Key Takeaways
- You can earn up to 5.30% APY with today's best high-yield savings accounts.
- APYs have been falling since the Fed cut interest rates by 50 basis points in September.
- Opening a high-yield savings account now allows you to maximize your earnings.
Want to grow your savings faster? You can still earn a competitive annual percentage yield, or APY, by keeping your money in a high-yield savings account.
Although the Federal Reserve lowered interest rates on September 18, top high-yield savings accounts still offer more than 10 times the national average. But now is the time to act. Experts predict at least one more rate cut before the end of the year, meaning APYs will likely continue to fall.
Read on to see CNET's picks for the best high-yield savings account rates.
Today's best savings rates
Here are some of the top savings account APYs available right now:
Experts recommend comparing rates before opening a savings account to get the best APY possible. You can enter your information below to see rates for CNET partners in your area.
Where are savings rates today
The Fed cut rates for the first time in four years at its September meeting. What does this mean for savings rates and why should you care?
Every time the Fed adjusts the federal funds rate, it has an impact on the broader economy, which has a domino effect on consumers, affecting how quickly their money can grow.
When the Fed cuts the federal funds rate to stimulate the economy, banks typically respond by reducing the yield rates they offer savers on deposit accounts, said Justin Haywood, a certified financial planner and president of Haywood Wealth Management.
“The Fed controls short-term interest rates, which directly influence the rates banks offer on savings accounts,” Haywood said. Depending on the bank, changes may take several weeks or even months to take effect.
Savings rates declined before the Fed meeting, and since then we've seen several banks reduce APYs on their savings accounts. For example, Bask Bank – one of the top accounts we monitor – reduced its APY from 5.10% to 4.85% on September 30th. Still, it's not difficult to find savings accounts with an APY above 5%.
Here's what savings rates were at the start of this week compared to the start of last week:
| Last Week's CNET Average Savings (APY) | This Week's CNET Average Savings APY | Weekly change | |
| 4.67% | 4.61% | -1.38% |
*Weekly percentage increase/decrease from September 30 to October 7, 2024.
What to consider before choosing a savings account
It's important to keep your extra money in a high APY savings account, but don't make that the only criteria on your search list. There are other factors you should consider when choosing the best savings account for your goals, including:
- Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, typically $25 to $100. Others require nothing.
- ATM access: Not every bank offers cash deposits and withdrawals. If you need regular ATM access, check to see if your bank offers ATM fee reimbursement or a wide range of in-network ATMs, said Lanesha Mohip, founder of Polished CFO and member of CNET's expert review board. .
- Rates: Keep an eye out for monthly maintenance fees, withdrawals and paper statements, Mohip said. Charges can harm your balance.
- Accessibility: If you prefer in-person service, look for a bank with physical branches. If you feel comfortable managing your money digitally, consider online banking.
- Withdrawal Limits: Some banks charge an excess withdrawal fee if you make more than six monthly withdrawals. If you think you need to earn more, consider a bank without this limit.
- Federal Deposit Insurance: Make sure your bank or credit union is insured by the FDIC or NCUA. This way, your money is protected up to $250,000 per account holder, per category, in the event of a bank failure.
- Customer service: Choose a bank that is responsive and makes it easy to get help with your account if you need it. Read customer reviews online and contact the bank's customer service to get an idea of how to work with the bank.
Methodology
CNET reviewed savings accounts at more than 50 traditional and online banks, credit unions and financial institutions with services nationwide. Each account received a score between one (lowest) and five (highest). The savings accounts listed here are all insured up to $250,000 per person, per account category, per institution, by the FDIC or NCUA.
CNET evaluates the best savings accounts using a set of established criteria that compare annual percentage yields, monthly fees, minimum deposits or balances, and access to physical branches. None of the banks on our list charge monthly maintenance fees. An account will be ranked higher for offering any of the following benefits:
- Account bonus
- Automated Savings Features
- Wealth management consultancy/coaching services
- Cash deposits
- Extensive ATM networks and/or ATM discounts for using out-of-network ATMs
A savings account may be rated lower if it doesn't have an easy-to-navigate website or if it doesn't offer useful features like an ATM card. Accounts that impose restrictive residency requirements or fees for exceeding monthly transaction limits may also be rated lower.
