Read on to determine which high-yield savings account is best for you.
APYs may have changed since they were last updated and may vary by region for some products. CNET’s editorial team updates this information regularly.
Note: Annual percentage yields, or APYs, shown are as of July 11, 2023. The estimated earnings displayed in the table below assume a consistent APY for one year. Read more: Types of Savings Accounts Compared Compare the best high-yield savings accountsīelow is our latest list of top-yielding high-yield savings accounts to help you park your savings in the right spot while rates go up. In some cases, you may need to deposit a higher minimum amount in order to be eligible for the higher APY. Because online banks don’t have physical branches, they carry fewer overhead costs compared with traditional brick-and-mortar banks, so the savings from those costs can be passed on to you in the form of a higher APY on your savings.Ĭompared with traditional savings accounts that offer APYs as low as 0.01%, most of the high-yield savings accounts on this list have APYs well above 4.00%. The best high-yield savings accounts with APYs as high as 5.00%, can often be found at online-only banks. Interest rates for savings accounts are measured based on APY, which is how much money you’ll earn, including compound interest, on your savings in a year. That means you receive more money back on your savings each month. What is a high-yield savings account?Ī high-yield savings account is simply a savings account that earns an APY that’s several times more than the national average yield of traditional savings accounts. If you’ve been contemplating opening a new account, this is a great time to go over your savings strategy to ensure the APYs are working on your behalf. That’s why it’s a good idea to continually review your account details to ensure your savings balance is growing at the best rate available. One neobank that had previously been on our list - Panacea Financial - recently dropped its savings account APY to 3%, illustrating the variable nature of savings account APYs. Every fraction of a percent increase in rates means more money in your pockets.
While most of the banks and credit unions that CNET tracks on its list of top high-yield savings accounts left their rates unchanged, Synchrony and Bread Savings have increased their APYs slightly. At the June 14 Federal Open Market Committee meeting, the Fed explained how the pause allows it to assess the impact of its monetary policy on the economy. The Federal Reserve paused interest rate hikes for the first time since March 2022 in response to record-high inflation. Transferring any money you have from an account that’s not earning a competitive APY is worth the effort and will pay off - with interest. The top high-yield savings accounts available today offer rates of up to 5%, nearly 12 times the national savings account APY average of 0.42%, according to the latest data from the Federal Deposit Insurance Corp. Consider taking advantage of a high-yield savings account while annual percentage yields, or APYs, remain high.
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