Top 10 High-Yield Savings Accounts in the USA

While a traditional savings account is a safe haven for your emergency fund or short-term goals, the interest you earn often leaves much to be desired. Imagine your money slowly accumulating interest at a snail’s pace. That’s where high-yield savings accounts come into play! These innovative accounts are designed to accelerate your savings growth without the risks associated with the stock market. High-Yield Savings Accounts offer significantly higher Annual Percentage Yields (APY) compared to their traditional counterparts. This means your money works harder for you, accumulating interest at a much faster rate. So, if you’re looking to maximize your returns on funds earmarked for future use, a high-yield savings account might be the perfect solution. This blog will explore the top 10 high-yield savings accounts currently available in the USA, allowing you to compare interest rates, fees, and features to find the perfect fit for your financial goals.

Table of Contents

What is a high-yield savings account?

High-yield savings accounts reward you with a higher interest rate than traditional savings accounts, making your money grow faster as it sits in your account. The interest rate that these accounts offer is known as the annual percentage yield, or APY. The higher your APY, the faster your money grows. In any savings account, your APY rate is variable and can go up or down at any time in accordance with the Federal Reserve changing its benchmark interest rate.

Like traditional savings accounts, HYSAs typically allow you to access cash when you need it, sometimes with a free ATM card. And like a traditional account, your money is federally insured by either the Federal Deposit Insurance Corporation or the National Credit Union Administration, so deposits up to $250,000 are protected if the bank collapses.

How do high-yield savings accounts work?

Savings accounts typically enjoy compound interest, which means you earn a return on both the principal balance and the interest the principal earns. Some accounts compound daily, others monthly. The more frequently your interest compounds, the greater your return.

While a strong APY is a big factor in choosing a HYSA, look at the fine print.: Because online banks don’t have the overhead of brick-and-mortars, they may offer an account with a higher APY. But it could come with deposit and balance minimums or monthly fees.

The interest rates on high-yield savings accounts can be 10 to 12 times higher than traditional savings account returns.
The highest rates are often available only from online banks.
Electronic transfers are easy to set up between a high-yield savings account and your checking account, even if you hold them at different banks.
When shopping for a high-yield savings account, compare factors such as initial deposit requirements, interest rates, minimum balance requirements, and fees.

Grow Your Cash Faster: Unleash the Power of Top High-Yield Savings Accounts

In today’s world of rising interest rates, it’s more important than ever to make your savings work for you. But with a sea of high-yield savings accounts out there, choosing the right one can feel overwhelming. Fear not! This guide dives deep into the top 10 contenders, uncovering the best APYs, account features, and what to consider before making your pick. So, buckle up and get ready to unlock the full potential of your hard-earned cash!

1. Flagstar Bank

APY: 5.55%
Min. balance for APY: $25,000
Estimated earnings on $10,000: $555 per year
Required opening deposit: $1 (new money only)
Minimum balance requirement: $25,000 to earn APY
Monthly fee: $15, waived with $10,000 average daily balance or a Flagstar checking account
ATM card available: Yes
Mobile check deposit: Yes
Checking accounts available: Yes
CDs available: Yes

Flagstar Bank shines with a competitive 5.55% APY, among the highest rates in the market. There’s no minimum balance required to open an account, but to earn the top tier interest, you’ll need to keep a minimum of $25,000. A $15 monthly fee applies unless you maintain a $10,000 daily balance or link a Flagstar checking account. Flagstar offers additional perks like ATM access, mobile banking, and the ability to connect your savings account to a checking account for easy transfers. Keep in mind that Flagstar is a regional bank, so branch availability might be limited depending on your location.

2. Poppy Bank

APY: 5.50%
Min. balance for APY: $1,000
Estimated earnings on $10,000: $550 per year
Required opening deposit: $0
Minimum balance requirement: $1,000 to earn APY
Monthly fee: None with e-statements, otherwise, $5
ATM card available: Yes
Mobile check deposit: No
Checking accounts available: Yes
CDs available: Yes

Poppy Bank offers a compelling 5.50% APY, rivaling the top contenders for high-yield savings accounts. There’s no minimum deposit to open an account, and maintaining a $1,000 balance unlocks the full APY. This makes it a good option for those looking to start small. Poppy Bank avoids monthly fees if you opt for electronic statements, but paper statements come with a $5 charge. While Poppy Bank boasts a national online presence, they primarily operates branches in California. This might be a drawback for those seeking in-person banking services outside the state. Additionally, they don’t offer mobile check deposit, a feature many online banks provide. Overall, Poppy Bank is a strong choice for those prioritizing a high APY and ease of opening an account, but weigh the potential drawbacks of limited physical presence and lack of mobile check deposit.

3. My Banking Direct Bank

APY: 5.45%
Minimum balance for APY: No minimum
Estimated earnings on $10,000: $545 per year
Required opening deposit: $500
Minimum balance requirement: None
Monthly fee: None
ATM card available: No
Mobile check deposit: Yes
Checking accounts available: Yes
CDs available: Yes

My Banking Direct offers a compelling 5.45% APY with no monthly fees, making it a great option for savers looking to maximize their returns. There’s a $500 minimum deposit to open the account, but once opened, you can enjoy the high interest rate regardless of your account balance. My Banking Direct is an online bank, so they don’t have physical branches or ATM cards. However, they offer mobile check deposit and the ability to link your savings account to a checking account for easy transfers. While the lack of a debit card might be a drawback for some, My Banking Direct makes up for it with a competitive interest rate and a user-friendly online platform.

4. Forbright Bank

APY: 5.30%
Minimum . balance for APY: No minimum
Estimated earnings on $10,000: $530 per year
Required opening deposit: $1
Minimum balance requirement: None
Monthly fee: None
ATM card available: No (online bank)
Mobile check deposit: Yes
Checking accounts available: Yes (separate product)
CDs available: Yes

Forbright Bank’s Growth Savings Account offers a compelling 5.30% APY with no minimum balance required to earn interest. This is a major advantage for those starting small or with fluctuating savings amounts. There are also no monthly fees, making it a truly cost-effective option. Forbright is an online bank, so you won’t have access to physical branches or ATMs. However, they offer mobile banking and check deposit functionality to manage your account remotely. While Forbright doesn’t have a built-in checking account, they do offer separate checking products if needed. Consider this option if you prioritize a high APY and a user-friendly online platform, but be aware of the lack of a debit card and branch network.

5. Vio Bank

APY: 5.30%
Minimum . balance for APY: No minimum
Estimated earnings on $10,000: $530 per year
Required opening deposit: $100
Minimum balance requirement: None
Monthly fee: None
ATM card available: No
Mobile check deposit: Yes
Checking accounts available: No
CDs available: Yes

Vio Bank offers a compelling 5.30% APY with no monthly fees, making it a great option for those looking to maximize their savings growth. There’s a low $100 minimum opening deposit, and you can earn the full APY regardless of your account balance. While Vio Bank doesn’t offer its own checking accounts or ATM cards, it does allow mobile check deposits for easy account funding. However, keep in mind that Vio Bank is an online-only bank, so there are no physical branches to visit. This might be a drawback for those who prefer in-person banking services.

6. BrioDirect Bank

APY: 5.30%
Min. balance for APY: $25
Estimated earnings on $10,000: $530 per year
Required opening deposit: $5,000
Minimum balance requirement: $25 to earn APY
Monthly fee: None, but $5 fee for paper statements
ATM card available: No
Mobile check deposit: Yes
Checking accounts available: No
CDs available: Yes

BrioDirect offers a competitive 5.30% APY, making it a strong contender for your savings goals. With a $5,000 minimum opening deposit, it’s a bit higher than some competitors. But the good news is that you only need $25 to maintain the APY, making it accessible for those just starting their savings journey. There’s no monthly maintenance fee, but be aware of the $5 charge for paper statements if you prefer physical copies. While BrioDirect doesn’t offer an ATM card or linked checking account, it does allow mobile check deposits for easy fund transfers. Since BrioDirect is an online-only bank, there are no physical branches, so keep that in mind if in-person banking is important to you.

7. Ivy Bank

APY: 5.30% (guaranteed until Sep 2024, then variable)
Min. balance for APY: $2,500
Estimated earnings on $5,000: $265 per year
Required opening deposit: $2,500
Minimum balance requirement: $2,500 to earn APY, $10 minimum to avoid fees
Monthly fee: None
ATM card available: No
Mobile check deposit: Yes
Checking accounts available: No
CDs available: Yes

Ivy Bank offers a high 5.30% APY, but with a few catches. There’s a $2,500 minimum deposit to open the account and earn the top interest rate. While there’s no monthly fee, keeping your balance below $10 will result in a meager 0.05% APY. Ivy Bank is an online-only bank, so you won’t find any physical branches or ATMs. However, they do offer mobile banking and mobile check deposits for convenient account management. If you’re looking for a high-yield savings account with a strong APY and no monthly fees, and you’re comfortable managing your money online, Ivy Bank could be a good fit. However, be aware of the minimum balance requirement and the lack of ATM access.

8. TAB Bank

APY: 5.27%
Min. balance for APY: None
Estimated earnings on $10,000: $527 per year
Required opening deposit: $25
Minimum balance requirement: No minimum balance required to earn APY
Monthly fee: None
ATM card available: No
Mobile check deposit: Yes
Checking accounts available: Yes (TAB Spend)
CDs available: Yes

TAB Bank’s High Yield Savings Account offers a compelling 5.27% APY with no minimum balance required to earn interest. This makes it a great option for those starting small or with fluctuating savings goals. Plus, there’s no monthly maintenance fee to chip away at your earnings. TAB focuses on online banking, so there are no ATMs associated with the savings account. However, mobile check deposit are available for convenient fund transfers. For those who prefer a bundled approach, TAB offers a connected checking account (TAB Spend) that earns interest and rewards points on debit card purchases. While TAB boasts a competitive interest rate and ease of access, the lack of a physical ATM network might be a drawback for some.

9. UFB Direct Bank

APY: 5.25%
Minimum . balance for APY: No minimum
Estimated earnings on $10,000: $525 per year
Required opening deposit: No minimum
Minimum balance requirement: None
Monthly fee: None
ATM card available: Yes (debit card)
Mobile check deposit: Yes
Checking accounts available: No
CDs available: Yes

UFB Direct offers a compelling combination of a high 5.25% APY with no minimum balance requirements. This makes it a strong option for anyone looking to grow their savings without worrying about account fees or jumping through hoops. UFB Direct is a fully online bank, so there are no physical branches. While this might be inconvenient for some, UFB Direct offers a user-friendly mobile app and online banking platform for easy account management and mobile check deposits. Another drawback is the lack of integrated checking accounts, so you’ll need to transfer funds to another bank if you need easy access to your cash. However, for those seeking a high-yield savings account with a straightforward approach and no frills, UFB Direct is definitely worth considering.

10. Evergreen Bank Group

APY: 5.25%
Min. balance for APY: None
Estimated earnings on $10,000: $525 per year
Required opening deposit: $100
Minimum balance requirement: No minimum balance required to earn APY
Monthly fee: None
ATM card available: Yes
Mobile check deposit: Yes
Checking accounts available: Yes
CDs available: Yes

Evergreen Bank Group offers a compelling 5.25% APY with no minimum balance requirement to earn interest. This makes it a strong option for those looking for a high yield savings account without the hassle of maintaining a certain balance. Plus, there’s a low $100 minimum opening deposit to get started. Evergreen boasts additional features like a free ATM card, mobile check deposit, and the convenience of linking your savings to a checking account for easy transfers. However, Evergreen Bank Group is a regional bank headquartered in Illinois, so physical branch availability might be limited depending on your location. Also, be sure to research any potential limitations on mobile check deposit amounts.

FAQs

Q. Which bank gives 7% interest on savings accounts in the USA?

Which bank gives 7% interest on savings accounts? Currently, no banks are offering 7% interest on savings accounts, but some do offer a 7% APY on other products. For example, OnPath Federal Credit Union currently offers a 7% APY on average daily checking account balances up to and under $10,000.

Q. How much will $100,000 make in a high-yield savings account?

At a 4.25% annual interest rate, your $100,000 deposit would earn a total of $4,250 in interest over the course of a year if interest compounds annually. Annual total: $104,250.

Q. What are the current top interest rates for high-yield savings accounts?

As of July 2024, some high-yield savings accounts are offering APYs (Annual Percentage Yields) as high as 5.55%.

Q. Is my money safe in a high-yield savings account?

Yes, typically. Look for accounts insured by the FDIC (Federal Deposit Insurance Corporation) for up to $250,000.

Q. Are there any fees associated with high-yield savings accounts?

Some accounts may have monthly maintenance fees, but these can often be waived by meeting the minimum balance requirements.

Q. How often can I withdraw money from a high-yield savings account?

Federal regulations limit withdrawals to six per month from a savings account. However, some banks may offer unlimited transfers to linked checking accounts.

Q. What features should I consider when choosing a high-yield savings account?

Consider the APY, minimum balance requirements, account fees, ease of access, and any bonus offers.

Conclusion: The Final words

In today’s dynamic financial landscape, finding the perfect fit for your savings goals can feel overwhelming. But fear not! By exploring the Top 10 High-Yield Savings Accounts in the USA, you’ve taken a powerful step towards maximizing your hard-earned cash. Remember, these accounts offer competitive annual percentage yields (APYs) that far outshine traditional savings options. With rates reaching as high as 5.55%, Top High-Yield Savings Accounts can significantly accelerate your progress, whether you’re saving for a dream vacation, a down payment, or simply building a secure financial future. So, take advantage of the information you’ve gleaned here, compare the features of these top contenders, and choose the top high-yield savings account that best aligns with your unique financial needs. With the right account in place, you can watch your savings flourish and unlock a brighter financial tomorrow.