What Is the Highest Interest on Savings Accounts Today?
Rising interest rates have been bad news for consumers who need a loan or carry credit card balances, but they’re very good news for anyone with a savings account. Savings account interest rates are up over 230% percent in the last year alone, with the average rate now standing at 0.43%. That doesn’t seem like much, and it’s not. But you can increase it by a factor of 10 or more with a high-interest savings account.
What Is Today’s Highest Interest on Savings Accounts?
Although Landmark Credit Union offers annual percentage yield on the first $500 of customers’ Premium Checking account balance, GOBankingRates was unable to find a bank or credit union that offers 7% interest, or even 6% interest, on savings accounts. But high-yielding accounts at several online banks earn 5% or more. As of Aug. 22, rates top out at 5.25% for high-yield savings accounts and 5.26% for money market accounts.
Highest-Interest Savings Accounts Right Now
Here’s a closer look at the savings accounts paying the highest interest in August 2023.
UFB Direct High Yield Savings Account
The UFB High Yield Savings account is one of UFB Direct’s only two banking products, and it earns an impressive APY on all balances. The savings account has no maintenance or service fees and no minimum deposit requirement, and it comes with a complimentary ATM card.
- Interest rate:
- Minimum to open: $0
- Monthly maintenance fee: $0
Milli Savings Account
Milli keeps things simple by offering just two accounts: A spending account that works like a checking account without checks and a savings account that pays one of the highest APYs available anywhere — . Milli is app-based, so everything you need to manage your money is right on your phone. Accounts are 100% free — no fees, no minimums. You can set up automatic transfers from your current bank and create “jars” for your savings goals.
- Interest rate:
- Minimum to open: $0
- Monthly maintenance fee: $0
CIT Bank Platinum Savings Account
CIT Bank is a division of First Citizens Bank, America’s largest family-controlled bank. It’s the only bank in this roundup that has physical branches. However, it’s the online direct-banking account called Platinum Savings that offers up to APY. That rate applies only to balances of $5,000 or more — balances less than that earn just . You can open an account with a $100 deposit, and there are no monthly maintenance fees. Interest is compounded daily to maximize your savings.
- Interest rate: APY on balances of $5,000 or more; otherwise, APY
- Minimum to open: $100
- Monthly maintenance fee: $0
Varo High-Yield Savings Account
Varo is a neobank that gives its customers several ways to manage their money. In addition to a bank (spending) account and credit-builder and loan products, Varo offers a high-yield savings account that earns APY on balances of up to $5,000 and APY on anything above that. To qualify, just receive $1,000 in direct deposits each month and maintain a positive balance in your bank and savings accounts. The interest will be deposited into your account the month following each month you meet the requirements.
- Interest rate: APY on balances up to $5,000, then APY
- Minimum to open: $0
- Monthly maintenance fee: $0
SoFi High-Yield Savings Account
SoFi is a one-stop shop that can handle most, if not all, of your financial needs. It products include investing, insurance, loans, credit cards and, of course, bank accounts. The high-yield savings account and checking account go hand in hand — when you open a savings account, you get a checking account automatically. The accounts have no fees or minimum balances, and they make saving easy with automatic roundups on debit card purchases and automatic deposits of all or some of your paycheck into your savings account.
The savings account earns APY, but you’ll have to receive a direct deposit of any amount or a deposit of at least $5,000 per month into the account to qualify for that rate. If you opt for direct deposit, you’ll also get a cash bonus of $50 for a direct deposit of $1,000 to $4,999.99 or $250 for a direct deposit of $5,000 or more. The checking account also earns interest — APY.
- Interest rate: with a monthly deposit of $5,000 or direct deposit in any amount
- Minimum to open: $0
- Monthly maintenance fee: $0
Highest-Interest Money Market Accounts Right Now
Here’s what you need to know about the money market accounts that currently offer some of the highest rates.
TotalDirectBank Direct Money Market Deposit Account
TotalDirectBank is a fully online bank and a division of City National Bank of Florida. Its products are limited to certificates of deposit and money market accounts, the latter of which earns APY on up to $1 million — the highest rate GOBankingRates found on a standalone account. The catch is that you’ll need a $25,000 deposit into the account to qualify. After that, maintain a balance of at least $2,500 to keep earning the rate. Balances of $0 to $2,499.99 earn 0% APY.
- Interest rate: on balances of $2,500 or more
- Minimum to open: $25,000
- Monthly maintenance fee: $0
UFB Direct High Yield Money Market Account
The UFB High Yield Money Market account earns APY on all balances. It also offers check-writing privileges. Maintain a $5,000 balance to have the $10 monthly fee waived.
- Interest rate:
- Minimum to open: $0
- Monthly maintenance fee: $10, waived with a $5,000 balance
Quontic Money Market Account
Quontic is a full-service bank offering checking and savings accounts and CDs. Not to be outdone by the high-yield savings account’s APY, Quontic’s money market account earns APY, compounded daily and credited to your account each month. It has a $100 minimum opening deposit, but there are no minimum daily balance requirements or monthly or overdraft fees. The account comes with check-writing privileges, as you’d expect, and Quontic provides a debit card for customers who request one.
- Interest rate:
- Minimum to open: $100
- Monthly maintenance fee: $0
Make the Most of Your High-Interest Savings Account
A high-interest savings account is a great way to grow your savings. Thanks to compounding interest, the more you save, the faster your money grows. You can get even more value from your account by creating a savings plan that defines your goals and strategies for achieving them. The Consumer Financial Protection Bureau has a free tool to get you started.
Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Aug. 22, 2023.
