E*TRADE Savings Rates: What You Need To Know
Written by
Daria Uhlig
Edited by
Elizabeth Constantineau, CFHC™
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E*TRADE from Morgan Stanley is well known for its $0-commission brokerage accounts, but that’s just one of the account types E*TRADE offers. You’ll also find bank accounts, including a high-yield savings account called Premium Savings Account that earns a highly competitive annual percentage yield (APY) on all balance tiers. The Premium Savings Account fully integrates with E*TRADE brokerage accounts, but you don’t have to be a brokerage customer to open one.
Current E*TRADE Savings Rates
E*TRADE has just one savings account, the Premium Savings Account. Here are the details:
| Account | Savings Rate | Interest Compounding |
|---|---|---|
| Premium Savings Account | Compounded daily and credited monthly |
E*TRADE Premium Savings Account Restrictions
E*TRADE Premium Savings Accounts have a couple of limitations you should be aware of.
- The account is ineligible for an ATM/debit card.
- Without a debit card, you’ll have to withdraw money by transferring it to another account from which you can make ATM, check or other withdrawals.
- E*TRADE gives you several ways to transfer money: written request, phone request, online transfer or electronic funds transfer.
- E*TRADE imposes a six-transfer limit per calendar month for outbound transfers.
- If you exceed the limit, E*TRADE may close your account, convert it to a checking account or disable your ability to make transfers.
Features of E*TRADE Savings Accounts
The Premium Savings Account comes with a few stand-out features. Here’s a look:
- Integration with brokerage accounts: Funds in the savings account can be easily transferred to an E*TRADE brokerage account. This can streamline the way you manage your savings and investing accounts.
- No minimums or fees: There’s no minimum deposit amount or balance requirement, and the account has no monthly fees.
- Convenient accessibility: You can access your account through the online banking platform or mobile app — giving you access from anywhere at any time.
How E*TRADE Rates Compare to Competitors
The primary benefits of the Premium Savings Account are its high yield and ability to integrate with an E*TRADE brokerage account. Other banks offer a similar bundle of services. Here’s how E*TRADE savings rates stack up to a few of its competitors.
SELECTED BANK
MOST COMPARABLE
MOST COMPARABLE
Fees
Fees
Fees
$0
$5 to $35 waivable monthly fee
Up to $15
APY
APY
APY
Up to
Up to
N/A
Min Opening
Min Opening
Min Opening
$0
$25
$0
SELECTED BANK
MOST COMPARABLE
MOST COMPARABLE
Fees
Fees
Fees
No monthly service fee
Up to $12 monthly service fee – can be waived
See Citi’s website for details on monthly fees.
APY
APY
APY
Up to
Up to for Platinum Savings accounts
Up to
Min Opening
Min Opening
Min Opening
$0
$25
$0
E*TRADE vs. Wells Fargo
Wells Fargo and E*TRADE both offer places to park cash for investing, but they target very different types of customers.
- Wells Fargo’s Brokered Liquid Deposit account offers competitive, tiered APYs and FDIC insurance but requires a $100,000 minimum opening deposit and $10,000 for additional deposit.
- Withdrawals are allowed, making the account liquid, but the high balance requirement puts it out of reach for most savers.
- E*TRADE’s Premium Savings Account has a lower rate, but no minimum deposit, making it more accessible for everyday investors who want flexibility.
E*TRADE vs. Citi®
Citi’s savings accounts are closely tied to balance tiers, which can limit value for smaller savers.
- Everyday savings accounts with balances under $30,000 earn low interest rates.
- Higher yields are reserved for customers in premium tiers, which can require six- or seven-figure balances.
- All Citi tiers include commission-free trading through Citi Self-Invest, but savings rates are well below what E*TRADE offers.
- E*TRADE provides competitive savings rates without requiring customers to meet balance thresholds.
E*TRADE vs. Bank of America
Bank of America, Member FDIC, focuses on integration between banking and investing, while E*TRADE emphasizes yields.
- Bank of America customers can instantly move money between bank accounts and Merrill investment accounts.
- Savings rates are low, even for customers in top Preferred Rewards tiers.
- The account has a minimum opening deposit and a monthly fee that may be waived.
- E*TRADE offers a higher yield with no minimum balance or monthly fees, while still supporting investing needs.
E*TRADE Premium Savings Account Pros and Cons
E*TRADE’s Premium Savings Account compares favorably to competing accounts, especially when it comes to rates. But it’s important to also consider possible drawbacks before you open an account.
| Pros | Cons |
|---|---|
| Highly competitive APY for all tiers | No ATM card, so funds can be difficult to deposit and withdraw |
| Full integration with E*TRADE brokerage account | No rewards program or other incentives |
| No minimums or monthly fees | External outbound transfers limited to six per month |
| FDIC-insured up to $500,000 per depositor — twice the usual coverage limit |
Other E*TRADE Account Options
E*TRADE gives you several options besides a high-yield savings account.
E*TRADE Checking Account
E*TRADE’s basic checking account is simply called Checking. Here are some key features to know:
- The account earns APY.
- There is no minimum opening deposit or balance minimum, and no monthly fees.
- Morgan Stanley Private Bank won’t charge you a fee for withdrawing funds from another institution’s ATM.
- You will also get refunded for any ATMs fees within the U.S.
E*TRADE Max-Rate Checking
E*TRADE also offers Max-Rate Checking, which comes with the following features:
- Max-Rate Checking offers an outstanding APY.
- The account comes with worldwide ATM refunds.
- There is a $15 monthly fee that Morgan Stanley Private Bank will waive as long as you maintain an average monthly balance of at least $5,000.
Retirement Account Options
If you’re saving for retirement, an individual retirement account (IRA) might be a good alternative to a savings account. E*TRADE offers a variety of IRA options. Here’s a close look at the Complete IRA:
- Offers immediate access to your savings with free checks, a free debit card and online bill pay.
- The account has no minimums and no fees, but you must be 59.5 years old to qualify for one.
- You must upgrade to E*TRADE Complete from an existing select E*TRADE IRA, which you can open for the purpose of making the upgrade.
- IRAs are brokerage accounts that are not insured by the FDIC.
Final Take
The E*TRADE Premium Savings Account could be the best choice for anyone who doesn’t mind banking strictly online and can do without an ATM card. The rate is highly competitive, and the account fully integrates with E*TRADE brokerage accounts, so it’s an easy way to manage the cash you want to make available for trading.
If, on the other hand, you don’t need brokerage account integration, you might be better off with a savings account from an online bank. You’ll typically find higher yields at online banks along with checking accounts, certificates of deposit (CDs) and other bank products. In addition, they may provide access to investing in case you decide you want that later.
E*TRADE Savings Account FAQ
Still deciding whether E*TRADE is right for your savings? These answers address common questions.- What is the interest rate on an E*TRADE savings account?
- E*TRADE’s Premium Savings Account currently offers 3.35% APY.
- Is E*TRADE a good savings account?
- E*TRADE can be a good option for savers who want a high-yield account with no minimum balance or monthly fees, especially if they also use E*TRADE for investing.
- Is an E*TRADE savings account FDIC-insured?
- Yes. E*TRADE savings accounts are FDIC-insured up to $500,000 if conditions are met, which protects your deposits if the bank fails.
Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Feb. 2, 2026.
Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.
