These High Savings APYs Can Help You Reach Your Money Goals Faster. Today’s Savings Rates, Jan. 6, 2025
- Interest rates on high-yield savings accounts at some banks and credit unions are still over 4%.
- The high APY may not last long, so don’t wait to start making money.
- If you set up automatic deposits, a high-yield savings account can help you get into the habit of saving regularly.
Keeping your New Year’s resolutions can be challenging, but Best High-Yield Savings Accounts Can help you achieve your money goals faster. With interest rates as high as 5%, these accounts are perfect for replenishing your savings after holiday spending or creating a sinking fund Summer vacation.
by setting general automatic transfer By depositing money into your savings account, you can develop the habit of saving without even thinking about it.
Although annual yields have fallen from their highs Fed cuts interest ratesyou’ll still earn 10x APY traditional savings account supply. Here’s a look at which banks offer the best rates and what factors to weigh when choosing the best account for you.
Today’s Best Savings Rates
| bank | annualized rate* | minute. Deposit opening |
|---|---|---|
| Precautions | 5.00%** | $0 |
| Newtech Bank | 4.70% | $0 |
| lending club | 4.75% | $0 |
| basque bank | 4.50% | $0 |
| Wing Fung Bank | 4.40% | $0 |
| Laurel Road | 4.15% | $0 |
| sync bank | 4.10% | $0 |
| American Express | 3.80% | $0 |
| capital one | 3.80% | $0 |
Experts recommend comparing interest rates before opening a savings account to get the best possible APR. Enter your information below to get the best prices in your area from CNET partners.
How much has the savings rate changed over the past week?
| Average CNET APY savings last week* | Average CNET APY savings this week | weekly changes |
|---|---|---|
| 4.24% | 4.21% | -0.01% |
How often should you shop for a new savings rate?
Experts recommend comparing rates, offers, and fees once a year. If you have a traditional savings account with a 0.01% APR, it might be worth switching to a high-yield savings account to help you grow your money faster.
But it may not be worth moving your money every time you see an interest rate that’s slightly higher than your current account.
“If your HYSA is with a bank or credit union that’s working well for you and there’s not much reason to switch other than maybe an extra 0.1% on your HYSA with another bank, then it’s not worth it to switch, ” explain Danielle FloresHe is a member of CNET Money’s expert review board and the founder of I Like to Dabble.
For example, let’s say you deposit a lump sum of $500 into a HYSA, which earns an annual interest rate of 4.2%. If the interest rate stays the same for the next three months, you will earn $5.17 in interest. If you found a bank with an APR of 4.4% and made the same deposit, you would earn $5.41, a difference of 24 cents.
Features to consider when opening a savings account
Things to note when opening a HYSA:
- Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, usually between $25 and $100. Others don’t need anything.
- ATM deposits and withdrawals: Not every bank offers cash deposits and withdrawals. If you need to use an ATM regularly, check to see if your bank offers ATM fee reimbursement or a variety of in-network ATMs, says Lanesha Mohip, founder of Polished CFO and a member of CNET Money’s Expert Review Board.
- cost: Be aware of fees for monthly maintenance, withdrawals and paper statements, Mohip said. These fees drain your balance.
- Auxiliary functions: If you prefer in-person help, look for a bank with a physical branch. If you’d rather manage your money digitally, consider online banking.
- Withdrawal limits: Some banks charge an excess withdrawal fee if you make monthly withdrawals for more than six months. If you may need to make more money, consider a bank that doesn’t have this restriction.
- Federal Deposit Insurance: Make sure your bank or credit union is insured by the Federal Deposit Insurance Corporation or the National Credit Union Administration, respectively. This way, if a bank fails, up to $250,000 of your funds are protected per account holder and per category.
- Customer Service: Choose a bank that is responsive and makes it easy to get help with your account when you need it. Read online customer reviews and contact the bank’s customer service to get an idea of what it’s like to work with the bank.
methodology
CNET reviewed savings accounts at more than 50 traditional and online banks, credit unions and financial institutions offering services nationwide. Each account has a score between 1 (lowest) and 5 (highest). The savings accounts listed here are insured by the FDIC or NCUA up to $250,000 per person, per account category, and per institution.
CNET evaluates the best savings accounts using a set of established criteria that compare annual yield, monthly fees, minimum deposits or balances and access to physical branches. None of the banks on our list charge monthly maintenance fees. Accounts that offer any of the following benefits will be ranked higher:
- Account bonus
- Automatic saving function
- Wealth Management Consulting/Counseling Services
- cash deposit
- ATM rebates used by extensive ATM network and/or out-of-network ATMs
If a savings account doesn’t have an easy-to-navigate website or doesn’t offer useful features like an ATM card, it’s likely to be rated lower. Accounts that impose restrictive residency requirements or fees for exceeding monthly transaction limits may also be rated lower.
*APY as of January 3, 2025, based on banks we track at CNET. Weekly percentage increase/decrease between December 30, 2024 and January 3, 2025.
**Varo offers 5% APR only on balances under $5,000.
