If you don't already have a high-yield savings account, why not? By not taking advantage of saving rates, which are currently very high, you're leaving money on the table. Easy money. Setting up a high-yield savings account is simple and straightforward, making it a no-brainer place to save your cash. You'll earn interest on your money over time, with zero effort on your part.
Currently, savings rates on high-yield accounts are notably high. They've been rising since March 2022, when the Fed began hiking interest rates in an attempt to combat high inflation. At the last meeting, the central bank paused raising interest rates for the second time keeping the fed funds rate, a key overnight bank lending rate, to a target range of 5.25% to 5.50%. "Whether the central bank will go for a third straight "hawkish pause" at the next Fed meeting in December remains an open question" writes Kiplinger's Dan Burrows.
Right now, some of the top earning savings accounts are offering rates over 4% to 5%, significantly higher than the national average of 0.6% for traditional savings accounts.
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High-yield savings accounts
Here are some of the top earning high-yield savings accounts available today:
BluPeak Credit Union
- APY: 5.33%
- Minimum opening deposit: $25
- No fee with a balance of $200; otherwise $5
CloudBank 24/7
- APY: 5.26%
- Minimum opening deposit: $1
- No monthly fee
UFB Direct
- APY: 5.25%
- Minimum opening deposit: $0
- No monthly fee
Popular Direct
- APY: 5.40%
- Minimum opening deposit: $100
- No monthly fee
CIT Bank
- APY: 5.05%
- Minimum opening deposit: $100
- No monthly fee
Bask Bank
- APY: 5.10%
- Minimum opening deposit: $0
- No monthly fee
Synchrony
- APY: 4.75%
- Minimum opening deposit: $0
- No monthly fee
Citizens
- APY: 4.50%
- Minimum opening deposit: $0.01
- No monthly fee
Betterment
- APY: 4.75%
- Minimum opening deposit: $10
- No monthly fee
Quontic
- APY: 4.50%
- Minimum opening deposit: $100
- No monthly fee
Discover
- APY: 4.35%
- Minimum opening deposit: $0
- No monthly fee
SFGI Direct
- APY: 4.26%
- Minimum opening deposit: $1
- No monthly fee
Opening a high-yield savings account is a great option if you're looking for a risk-free way to maximize your savings. Unlike CDs, where your cash is locked away for a certain period of time, high yield savings accounts let you easily access the funds in your account. For this reason, they're good options for short-term savings goals or emergency funds. Plus, sometimes these accounts offer a savings account bonus, putting more money in your pocket.
Another way to browse rates on high-yield savings accounts is by using our tool, in partnership with Bankrate, below.
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