Where to find high-yield savings accounts right now

High-yield savings accounts are offered by online banks, credit unions, and some traditional banks with online divisions. The banks paying the highest rates today include Marcus by Goldman Sachs, Ally Bank, American Express Personal Savings, Discover Bank, Capital One 360, and Synchrony Bank. Rates change weekly, sometimes daily, so the specific APY (annual percentage yield) you see depends on when you check and which bank you're looking at.

Online banks tend to offer higher rates than brick-and-mortar banks because they have lower overhead costs—no physical branches to staff and maintain. Credit unions sometimes offer competitive rates too, especially if you're a member. The trade-off is that you won't walk into a branch to deposit cash or speak to someone in person; most transactions happen online or through ATM networks.

You can compare current rates on financial comparison sites like Bankrate, DepositAccounts, or NerdWallet, which update multiple times per day. These sites show you the rate each bank is offering right now, the minimum deposit required, and whether there are monthly fees. Rates are not locked in—they move up and down based on what the Federal Reserve does with interest rates.

Key Takeaways

  • Online banks currently offer the highest rates on savings accounts because they have lower costs than traditional banks with physical branches.
  • Rates change frequently, so the best rate today may not be the best rate next week—check current offers before you open an account.
  • Most high-yield accounts have no monthly fees, no minimum balance requirements, or very low minimums ($0 to $25,000 depending on the bank).
  • Your deposits are insured up to $250,000 per account holder per bank through the FDIC (or NCUA if you use a credit union), so the bank's size does not affect your protection.

How to compare rates across banks

When you're looking at different banks, focus on three things: the current APY, the minimum deposit to open the account, and any monthly fees. A bank advertising a 4.5% rate but charging $10 per month is not the same deal as a bank offering 4.4% with no fees. Calculate what you'll actually earn in a year on your balance, then subtract any fees.

Check whether the rate is may provide or promotional. Some banks offer a higher rate for the first few months, then drop it. Read the fine print or call the bank and ask: "Is this rate may provide, or will it change after a promotional period?" A permanent rate that's slightly lower is often better than a promotional rate that expires.

Look at the bank's FDIC insurance status. If it's FDIC-insured, your money is protected up to $250,000 even if the bank fails. If you have more than $250,000, you can open accounts at multiple banks to stay within the insurance limit at each one. Credit unions use NCUA insurance instead of FDIC, but the protection is the same.

Online banks versus traditional banks with online options

Online-only banks (Marcus, Ally, Discover) have no physical locations, which means lower costs and higher rates. They handle everything through their website, mobile app, or phone. Deposits usually happen by transferring money from another bank account or by mailing a check. Withdrawals work the same way—you transfer money out or request a check.

Traditional banks like Chase, Bank of America, and Wells Fargo have physical branches and online banking. Their high-yield savings accounts exist, but the rates are typically lower than online banks because they're paying for branch staff and real estate. If you need to deposit cash in person or prefer talking to someone face-to-face, a traditional bank may be worth the lower rate.

Some traditional banks have created online divisions to compete. Capital One 360 and American Express Personal Savings are examples—they're owned by large companies but operate as online-only services with higher rates. These accounts still have full FDIC protection and the same online-only deposit and withdrawal process as pure online banks.

Minimum deposits and account requirements

Most high-yield savings accounts have no minimum deposit or a very low one ($0 to $25). A few require $500 or $1,000 to open, but these are less common. Once the account is open, you can usually keep it open with any balance—even $1—though some banks require you to maintain a small minimum to earn the advertised rate.

Check the bank's website or call before opening to confirm the minimum. Some banks waive the minimum if you set up automatic transfers from another account, or if you have other accounts with them. If you're starting with a small amount, look for banks that explicitly state "no minimum deposit" to avoid surprises.

Monthly fees are rare on high-yield savings accounts. Most banks charge nothing to hold the account. If a bank does charge a monthly fee, it's usually $5 to $10, and it's often waived if you maintain a certain balance or set up direct deposit. Avoid accounts with monthly fees unless the rate is significantly higher than competitors.

How rates move and when to switch banks

High-yield savings rates follow the Federal Reserve's benchmark rate. When the Fed raises rates, banks raise their savings rates within days or weeks. When the Fed cuts rates, banks cut their savings rates too, though sometimes more slowly. You can track the Fed's rate decisions on the Federal Reserve's website to predict when your bank's rate might change.

Rates can vary by $0.25% to $1% between banks at any given time. That difference matters: on a $10,000 balance, the difference between 4.0% and 5.0% is $100 per year. If your current bank's rate drops and another bank is offering significantly more, moving your money takes about 5 to 10 minutes—you open a new account, transfer your balance, and close the old account.

You don't lose interest if you move money mid-month. Interest is calculated daily and paid monthly, so if you transfer on the 15th, you'll earn interest for the first 14 days at your old bank and interest for the last 16 days at your new bank. There's no penalty for moving, and you can move as often as you want to chase the best rate.

Credit unions as an alternative

Credit unions often offer competitive high-yield savings rates, sometimes matching or beating online banks. The catch is that you have to be a member, which usually means living or working in a specific area, working for a specific employer, or belonging to a specific organization. Some credit unions have opened membership to anyone, but most still have restrictions.

Credit union deposits are insured by the NCUA (National Credit Union Administration) up to $250,000, the same as FDIC insurance. The rates and fees vary widely by credit union, so compare them the same way you'd compare banks. If you're already a member of a credit union, check what rate they're offering before opening an account elsewhere.

Frequently Asked Questions

Can I move my money between high-yield accounts without losing interest?

Yes. Interest accrues daily and is paid monthly, so you'll earn interest at your old bank for the days your money was there and at your new bank for the days it's there. There's no penalty for transferring, and you can move as often as you want. The transfer itself takes 1 to 3 business days.

What happens if a bank fails?

Your money is protected up to $250,000 per account holder per bank through FDIC insurance (or NCUA for credit unions). If a bank fails, the FDIC takes over and either transfers your account to another bank or sends you a check. You don't lose money, and the process usually takes a few days.

Do I have to keep a certain balance to earn the advertised rate?

Most banks pay the advertised rate on any balance, even $1. A few require you to maintain a minimum balance—usually $500 to $2,500—to earn the full rate. Check the bank's terms before opening. If you can't maintain the minimum, look for a bank with no minimum requirement.

Can I withdraw money whenever I want?

Yes. High-yield savings accounts have no withdrawal limits or penalties. You can take money out anytime without losing interest or paying a fee. The transfer to another account takes 1 to 3 business days, but there's no restriction on how often you withdraw.

Is my money safe in an online-only bank?

Yes, as long as the bank is FDIC-insured. Check the bank's website or call and confirm it has FDIC insurance. Your deposits are protected up to $250,000 even if the bank fails, and online-only banks are regulated the same way as traditional banks.