If you’re looking to supercharge your savings, a high-yield savings account could provide a competitive return to help your balance grow faster. However, not all banks offer high rates, which is why it’s important to shop around and find the most competitive savings interest rates available. Read on to learn more about where to find the best savings interest rates.
Savings account rates have been on an upward trend over the past two years or so, but are now trending down following the Fed’s recent rate cuts.
The good news is that many high-yield savings accounts still offer rates of 4% APY and up. The best rates are typically offered by online banks, although you may be able to find comparable savings interest rates at some credit unions and community banks.
As of December 26, 2024, the highest savings account rate offered by our partners is 4.66% APY. This rate is offered by VIO Bank and there is no minimum opening deposit required.
Here is a look at some of the best savings rates available today from our verified partners:
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Related: 10 best high-yield savings accounts>>
Following several years of near-zero interest rates, the Federal Reserve began raising the federal funds rate in 2022 in order to combat rapidly rising inflation. As a result, savings interest rates skyrocketed as well, reaching a 15-year high.
However, in late 2024, the Fed implemented a series of cuts to the federal funds rate, and savings account rates have started dropping. It’s also expected that the Fed will implement more rate cuts in 2025.
It’s difficult to predict exactly how and when interest rates will change going forward, but one thing is for sure: Today’s high savings account rates won’t last forever. So, if you’re hoping to give your savings a boost and take advantage of the best rates on the market, there’s no better time than now.
The requirements involved in opening a savings account vary by financial institution. However, if you’re ready to open an account, you can follow these general steps:
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Research savings account rates: Of course, when choosing a savings account, one of the most important factors to evaluate are the interest rates. Be sure that you select a savings account with a competitive rate to help your money grow.
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Figure out your must-haves: Although savings account interest rates should be top of mind, that’s not the only factor to consider. You’ll also want to think about what else you need from your account, whether it’s no minimum balance requirement, low fees, or other perks. Finding a savings account with a solid rate that also helps you achieve your goals is key.
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Prepare documentation: Opening a bank account requires you to provide a few important personal details and documents. Before you start your application, be sure you have your Social Security number, driver’s license or passport number, and proof of address.
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Fill out the application: In many cases, you can apply for savings account online. However, some financial institutions may require you to visit the branch in person to apply. Either way, the application for a new savings account should only take a few minutes to complete. In many cases, you’ll get your approval decision instantly.
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Fund your account: Once your savings account application is approved, you’ll need to add funds to the account. Be sure you’re aware of any minimum opening deposit requirements and timeline for funding.
Read more: Step-by-step instructions for opening a high-yield savings account
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