5 Best Savings Accounts of December 2023
Our list of the best savings accounts.
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ALSO CONSIDER: Best checking accounts || Best CD rates || Best high-interest accounts
Savings accounts are federally insured financial products that can help your money grow. The best savings accounts have high annual percentage yields, or APYs. The higher the rate, the more money you'll earn over time. The products on this page have APYs of up to 5.27%.
Why you can trust NerdWallet: Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.
In 2022, banks began to increase the interest rates on their savings accounts after a period of rate cuts in response to financial conditions. The accounts featured in this article are among those with the consistently highest rates. They can help you bolster your emergency fund faster than an account with an average rate, which is currently just 0.46%.
ALSO CONSIDER: Best checking accounts || Best CD rates || Best high-interest accounts
Savings accounts are federally insured financial products that can help your money grow. The best savings accounts have high annual percentage yields, or APYs. The higher the rate, the more money you'll earn over time. The products on this page have APYs of up to 5.27%.
Why you can trust NerdWallet: Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.
In 2022, banks began to increase the interest rates on their savings accounts after a period of rate cuts in response to financial conditions. The accounts featured in this article are among those with the consistently highest rates. They can help you bolster your emergency fund faster than an account with an average rate, which is currently just 0.46%.
The Federal Reserve raised rates to the highest levels in more than two decades, which is good news for your savings accounts. Take advantage of today’s high rates by opening a federally insured savings account.
Best Savings Accounts From Our Partners
| Bank/institution | NerdWallet rating | APY | Bonus | Learn more |
|---|---|---|---|---|
 SoFi Checking and Savings Learn more at SoFi Bank, N.A., Member FDIC | Best for Savings Accounts | 4.60% With $0 min. balance for APY | $250 Earn up to $250 with direct deposit. Terms apply. | Learn more at SoFi Bank, N.A., Member FDIC |
 Barclays Online Savings Account Learn more at Barclays, Member FDIC | Best for Savings Accounts | 4.35% With $0 min. balance for APY | N/A | Learn more at Barclays, Member FDIC |
 CIT Bank Platinum Savings Learn more at CIT Bank, Member FDIC | Best for Savings Accounts | 5.05% With $5,000 min. balance for APY | N/A | Learn more at CIT Bank, Member FDIC |
 Discover Bank Online Savings Learn more at Discover Bank, Member FDIC | Best for Savings Accounts | 4.35% With $0 min. balance for APY | $200 Requirements to qualify | Learn more at Discover Bank, Member FDIC |
 Bask Interest Savings Account Learn more at Bask Bank, Member FDIC | Best for Savings Accounts | 5.10% With $0 min. balance for APY | N/A | Learn more at Bask Bank, Member FDIC |
Our pick for
Savings Accounts
4.60%
$250
Why We Like It
The savings portion of Checking and Savings offers 4.60% APY (variable and subject to change) for customers with direct deposit or a deposit of at least $5,000 every 30 days into the account. Without direct deposit or the other monthly deposit, that goes down to 1.20% APY.
In addition, money kept in the checking portion of the account earns 0.50% APY, regardless of whether you set up direct deposit. There’s no minimum deposit requirement to open an account and no monthly maintenance fees.
4.35%
N/A
Why We Like It
This savings account earns a competitive yield. Compared to the average national savings rate, which is 0.46%, an account with a high yield helps your balance grow faster over time.
5.05%
N/A
Why We Like It
CIT Bank's Platinum Savings account pays a 5.05% APY on balances of $5,000 or more. If your balance is below $5,000, the APY is 0.25%. The minimum amount to open an account is $100, and there are no monthly service fees.
4.35%
$200
Why We Like It
This account earns 4.35% APY. There is only one Discover bank branch, in Delaware, but customer support is available by phone 24/7. In addition, Discover’s mobile banking apps receive high ratings. Discover also offers a $150 or $200 bonus for opening your first Discover Online Savings Account (expires 12/14/2023).
Bonus offer details from Discover: "To get your $150 or $200 Bonus: What to do: Apply for your first Discover Online Savings Account, online, in the Discover App or by phone. Enter Offer Code NW923 when applying. Deposit into your account a total of at least $15,000 to earn a $150 Bonus or deposit a total of at least $25,000 to earn a $200 Bonus. Deposit must be posted to account within 30 days of account open date. Maximum bonus eligibility is $200."
"What to know: Offer not valid for existing or prior Discover savings customers or existing or prior customers with savings accounts that are co-branded, or affinity accounts provided by Discover. Eligibility is based on primary account owner. Account must be open when bonus is credited. Bonus will be credited to the account within 60 days of the account qualifying for the bonus. Bonus is interest and subject to reporting on Form 1099-INT. Offer ends 12/14/2023, 11:59 PM ET. Offer may be modified or withdrawn without notice."
5.10%
N/A
Why We Like It
This savings account earns a 5.10% APY. There is no minimum to open an account and no monthly fees.
What you need to know about the best savings accounts
What do the best savings accounts have in common?
The best savings account interest rates are around 5%. At a brick-and-mortar bank, you'll often find savings rates closer to the national average, which is currently 0.46%.
If you have a $10,000 savings balance, choosing an account that pays 5% will earn you about $500 in a year, while an account paying you 0.40% APY would earn about $40. The difference increases the more you deposit and the longer you keep it in the account.
Why should I care about the best savings account rates?
If you have money left in your checking account each month — or you can adjust your budget so that you do — you should have a savings account with a high rate. (Again, think around 5%.) It's always helpful to have money set aside for emergencies, and it'll earn you much more in an account that pays one of the best savings account rates than in a checking account.
Just make sure you can keep enough in your savings account to avoid monthly fees. Most online savings accounts don't charge these, but many traditional accounts do.
What monthly fees do savings accounts usually have?
The best savings accounts typically don’t charge monthly fees. You make your deposit and watch your balance grow as your money earns interest.
» Find out how your savings could add up with NerdWallet’s compound interest calculator.
Why does NerdWallet pick online savings accounts as the best savings accounts?
It's easy to find a savings account at your local bank, but if you want to earn a high rate and pay the lowest fees, you should consider storing your savings in an online account. Without the added expenses of large branch networks, online banks and nonbank providers are able to offer more favorable returns than national brick-and-mortar banks.
» Learn more about NerdWallet's favorite high-yield online savings accounts.
Is my money safe in a savings account?
Yes, provided your money is insured by the Federal Deposit Insurance Corporation or the National Credit Union Administration.
Do the best savings account interest rates change over time?
Yes, rates are variable and can change over time. If you are looking for a fixed rate account, and can set aside funds for a specific time period without making a withdrawal, consider opening a certificate of deposit. NerdWallet's list of best CD rates features top options.
How often do interest rates change?
Financial institutions generally don’t change savings rates on an hourly, daily or even monthly basis. In fact, under normal circumstances, it’s common to see APYs remain the same for several months.
It’s important to note, however, that rates are variable and theoretically can change at any time. In addition, many providers will change their rates based on what their competitors are doing. You will often see groups of providers increase or decrease their APYs at around the same time, especially if the Federal Reserve recently increased or cut rates.
To get the best yield for your money, it’s a good idea to check out the best savings rates on a regular basis — at least once a month.
» Find high rates across checking, savings and other accounts in NerdWallet's list of high-interest accounts.
Savings account terms you need to know:
Savings account: A deposit account from a financial institution that typically earns interest.
Interest: Money a financial institution pays into an account over time.
Compound interest: Compound interest is the interest you earn on both your original money and on the interest you keep accumulating. In an account that pays compound interest, the return is added to the original principal at the end of every compounding period, typically daily or monthly. Each time interest is calculated and added to the account, the larger balance earns more interest.
Annual percentage yield: The annual percentage yield, or APY, is the amount of interest an account earns in a year. The calculation is based on the account’s interest rate and the number of times interest is paid during the year.
» Read more about 10 essential banking terms you need to know.
How can I earn high interest rates besides a savings account?
Here are a few options:
Money market accounts: These accounts are a type of savings account, but they might have higher minimum balances and offer perks such as check-writing, which is rare for savings accounts.
Certificates of deposit: These accounts lock your balance away for a specified period of time — often between one year and five years — in exchange for a higher interest rate. But if you withdraw any money during the term, you'll typically have to pay a penalty. CDs are also covered by FDIC insurance.
» Find out more about your savings account options.
Is savings account interest taxable?
Yes, savings account interest is generally taxable. Your provider will probably send you a form reporting it if you earned more than $10 during the tax year. Note that you are likely to earn more interest with a high-yield savings account.
What’s the difference when NerdWallet notes “Member FDIC” vs. “funds insured by FDIC” on savings accounts?
When we describe a savings account that is offered by a bank, we note “Member FDIC,” since the bank is a member of the Federal Deposit Insurance Corp. and the account is federally insured. If a financial technology company — not a bank — offers a savings account, it typically partners with a bank that is an FDIC member to hold the funds so deposits can be insured. In those cases, we note “funds insured by the FDIC.” Savings accounts at credit unions are federally insured by the National Credit Union Administration, so we note “funds insured by the NCUA.”
Full list of editorial picks: best savings accounts
Here are all of NerdWallet's picks for the best savings accounts.
American Express, 4.30% APY (annual percentage yield) as of 09/27/2023. Minimum to open = $0 (read full review). Member FDIC.
Barclays, 4.35% savings APY with no minimum to open account (read full review), Member FDIC.
Bask Bank, 5.10% savings APY with no minimum to open account (read full review), Member FDIC.
BMO Alto, 5.10% savings APY with no minimum to open account (read full review), funds insured by FDIC.
Bread Savings, 5.15% savings APY with $100 minimum to open account, (read full review), Member FDIC.*
CIT Bank, 5.05% savings APY with $100 minimum to open account (read full review), Member FDIC.
Citibank, 4.45% savings APY with no minimum to open account (read full review), Member FDIC.
Citizens, 4.50% savings APY with $0.01 minimum to open account (read full review), Member FDIC.
Discover Bank, 4.35% savings APY with no minimum to open account (read full review), Member FDIC.
EverBank (formerly TIAA Bank), 5.15% savings APY with no minimum to open account (read full review), Member FDIC.
First Foundation Bank, 5.00% savings APY with $1,000 minimum to open account (read full review), Member FDIC.
LendingClub, 4.65% savings APY, $100 minimum to open account (read full review), Member FDIC.
Marcus, 4.40% savings APY with no minimum to open account (read full review), Member FDIC.
Quontic Bank, 4.50% savings APY with $100 minimum to open account (read full review), Member FDIC.
Salem Five Direct, 5.01% savings APY with no minimum to open account (read full review), Member FDIC.
Sallie Mae Bank, 4.50% savings APY with no minimum to open account (read full review), Member FDIC.
SoFi, 4.60% savings APY (variable and subject to change) with no minimum to open account (read full review), Member FDIC.
Synchrony Bank, 4.75% savings APY with no minimum to open account (read full review), Member FDIC.
TAB Bank, 5.27% savings APY with no minimum to open account (read full review), Member FDIC.
UFB Direct, 5.25% savings APY with no minimum to open account, Member FDIC. Editor's note: Since November 2022, NerdWallet readers have described delays in getting issues resolved through customer support. These complaints don't factor into UFB Direct's star ratings. Please read the full review for more details.
Upgrade, 5.07% APY, no minimum to open account (read full review), funds insured by FDIC.
» Interested in getting money from banks? See NerdWallet's best bank account promotions and bonuses
Last updated on December 4, 2023
Methodology
We took a close look at over 90 financial institutions and financial service providers, including the largest U.S. banks based on assets, internet search traffic and other factors; the nation’s largest credit unions, based on assets and membership; and other notable and/or emerging players in the industry. We rated them on criteria including annual percentage yields, minimum balances, fees, digital experience and more.
Financial institutions and providers surveyed are: Affirm, Alaska USA Federal Credit Union, All America Bank, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank5 Connect, Bank7, Barclays, Bask Bank, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, BrioDirect, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Current, Delta Community Credit Union, Discover Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, SoFi, State Employees’ Credit Union of North Carolina, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Truist Bank, U.S. Bank, UFB Direct, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo and Zynlo Bank.
To recap our selections...
NerdWallet's Best Savings Accounts of December 2023
- SoFi Checking and Savings: Best for Savings Accounts, 4.60% APY
- Barclays Online Savings Account: Best for Savings Accounts, 4.35% APY
- CIT Bank Platinum Savings: Best for Savings Accounts, 5.05% APY
- Discover Bank Online Savings: Best for Savings Accounts, 4.35% APY
- Bask Interest Savings Account: Best for Savings Accounts, 5.10% APY
Frequently asked questions
A savings account is a deposit bank account that lets you securely store funds while also typically earning interest. You can deposit your money at your financial institution through cash, check or bank transfer, and it will safely earn interest while it is in your account. With savings accounts, money is insured up to $250,000 per depositor, so your funds are safe.
Yes. Most savings accounts are insured by the Federal Deposit Insurance Corporation and others are insured by the National Credit Union Administration. Both cover up to $250,000 per depositor, per institution and per account type, in case your bank fails. All of the best savings accounts in NerdWallet's analysis are insured, just like bank accounts at national institutions.
A savings account holds money that you don’t need for daily spending. It can be a great spot to park your emergency fund or money that you're setting aside for a specific purchase, like a vacation or a down payment on a house. Since everyone's savings goals are different, the amount of money that you should keep in your savings account varies depending on your situation. Unlike most checking accounts, savings accounts earn interest — that’s money you receive in your account just for keeping it with the institution. The higher your savings account interest rate, the faster your balance will grow. You can find accounts with the highest rates in NerdWallet's list of the best savings accounts.
