's savings goals are different, the amount of money that you should keep in your savings account varies depending on your situation. Unlike most checking accounts, savings accounts earn interest — that’s money you receive in your account just for keeping it with the institution. The higher your savings account interest rate, the faster your balance will grow. You can find accounts with the highest rates in NerdWallet's list of the best savings accounts .
Margarette is a NerdWallet authority on savings. Her work has been featured in USA Today and The Associated Press. Read more
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