Best High-Yield Online Savings Accounts

A high-yield savings account can serve as a valuable intermediary for your money, offering your principal protection and federal insurance security and returns higher than a regular savings account but less than you would earn from riskier investments. This article combines everything you need to know about a high-yielding savings account.

What is a high-yield savings account?

A no-fee high-interest savings account is a savings account that typically pays out 20-25 times more than the national average of a standard savings account. Usually, people kept a savings account at the bank they held a checking account with, so transfers between them were informal and fast.

But with online banking and traditional banks opening their doors to customers across the country online account opening, savings rate competition has skyrocketed, creating a new category of high-yielding savings accounts. Considering the difference between high-yield savings account rates and the national average, the increase in income is significant. Check out this video to figure out more.

Factors to Consider When Selecting a Savings Account

Check out these four factors before making your final decision:

  • To open a high-interest savings account in an online or traditional bank. Online banking is becoming increasingly popular among customers. It's possible that they don't have a personal relationship. However, they may offer better rates and terms because they have lower overhead than local banks. Many traditional and online banks and credit unions provide checking and savings accounts and a comprehensive variety of services. CDs, money market accounts, loans, and other services are available from some internet banks.

  • Interest rates. Most high-interest-paying accounts can be obtained online or at a physical location near you. Your money is safe since they are all insured by the Federal Deposit Insurance Corporation (FDIC). Look for a high-yield savings account that offers a larger annual percentage yield (APY) than a traditional savings account.

  • Money is available in a variety of ways. High-yield savings accounts are still a viable (and safe) option to establish an emergency fund, despite the low APY return rate. You'll have to pay a high cost if you go over your monthly limit. However, if you want flexible access to your money more often, you may want to consider an interest-bearing checking high-yield savings account with a bonus instead.

  • Bank fees have been added. Many, but not all, internet banks and credit unions charge a fee. As a result, prices may build up quickly, especially since the average consumer pays over $300 in bank fees yearly.

You can earn more money with a high-yield savings account than with a conventional one. The national average annual percentage yield (APY) on savings accounts is 0.06 percent.

Factors to Consider When Selecting a Savings Account

Minimum balance requirements

APY offered by some high-yield savings accounts may have minimum balance requirements and a minimum deposit to create an account. So another critical factor to consider when comparing online high-interest savings accounts with high-interest rates is how often you need to access funds. And also, if you can keep up with the minimum balance requirements.

Regular rate changes

Banks and credit unions frequently modify interest rates. Similarly, unlike CDs, which are typically locked to a rate for a specific time, savings account returns fluctuate.

However, the annual percentage yield on savings accounts might fluctuate for various reasons. It may, however, raise the rate to entice fresh deposits. It might also be in response to more significant economic conditions, such as monetary policy changes by the Federal Reserve.

Hence, since savings rates change frequently, determine how often the bank gives tantalizing rates. And at the same time, calculate your potential earnings after the first year.

Best Options

The following high-yield savings accounts comparison is the various high-yield savings account rates:



LendingClub Bank


Alliant Credit Union 


Comenity Direct


Affirm, funds insured by FDIC




Vio Bank High Yield


Ally Bank


Chime, funds insured by the FDIC.


Marcus by Goldman Sachs


TAB Bank


A high-yielding savings account might be a good choice for you if you want easy access to your money while earning a high-interest rate. However, American Express offers much more than just a low rate when you open a high-yield savings account.

Accordingly, the American Express High Yield Savings Account (hysa) is one of the best and earns you more interest than regular savings. When you open a high-yielding American Express Savings hysa account, you are helping your money grow faster than the national average.

A high-yield savings account can help clients grow their funds faster than regular savings accounts with the highest interest rates and speed up the progress toward your goals.