Bank of America does not offer a dedicated high-yield savings account

Bank of America's standard savings accounts earn interest rates well below what you can find elsewhere. As of now, BofA's regular savings account pays around 0.01% annual percentage yield (APY), and their Money Market account pays slightly higher rates depending on your balance — but both fall far short of what online banks and credit unions offer.

If you have a large balance or maintain specific account combinations, BofA's Preferred Rewards program can boost rates slightly, but even with those bonuses, the rates remain low compared to accounts marketed as high-yield. A high-yield savings account typically pays 4% to 5% APY or higher, depending on the current interest rate environment.

BofA's business model relies on branch networks and full-service banking, which costs more to operate than online-only banks. Those costs get passed along as lower deposit rates. If earning meaningful interest on savings is your priority, you will need to look outside Bank of America.

Key Takeaways

  • Bank of America's savings accounts pay around 0.01% APY, which is significantly lower than high-yield options available elsewhere.
  • The Preferred Rewards program can add a small rate boost if you maintain a checking account and meet balance thresholds, but the base rate remains low.
  • Online banks and credit unions typically offer rates four to five times higher than BofA's standard savings products.
  • If you keep money at BofA primarily for checking or other services, a separate high-yield savings account at another institution can work alongside your BofA account.

What BofA's savings accounts actually pay

Bank of America offers three deposit products that function like savings accounts: the regular Savings account, the Money Market account, and the Interest Checking account. The regular Savings account is the most basic and pays the lowest rate — currently around 0.01% APY for most customers. The Money Market account pays a slightly higher rate that varies based on your balance tier, but even the highest tier typically maxes out below 0.05% APY.

The Interest Checking account is designed for checking, not savings, and pays even less. None of these products come close to what online banks pay. On a $10,000 balance, you would earn roughly $1 per year in a BofA savings account versus $400 to $500 per year in a high-yield account elsewhere — a difference of hundreds of dollars annually.

BofA does not publish a single rate; rates vary slightly by region and account type. You can see your specific rate by logging into your account or calling 1-800-432-1000 to ask what your account currently earns.

How Preferred Rewards can add a small rate boost

If you have a Bank of America checking account and maintain a relationship with BofA's investment or wealth management divisions, you may may have access to for the Preferred Rewards program. This program offers rate bonuses on savings and Money Market accounts based on your total relationship balance — the combined value of checking, savings, investments, and loans you hold with BofA.

The program has three tiers: Gold (requires $20,000 in combined balances), Platinum (requires $50,000), and Platinum Honors (requires $100,000). Each tier adds a percentage-point bonus to your savings rate. At the Platinum Honors level, you might earn an extra 0.50% APY on top of the base rate, bringing your total to around 0.51% APY — still far below high-yield accounts.

Preferred Rewards requires active maintenance of those balances. If your combined balance drops below the threshold, you lose the bonus. The program also requires you to enroll and may have other conditions depending on your account type.

Why online banks and credit unions pay more

High-yield savings accounts at online banks like Marcus, Ally, or American Express Personal Savings currently pay 4% to 5% APY or higher. Credit unions often offer competitive rates as well. The reason is simple: online banks have no physical branches, no tellers, and no brick-and-mortar overhead. They pass those savings to customers through higher deposit rates.

These institutions also compete directly on rates because they have fewer other revenue streams. Bank of America makes money from overdraft fees, investment services, mortgage origination, and other products. Online banks make money primarily from the spread between what they pay depositors and what they charge borrowers. To attract deposits, they pay more.

The tradeoff is that online banks offer fewer services. You cannot walk into a branch, deposit cash easily, or speak to a banker in person. For many people, that tradeoff is worth it if you are primarily saving money and do not need frequent in-person banking.

Using a high-yield account alongside your BofA checking

You do not have to choose between Bank of America and a high-yield savings account. Many people keep a checking account at BofA for everyday banking and bill payments, then maintain a separate high-yield savings account at an online bank for money they want to grow.

Transfers between banks take one to three business days via ACH (Automated Clearing House), which is the standard method. If you need faster access, some online banks offer external transfer options or allow you to link your BofA account directly. The process is straightforward: you provide your BofA account and routing number to the online bank, and they can pull money from or send money to your BofA account.

This strategy lets you earn a meaningful rate on savings while keeping the convenience of BofA's branch network and checking account for daily expenses. Many savers use this approach specifically because no single bank offers both low-cost checking and competitive savings rates.

Money Market accounts and CDs as alternatives

If you want to stay within Bank of America, the Money Market account is the next step up from regular savings, though the rate difference is minimal. BofA also offers Certificates of Deposit (CDs), which lock your money away for a set term — typically three months to five years — in exchange for a may provide rate. CD rates at BofA are higher than savings rates but still lag behind online banks.

The tradeoff with a CD is that you cannot access your money without penalty until the term ends. If you withdraw early, BofA charges an early withdrawal penalty that can wipe out most or all of the interest you earned. CDs make sense only if you are certain you will not need the money during the term.

For most people saving money they might need within a year or two, a high-yield savings account at an online bank beats both BofA's Money Market account and its CDs because you keep full access to your money and earn a much higher rate.

Frequently Asked Questions

Can I get a higher rate at Bank of America if I open multiple accounts?

No. Opening more accounts does not increase your rate. The only way to earn more at BofA is through the Preferred Rewards program, which requires maintaining a combined balance across all your accounts. Even then, the boost is small — typically less than 1% APY total.

What is the difference between a savings account and a Money Market account at BofA?

The Money Market account pays a slightly higher rate and usually requires a higher minimum balance to open. Both are savings products with limited withdrawal rights. The Money Market account may offer check-writing or debit card access depending on the specific product, but rates on both remain low compared to online alternatives.

If I move my savings to an online bank, do I lose FDIC protection?

No. Online banks are FDIC-insured just like Bank of America. Your deposits are protected up to $250,000 per account type at each bank. If you keep savings at both BofA and an online bank, each account is insured separately up to $250,000.

How long does it take to transfer money from BofA to a high-yield savings account?

Standard ACH transfers take one to three business days. Some online banks offer faster options, but most rely on ACH as the default. You can set up recurring transfers if you want to move money regularly from your BofA checking account to savings at another bank.

Does Bank of America charge a fee to keep a savings account open?

BofA does not charge a monthly maintenance fee on most savings accounts, though some account types may have minimum balance requirements. Check your specific account terms, as fees and requirements vary by product and region.