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Savings accounts safely store your money and reward you with interest to help you reach your goals faster — but they’re not all created equal.
Finding the perfect savings account when there are so many options can feel overwhelming. To help you find the perfect one, we’ve narrowed the best savings accounts down to just seven, highlighting who each option is best for. LendingClub Bank, SoFi, Barclays, and Varo are just a few of our picks because they combine good rates with helpful features, good customer experiences, and unique advantages. Here’s how to choose an account and what factors to consider.
How we evaluate products
In determining our list of the best accounts, we looked at popular financial institutions and evaluated them according to a set of criteria we consider critical to the consumer. We did not evaluate all banks or credit unions in the category. We used editorial judgment to determine what use or user each savings account would be best for.
FinanceBuzz evaluation criteria include:
- FDIC insured: All banks included on our list are insured by the Federal Deposit Insurance Corporation.
- APYs: We evaluated the APYs offered on the different accounts and the requirements to earn those APYs.
- Account features: We considered the features each savings account offered, including access to other financial products, ATM fees, the ability to set up automatic transfers, mobile app availability, and more.
- Minimum account opening balance: We included a variety of accounts in this regard as some accounts will be more available to newer savers, while others may have more savings and prioritize other bank account benefits.
- Fees: We considered any fees each account may have, including monthly maintenance fees, ATM fees, and more.
- Customer service: Customer service hours and contact options influenced what the accounts were classified as best for.
The best savings accounts of December 2024
- SoFi® Checking and Savings
- American Express® High Yield Savings account
- Barclays Tiered Savings Account
- LendingClub LevelUp Savings
- Varo Savings account
- UFB Portfolio Savings account
- Ally Bank High Yield Savings
Compare the best savings accounts
| Account name | APY | Best for |
| SoFi® Checking and Savings | Up to 4.00% APY with direct deposit requirement10 <p>SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either Direct Deposit or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi members with direct deposit are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of Dec. 3, 2024. There is no minimum balance requirement. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a></p> | Checking features |
| American Express® High Yield Savings Account | 3.80% (as of December 17, 2024) APY1 <p>The Annual Percentage Yield (APY) as advertised is accurate as of December 17, 2024. Interest rate and APY are subject to change at any time without notice before and after a High Yield Savings Account is opened. </p> | Reliable customer support |
| Barclays Tiered Savings Account | Up to 4.65% APY11 <p>Barclays Tiered Savings Annual Percentage Yields (APYs) are accurate as of 12/16/24 and may change at any time without prior notice, before or after the account is opened. The APYs are determined by the Balance Tiers (Tiers) and the amount deposited. The same rate may apply to multiple Tiers and Tiers may change without notice. APY is calculated based on the Tier into which the end of day account balance falls. Fees could reduce the earnings on the account. No minimum balance to open, but for interest to post to your account you must maintain a minimum balance that would earn you at least $0.01. Please see the Compare Account Page for current Tier and APY information.</p> | Avoiding minimums |
| LendingClub LevelUp Savings | 5.00% (as of 11/11/24)12 <p>LevelUp Rate of 4.75% Annual Percentage Yield (“APY”) is applied to the full balance of LevelUp Savings accounts that receive a total of at least $250 in deposits during the Evaluation Period. Otherwise, accounts will earn the Standard Rate of 3.75% APY. Interest payments, account bonuses, account credits and reversals or refunds from the bank are not considered deposits for rate evaluation purposes. All LevelUp Savings accounts earn the LevelUp Rate at account opening and continue to earn the LevelUp Rate until the First Evaluation Period, to provide an opportunity to set up deposits. </p> <p>An Evaluation Period is a statement cycle. The First Evaluation Period will be the third statement cycle after you open your account, with any rate change becoming effective the next statement cycle. For example, if you open in August, the first Evaluation Period would be October with any rate change effective in November. Any rate changes will take place on the second business day and will be based on deposits in the previous statement cycle. </p> <p>APY accurate as of 11/25/2024. Rates are variable and subject to change at any time without notice, at the sole discretion of the bank. Fees may reduce earnings. $0 minimum opening deposit.</p> | Earning the best rate |
| Varo Savings Account | Up to 5.00% (as of 12/11/24) APY with direct deposit requirement | Saving more on less |
| UFB Portfolio Savings Account | Up to 4.01%13 <p> The Annual Percentage Yield (APY) is accurate as of 12/9/2024. The interest rate and corresponding APY for savings is variable and is set at our discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.</p> APY | ATM access |
| Ally Bank High Yield Savings | 4.00% (as of 10/28/24) | Saving more |
SoFi® Checking and Savings account
APY: 4.00%
Minimum deposit: $0
FDIC Certificate: SoFi Bank, #268816 <p><b>SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $2M through participation in the program. See full terms at <a href="http://sofi.com/banking/fdic/terms">SoFi.com/banking/fdic/terms</a> See list of participating banks at <a href="http://sofi.com/banking/fdic/receivingbanks">SoFi.com/banking/fdic/receivingbanks</a></b></p>
SoFi®’s savings account is unique, and one of the best, because it isn’t just a savings account — it’s also a checking account. With SoFi, you can earn up to 4.00% APY on savings with direct deposit. This combination account offers savings perks like the ability to create separate savings goals and round up debit card transactions to save more, plus checking perks like early direct deposit and even interest.
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Earn up to 4.00% APY3 <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) <b>OR</b> $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/2026. Full terms at <a href="http://sofi.com/banking">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.</p> <p>SoFi members with Direct Deposit can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the 4.00% APY for savings (including Vaults). Members without Direct Deposit will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of Dec. 3, 2024. There is no minimum balance requirement. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a></p> and collect up to a $300 cash bonus with direct deposit or $5,000 or more in qualifying deposits.10 <p>SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either Direct Deposit or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi members with direct deposit are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of Dec. 3, 2024. There is no minimum balance requirement. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a></p> FDIC Insured.6 <p><b>SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $2M through participation in the program. See full terms at <a href="http://sofi.com/banking/fdic/terms">SoFi.com/banking/fdic/terms</a> See list of participating banks at <a href="http://sofi.com/banking/fdic/receivingbanks">SoFi.com/banking/fdic/receivingbanks</a></b></p>
There’s no minimum balance requirement, and you don’t have to worry about monthly maintenance4 <p>We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at <a href="http://sofi.com/legal/banking-fees/">sofi.com/legal/banking-fees/</a></p> or overdraft fees.14 <p>Overdraft Coverage is limited to $50 on debit card purchases only and is an account benefit available to customers with direct deposits of $1,000 or more during the current 30-day Evaluation Period as determined by SoFi Bank, N.A. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Members with a prior history of non-repayment of negative balances are ineligible for Overdraft Coverage.</p> .
Visit SoFi® | Read our SoFi® review
American Express® High Yield Savings account
APY: 3.80% (as of December 17, 2024)
Minimum deposit: $0 2 <p class="">There is no minimum balance required to open your Account, to avoid being charged a fee, or to obtain the Annual Percentage Yield (APY) disclosed to you.</p>
FDIC Certificate: American Express National Bank, #27471
The American Express High Yield Savings Account stands out for its outstanding customer service. If you want to be able to contact your bank whenever you want, this account could be a smart choice. American Express offers banking customer support by phone 24 hours per day, seven days per week, to answer questions or deal with issues you may have. And in my experience, you can expect friendly, helpful service.
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High Yield Savings Account. No Minimum Required Deposit or Balance.2 <p class="">There is no minimum balance required to open your Account, to avoid being charged a fee, or to obtain the Annual Percentage Yield (APY) disclosed to you.</p> Terms Apply.
American Express also offers CDs, personal loans, and credit cards. They have apps for Android and iPhone devices to manage your credit cards. If you have a credit card and a high-yield savings account, you can manage both from one app.
If you value service but aren’t an American Express customer, consider the Discover Online Savings Account. It earns 3.75% APY15 <p>Annual Percentage Yield (APY). Advertised Online Savings Account APY is accurate as of 12/18/24. Applies to personal accounts only. APY may change before or after the account is opened. No minimum deposit to open.</p> , with no fees or minimums. Discover Bank ranked highest for savings providers in J.D. Power’s 2023 U.S. Direct Banking Satisfaction Study, which analyzed consumer sentiment by looking at everything from support to ease of account management (American Express was fourth for saving).
Visit American Express | Read our American Express High Yield Savings Review
American Express is a FinanceBuzz advertiser.
Barclays Tiered Savings Account
APY: Up to 4.65%
Minimum deposit: $0
FDIC Certificate: Barclays Bank Delaware, #57203
In addition to earning a base 4.35% APY that easily beats the national average, there’s no minimum opening balance or deposit requirement to open this account. I imagine most people will qualify for the lower rate, so I chose this account using that. While it’s pretty common for online savings accounts to have no deposit minimums, you’ll often see balance minimums of $100 or more to get the best yields. With this account, you earn interest on as little as a penny.
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High-yield savings account. Earn up to 4.65% APY with a minimum balance of $250,000 or more.
This is technically a tiered savings account, meaning balance tiers determine your interest rate, but all balances below $250,000 currently qualify for the same yield. The account also has no monthly maintenance fees. Barclays also offers CDs with no minimums, which is uncommon.
If you’re after a banking platform like Barclays but want just a few more savings account options, I suggest checking out Synchrony. This platform is focused on savings like Barclays, but it also has regular and IRA money market accounts and IRA CDs. Its savings account has no minimums, either, and it earns up to 4.10% (as of 12/6/24) APY.
Visit Barclays | Read our Barclays Tiered Savings Account review
LendingClub LevelUp Savings
APY: 5.00% (as of 11/11/24)
Minimum deposit: $0
FDIC Certificate: LendingClub Bank, #32551
LendingClub has held a top spot among the highest-earning savings accounts for a while, and its rate may be reason enough for you to sign up. However, this account’s one disadvantage — or advantage, depending on how you think about it — is that you have to deposit $250 or more each month to qualify for the stated rate. Otherwise, you’ll earn 3.75% (as of 11/25/24) APY (which is still really good). I see requirements like this as motivating, but you might not think about it this way.
LendingClub also has excellent mobile apps going for it and a very high Trustpilot rating of 4.6 out of 5 stars, which is incredibly good for a financial institution.
Good to know
This is a new account that has replaced LendingClub’s former account, which was just referred to as High-Yield Savings. The previous account didn’t have a monthly deposit rule to earn the best rate. If you’re looking for that account, you unfortunately won’t find it.Varo Savings account
APY: 3.00% (as of 6/14/24) to 5.00% (as of 12/11/24) (on up to $5,000)
Minimum deposit: $0
FDIC Certificate: Varo Bank, #59190
Varo offers a savings account with a consistently competitive yield that doesn’t change often, and it’s my favorite for saving a few hundred or thousand dollars.
To get the highest stated APY, you must receive total qualifying direct deposits of $1,000 or more each month.16 <p class="">The product and annual percentage yield (APY) data displayed on this website is gathered from various sources and may not reflect all of the offers available in your area. Although we strive to provide the most accurate data possible, we cannot guarantee its accuracy. Always verify account details and availability with the financial institution before opening an account.<br></p> You earn the higher APY on balances up to $5,000 if you meet the qualifications. Any balance above $5,000 will receive the lower APY, so I don’t necessarily recommend this one if you’re sitting on a sizable chunk of cash.
Visit Varo | Read our Varo Savings account review.
UFB Portfolio Savings account
APY: 4.01%13 <p> The Annual Percentage Yield (APY) is accurate as of 12/9/2024. The interest rate and corresponding APY for savings is variable and is set at our discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.</p>
Minimum deposit: $0
FDIC Certificate: Axos Bank, #35546
UFB Portfolio Savings has a high APY rate with relatively few strings attached. UFB Direct doesn’t require you to set up direct deposit as Varo and SoFi do. You also don’t have to maintain a minimum balance or pay maintenance fees.
But to me, this account’s best feature is its ATM card. This is very rare in a savings account, especially one from an online bank. Typically, you can’t withdraw cash with a savings account and must instead make an electronic transfer to another account. And while UFB doesn’t reimburse ATM fees, it does have around 91,000 ATMs across the U.S. you can use for free.
Tip
UFB Direct is a subsidiary of Axos Bank. But we recommend the UFB Portfolio Savings account over Axos High Yield Savings due to Axos’s significantly lower APY rate: 0.61% (as of 07/01/24).Ally Bank High Yield Savings
APY: 4.00% (as of 10/28/24)
Minimum deposit: $0
FDIC Certificate: Ally Bank, #57803
If you want your savings account to help you make a habit of saving, I can’t recommend the Ally Bank High Yield Savings account enough. Although it doesn’t earn the highest rate on the market, I’ve always known this account to be reasonably competitive, and it’s the savings “boosters” that set it apart. You can round up your spending transactions, set recurring transfers, and enable a feature called Surprise Savings to find savable money you’re not using. However, you’ll need an Ally Spending account to take advantage of all of these tools.
Ally’s savings account is often compared to The Marcus by Goldman Sachs Online Savings, but the two have different advantages. The Marcus account earns 4.10% (as of 11/18/24) APY and one of its key benefits is the ability to make same-day transfers between banks. It lacks the automated tools Ally offers, but the app and banking platform are just as user-friendly.
Read our Ally Online Savings Review.
Other accounts that didn’t make our list
Citi Accelerate High-Yield Savings
The Citi Accelerate High-Yield Savings account isn’t a bad option by any means, but only consumers in certain states can qualify for the highest stated rate of 4.00% (as of 11/14/24) APY. For this reason, I couldn’t include it as an option for everyone. Citibank has also been involved in a fair number of lawsuits in recent years, so do your research if you’re thinking about joining.
Capital One 360 Performance Savings
The Capital One 360 Performance Savings account earns 4.00% (as of 10/28/24) APY, which is great but just a little bit lower than I like to see in a high-yield account. And because it doesn’t have a ton of unique features to make it the best choice for a certain type of consumer, it didn’t quite make our list.
Read our full Capital One banking review.
CIT savings accounts
CIT is an online-only bank with a few savings account choices. But because most of these have catches, CIT Bank doesn’t have the best track record with customer service, and I’ve seen it change its account rates and terms more times than most banks, I didn’t pick these accounts.
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High Yield Savings Account. $5,000 minimum balance. FDIC Insured.
- CIT Bank Platinum Savings account earns 4.35%17 <p>Platinum Savings is a tiered interest rate account. Interest is paid on the entire account balance based on the interest rate and APY in effect that day for the balance tier associated with the end-of-day account balance. APYs — Annual Percentage Yields are accurate as of December 20, 2024: 0.25% APY on balances of $0.01 to $4,999.99; 4.35% APY on balances of $5,000.00 or more. Interest Rates for the Platinum Savings account are variable and may change at any time without notice. The minimum to open a Platinum Savings account is $100.</p> APY with a minimum deposit requirement of $100. You have to maintain at least a $5,000 balance to get the highest APY.
- CIT Bank Savings Builder account earns up to 1.00% (as of May 3, 2024) if you make at least one deposit of $100 or more each month, but you need to maintain a minimum balance of $25,000. Otherwise, you earn only 0.250% (as of 12/10/2024).
- Savings Connect account pays 4.00% (as of 12/20/2024) APY if you have a linked eChecking account and deposit $200 or more per month from an external account.
Visit CIT Bank | Read our CIT Bank Savings Review.
What is a savings account?
A savings account is a type of bank account designed for depositing money you don’t plan to spend immediately. Savings accounts typically express rates as an annual percentage yield (APY), which accounts for your annual earnings with compound interest (or the interest you earn on interest).
People use savings accounts for a variety of purposes. You might use yours to save for a new computer, a vacation, college costs for your kids, an emergency fund, to buy your next car, or any other goal. I use mine for money I want to grow but am not ready or able to invest. You might even decide to have more than one savings account. Some banks allow you to open multiple and create custom names for each, which can help you visualize your savings goals.
Savings accounts don’t lose money due to market movements like an investment could. They have high liquidity, so they’ve historically been a reasonably stable place to stash any cash you want quick access to. They also generally come with FDIC insurance when opened with banks or NCUA insurance when opened with credit unions. Both cover you up to at least $250,000 in case an institution fails.
Types of savings accounts
Most of us probably think of a traditional savings account when someone says "savings account" to us. But there are a few different types of savings accounts:
- Regular and high-yield savings accounts: These accounts may be offered at a brick-and-mortar bank (like Chase or Bank of America) or by online financial institutions (or a combination of both, like Capital One). A high-yield savings account differs from a traditional one in that it earns an above-average interest rate. Currently, the national average savings rate is 0.43% (as of 11/18/24), according to FDIC data.
- Certificate of deposit (CD) accounts: CDs often pay high returns on your money, but you’re typically committed to a specific term length before you can access your money again. Compared to savings accounts, CDs often have better rates.
- Money market accounts (MMAs): The main advantage of MMAs is that they often have rates similar to or better than savings rates, and they’re much more likely to include debit and/or ATM cards. However, these usually have higher balance requirements.
- Cash management accounts (CMAs): These accounts, which you often open with brokerages rather than banks, combine checking and savings account features, but they don’t technically fall into either category. You may receive a higher interest rate than a standard checking account, though maybe not as high as with one of the best high-yield savings accounts. The Wealthfront Cash Account is just one example, which we considered for our list of top savings accounts but didn’t choose because it doesn’t fit the definition.
How to pick the right savings account for you
Here are a few factors to consider when choosing a savings account.
Compare rates
APYs can vary widely from bank to bank, as can the timeframe in which the interest is compounded (the more often it compounds, the faster your money grows). Online banks and credit unions tend to have some of the most competitive rates, while big banks like Bank of America, Chase, and Wells Fargo pay rates as low as 0.01% APY. There are more savings accounts that earn 5% interest or close to it than you might think.
Tip
Although interest rates and APYs are incredibly important when choosing a savings account, don’t let them rule all of your decisions. Some banking platforms will come along and offer higher rates than any other account, only to slash these after achieving a target customer base — or, in some cases, go out of business. Milli, for example, was a mobile-only platform with a yield well above 5% for a while, but it closed in November of 2024.Read fee schedules
Ideally, you’d find a bank with no monthly fees for a savings account. However, some banks offer additional services that may be worth paying fees depending on your circumstances. Make sure you read the fine print to understand what fees you may be subject to before opening a new account. For savings, look out for excessive withdrawal fees, transfer fees, and nonsufficient funds fees.
Check minimums
Some accounts require you to deposit a certain amount just to open them. This initial deposit may not be an issue if you've already saved a lot. But if you’re new to saving or even if you’re not, make sure you have this amount ready to deposit. I recommend finding an account with minimums you can comfortably meet without thinking about it.
Decide how you want to bank
Decide whether you prefer in-person or online banking before opening an account. The best high-yield online savings accounts may offer higher interest rates because the bank has lower overhead, which means the bank won’t have physical branches you can visit. Brick-and-mortar banks have higher expenses to stay open and usually have lower interest rates, but they’ll provide in-branch services.
Many financial institutions offer easy access to your account, with online and app options.
Look into support
Last but not least, check how and when you can contact customer service if you anticipate needing help with your account. Some banks offer in-person, phone, or online chat support. Look into service hours, too. I also like to read a few mobile app and Trustpilot reviews before opening an account with a bank.
FAQs
Can you lose money in a high-yield savings account?
It is extremely rare to lose money in a high-yield savings account. If you deposit money into an FDIC- or NCUA-insured bank, you have at least $250,000 of insurance to cover you if the institution fails. If your balance exceeds the insurance limits and the bank fails, then you may not recover your entire balance. You could also technically experience a decreasing balance if the bank where you hold the account charges you fees and you’re not making any additional deposits.
How often do interest rates change?
Interest rates typically change as economic conditions change, so how often they change will vary. While not directly correlated, banks and credit unions might change rates shortly after the Federal Reserve makes changes to what is commonly known as the federal funds rate. Recently, the fed rate has been changing quite a lot. However, banks are not required to change rates based on the Federal Reserve’s actions.
Bottom line
Whether you’re looking for your first savings account or one that pays more interest, opening a new savings account doesn’t have to be difficult. First, decide which features are most important to you. Then, find a savings account that excels in that area.
If you’re looking for a savings account to help you work toward your financial goals, consider the savings accounts listed above. And if you’re looking for a financial institution that offers more than just savings accounts, be sure to check out our list of the best banks.
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