Best Savings Rates

| Search for the Best Savings Rates from Banks and Credit Unions
Use our savings rates list below to search for and compare the best savings rates from banks and credit unions. Our list of savings account rates are the highest savings rates around from both local banks and credit unions. We also list the best savings rates from national banks. There is no need to search for savings rates elsewhere since we maintain the best list of rates.
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Rate
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TIAA Direct Logo
  (4 out of 5)
07/23/2014
TIAA-CREF Trust Company, FSB. Member FDIC 
TIAA Direct Logo
  (4 out of 5)
07/23/2014
TIAA-CREF Trust Company, FSB. Member FDIC 
EverBank

  (4 out of 5)
MMA
1.010%
07/23/2014
0.610%
$1,500.00
Earn a top 5% yield- always! Open an Account today. FDIC insured. 
Colorado Federal Savings Bank

  (3 out of 5)
Savings
0.850%
07/23/2014
0.850%
$2,500.00
 
Mutual of Omaha Bank

  (4 out of 5)
MMA
0.850%
07/23/2014
0.850%
$5,000.00
Easy to open, easy to fund, easy to manage. Open an account now. 
Union Federal Savings Bank

  (5 out of 5)
MMA
0.850%
07/23/2014
0.850%
$2,500.00
 
FNBO Direct

  (4 out of 5)
Savings
0.750%
07/23/2014
0.750%
$1.00
Cashback savings where you shop with MyDeals on your check card 
Fultdirect.com

  (4 out of 5)
MMA
0.100%
07/23/2014
0.100%
$10,000.00
 
Barclays

  (5 out of 5)
Savings
0.900%
07/23/2014
0.900%
$0.00
No Minimum Balance. No Monthly Maintenance Fees. FDIC Insured. 
Sallie Mae

  (5 out of 5)
MMA
0.900%
07/23/2014
0.900%
$0.00
Easy Access to Your Funds. FDIC-insured. 
The Palladian PrivateBank

  (4 out of 5)
Savings
0.900%
07/23/2014
0.900%
$10,000.00
Open an account online today at www.palladianprivatebank.com 
iGObanking.com

  (3 out of 5)
MMA
0.900%
07/23/2014
0.900%
$25,000.00
12 month CD 1.05 APY*,FDIC insured, open online or by mail. 
Discover Bank

  (5 out of 5)
Savings
0.850%
07/23/2014
0.850%
$500.00
Grow your savings faster with a rate 5x the National Savings Avg* 
EH National Bank

  (3 out of 5)
MMA
0.800%
07/23/2014
0.800%
$1,000.00
 
First Internet Bank of Indiana

  (4 out of 5)
MMA
0.800%
07/23/2014
0.800%
$100.00
 
ableBanking, a division of Northeast Bank

  (4 out of 5)
MMA
0.800%
07/23/2014
0.800%
$250.00
$25 New Customer Gift to give to charity (501c3). FDIC insured. 
Bank of Internet USA

  (4 out of 5)
MMA
0.750%
07/23/2014
0.750%
$100.00
FDIC Insured Nationwide Banking 
Discover Bank

  (5 out of 5)
MMA
0.700%
07/23/2014
0.700%
$2,500.00
Easy cash access and always great rates. Open an account today! 
VirtualBank

  (4 out of 5)
MMA
0.650%
07/23/2014
0.650%
$100.00
FDIC Insured 
Bank of Internet USA

  (4 out of 5)
Savings
0.610%
07/23/2014
0.610%
$100.00
High Yield Savings Account, Apply Online Now! FDIC Insured 
AloStar Bank of Commerce

  (4 out of 5)
MMA
0.600%
07/23/2014
0.600%
$1,000.00
 
First Internet Bank of Indiana

  (4 out of 5)
Savings
0.600%
07/23/2014
0.600%
$100.00
 
Lone Star Bank

  (2 out of 5)
MMA
0.600%
07/23/2014
0.600%
$2,500.00
 
AloStar Bank of Commerce

  (4 out of 5)
Savings
0.500%
07/23/2014
0.500%
$50.00
 
Lone Star Bank

  (2 out of 5)
Savings
0.500%
07/23/2014
0.500%
$200.00
 
giantbank.com

  (4 out of 5)
MMA
0.450%
07/23/2014
0.450%
$1,000.00
 
EH National Bank

  (3 out of 5)
Savings
0.400%
07/23/2014
0.400%
$1,000.00
 
Heartland Bank Direct

  (1 out of 5)
Savings
0.400%
07/23/2014
0.400%
$500.00
Compounds daily, no fees, no minimum, no direct deposit req'd. 
Intervest National Bank

  (4 out of 5)
Savings
0.300%
07/23/2014
0.300%
$100.00
$500 min bal to avoid fees 
Intervest National Bank

  (4 out of 5)
MMA
0.300%
07/23/2014
0.300%
$2,500.00
 
State Farm Bank

  (4 out of 5)
MMA
0.300%
07/23/2014
0.300%
$1,000.00
 
Heritage Bank

  (4 out of 5)
Savings
0.250%
07/23/2014
0.250%
$1,000.00
 
iGObanking.com

  (3 out of 5)
Savings
0.250%
07/23/2014
0.250%
$1.00
12 month CD 1.05 APY*,FDIC insured, open online or by mail. 
E-LOAN

  (5 out of 5)
MMA
0.200%
07/23/2014
0.200%
$5,000.00
No Fees. Start earning interest now! 
Third Federal Savings and Loan

  (4 out of 5)
Savings
0.200%
07/23/2014
0.200%
$25,000.00
 
State Farm Bank

  (4 out of 5)
Savings
0.120%
07/23/2014
0.120%
$100.00
 
American Bank

  (4 out of 5)
Savings
0.100%
07/23/2014
0.100%
$100.00
 
American Bank

  (4 out of 5)
MMA
0.100%
07/23/2014
0.100%
$100.00
 
USAA

  (5 out of 5)
Savings
0.100%
07/23/2014
0.100%
$25.00
 
USAA

  (5 out of 5)
MMA
0.100%
07/23/2014
0.100%
$10,000.00
 
Astoria Bank

  (3 out of 5)
Savings
0.050%
07/23/2014
0.050%
$500.00
 
Astoria Bank

  (3 out of 5)
MMA
0.050%
07/23/2014
0.050%
$2,500.00
 
Citizens Trust Bank

  (3 out of 5)
MMA
0.050%
07/23/2014
0.050%
$100.00
 
Citizens Trust Bank

  (3 out of 5)
Savings
0.050%
07/23/2014
0.050%
$1,000.00
 
California First National Bank

  (5 out of 5)
MMA
0.500%
07/18/2014
0.500%
$5,000.00
 

Data Provided by Bankrate.com Rates were collected by Bankrate.com on the dates specified. Rates are subject to change without notice and may vary from branch to branch. Bankrate.com National APY Average and Bankrate.com Site APY Average are only available for MMA products in any denomination exclusively. For Savings products, neither national nor Bankrate APY averages are tabulated. For MMA & Savings products in any denomination, the presented Bankrate.com National APY Average and Bankrate.com Site APY Average are averages of the MMA products only, and are not inclusive of Savings products APY rates.

These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site, where you can find additional information. Bank and thift deposits are insured by the Federal Deposit Insurance Corp. Credit Union deposits are insured by the National Credit Union Administration. Many institutions have different rates on their own Websites than those posted on Bankrate.com. Please identify yourself as a Bankrate consumer to lenders to ensure you get the Bankrate.com rate. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the lender you choose, please let us know.

Bankrate.com's Safe & Sound® service provides ratings information on the relative financial strength and stability of U.S. commercial banks, savings institutions and credit unions. Five stars is superior, one star is lowest rated. For more information click here.



Current savings rates and money market rates are stable this week. The highest deposit rates remain near 1.00 percent while average rates remain low. For over a year now, we have been writing about the Federal Reserve increasing the federal funds rate, their key benchmark interest rate. We won’t see banks and credit unions increasing deposit rates until the Fed increases the fed funds rate. Well, we may see higher rates sooner than expected.

The Fed Chairperson, Janet Yellen, testified before the Senate Banking Committee this week and left the door open for increasing rates sooner than expected. Yellen basically said if the labor market continues to improve better than expected, the Fed will increase the fed funds rate sooner than expected.

“If the labor market continues to improve more quickly than anticipated by the [Fed],” she told the Senate Banking Committee, “then increases in the federal-funds rate target likely would occur sooner and be more rapid than currently envisioned.” The general consensus was for the Fed to increase the fed funds rate sometime in the summer or fall of 2015.

Though Yellen’s commented that rates would rise sooner than planned, she also reiterated that “a high degree of monetary policy accommodation remains appropriate.” Employment growth has been stronger than expected but economic growth has been lackluster and inflation still isn’t a concern.

The Labor Department report earlier this month showed the unemployment rate dropped to 6.1% in June as payrolls increased by a strong 288,000. The Fed was expected to increase the rate when the unemployment rate fell below 6.5 percent but changed its target late last year. Now there isn’t a specific unemployment number that would trigger an increase in rates.

We look for the Fed to increase the fed funds rate sometime during the first two quarters of 2015. When the fed funds rate is increased, banks will quickly follow suit with higher deposit rates. The first increase in the fed funds rate will be small, probably 0.25 percent or maybe even 0.50 percent.

An increase of 0.50 percent or less would send savings account rates and money market account rates up marginally. The highest rates would probably to the 1.25 percent to 1.50 percent range. The highest 1 year CD rates would rise to a range of 1.35 percent to 1.60 percent, depending on the fed funds’ rate increase.

 
Author: Brian McKay
July 16th, 2014

Has the bull market run in equities over the past 5 years made you nervous about staying invested in stocks? If so, you’re not alone – investors have been hoarding cash in greater numbers since 2013, despite current low savings rates.  The average annual gain of the S&P 500 over the past 5 years has been 18.89 percent, yielding over a 100% gain, so comes as no surprise that investors are nervous about holding stocks these days.

Whether or not equities are in a late stage bull market run is debatable but with the stock market gains over the past 5 years, now is a good time to take some money out of stocks. If you’re placing that money in good old fashion FDIC insured bank accounts you will probably be shocked at how low interest rates are these days.

Average savings rates and money market rates are dismal right now. In the most recent FDIC national average rate survey, savings rates are averaging 0.06 percent. Money market rates are not much higher, averaging only 0.08 percent. 1 year bank CD rates are slightly higher, averaging 0.20 percent.

Those rates are just average rates but you can find rates much higher than the averages. Online banks are offering interest rates much higher than traditional brick and mortar banks.  For example, one of the largest traditional brick and mortar banks, Bank of America, is offering current savings rates at a measly 0.01 percent. An online bank, Synchrony Bank (formerly GE Capital Retail Bank) is offering savings rates at 0.95 percent.

State Street released a report showing investors the world over with a net worth of $250,000 to $1,000,000 are hoarding cash in greater numbers. Cash allocations have increased over the past two years with the global average increasing to 40 percent in 2014, up from 31 percent in 2012.  In the United States, the percentage has increased to 36 percent in 2014, up from 26 percent in 2012.

If you are holding more cash and placing those funds in deposit accounts, the good news is deposit rates will be moving higher in the coming years. Exactly when interest rates move higher and how high rates go depends on what the Federal Reserve does. The lower the unemployment rate falls and the higher the annual inflation rate is will determine how high the Fed increases the fed funds rate.

Since banks tie their deposit rates to the fed funds rate, when the fed funds rate moves higher, so do bank rates. The best case scenario for deposit rates over the next few years will be savings rates and money market rates in the 3 percent to 4 percent range. The highest rates for 1 year certificates of deposit will probably be just above 4.00 percent.

 
Author: Brian McKay
July 2nd, 2014

This week’s top interest rate on deposit accounts is EverBank’s 1.01 percent APY on the bank’s Yield Pledge money market account. The bonus rate on this account even higher at 1.40 percent but this rate is only available for the first 6 months (on account balances up to $50,000), making the overall first year’s APY 1.01 percent.

The best interest rate on savings accounts this week remains at 0.95 percent from Synchrony Bank (Optimizer +Plus Account) and CIT Bank. This week’s average savings rate/money market rate also remains at 0.49 percent. Below are lists of the best money market rates and savings rates this week.

Best Money Market Rates

  • EverBank 1.01% APY
  • Sallie Mae 0.90% APY
  • iGoBanking.com 0.90% APY
  • Ally Bank 0.85% APY
  • Synchrony Bank 0.85% APY
  • Mutual of Omaha Bank 0.85% APY
  • Union Federal Savings Bank 0.85% APY
  • First Internet Bank of Indiana 0.80% APY
  • ableBanking, a division of Northeast Bank 0.80% APY
  • Bank of Internet USA 0.75% APY
  • Discover Bank 0.70% APY
  • EH National Bank 0.70% APY
  • VirtualBank 0.65% APY
  • TIAA Direct 0.60% APY
  • Alostar Bank of Commerce 0.60% APY

Best Savings Rates

  • Synchrony Bank Optimizer +Plus 0.95% APY
  • CIT Bank 0.95% APY
  • GE Capital Bank 0.90% APY
  • Barclays Bank 0.90% APY
  • The Palladian PrivateBank 0.90% APY
  • Ally Bank 0.87% APY
  • Colorado Federal Savings Bank 0.85% APY
  • FNBO Direct 0.85% APY
  • Discover Bank 0.85% APY
  • American Express Bank 0.80% APY
  • Bank of Internet USA 0.61% APY
  • TIAA Direct 0.60% APY
  • First Internet Bank of Indiana 0.60% APY
 
Author: Brian McKay
June 27th, 2014

The U.S. Department of Commerce’s Bureau of Economic Analysis released a report showing the personal savings rate has fallen to 4.00 percent. Not to be confused with savings account rates offered by financial institutions, the personal savings rate is the rate in which Americans save money.

Looking at the chart of the personal savings rate below, the rate held steady in the 1960s and 1970s but has been trending lower since the 1980s. Over the past 50 years, the highest the personal savings rate was at 13.9 percent back in April of 1975, just after a severe recession. The lowest point ever was when the rate fell to 2.0 percent back in July of 2005.

Personal Savings Rate at 4 Percent

 

The biggest factor driving the rate higher has usually been a recession but the personal savings rate has also increased when savings account rates moved higher. The recent post recession uptick happened right after the financial crisis and Great Recession. In August 2007, the personal savings rate was 2.7 percent but when the recession hit, the rate jumped to 8.00 percent.

The biggest reason the overall trend in the personal savings rate has fallen since the 1980s is that incomes have been stagnant. The following chart shows back in 1989, the median household made $51,681 (in current dollars). In 2012, the median household income was $51,017. This shows that the average middle class family was making slightly more money 25 years ago than they are today.

Median Household Income

It’s no wonder the savings rate is fallen, the average middle class American family has no money to save. Not to mention, with such dismal savings rates, there is practically no incentive to save. The best savings rates right now are just below 1.00 percent, which is lower than the current rate of inflation. Interest rates will be moving higher in the coming years but higher rates won’t help the average middle class family.

 
Author: Brian McKay
June 4th, 2014

Average savings rates increased to 0.49 percent, up from the previous week’s average rate of 0.47 percent. A few banks increased their rates this past week which is why the average rate is up  0.02 percent. The best savings account rates this week are at 0.95 percent, maintaining last week’s highest rate.

Any large increases won’t come until the Federal Open Market Committee increases their key benchmark interest rate, the federal funds rate. The current fed funds rate is in a targeted range of zero percent to one quarter percent. The fed funds rate has been in this range since December of 2008, when it was dropped to a record low in order to combat the effects of the financial crisis and recession.

The FOMC meets again in a few weeks on June 17th and June 18th but isn’t expected to announce any increase in the fed funds rate. The FOMC is scheduled to release economic projections right after the meeting. It will be interesting to see if May’s economic projections will be difference from March’s. The March projections (central tendency projections, which excluded the three highest and three lowest projections) included 2014 GDP growth in a range of 2.8 percent to 3.00 percent, the unemployment rate to be in a range of 6.1 percent to 6.3 percent, and inflation to be in a range of 1.5 percent to 1.6 percent.

Projections for when the fed funds rate will be increased is all over the map. Though a majority of Fed participants believe the rate will be increased sometime in 2015, projections are for the rate to be anywhere between 0.25 percent and as high as 3.00 percent. Since deposit rates are tied to the fed funds rate, deposit rates will move higher once the fed funds rate is increased.

We will have to wait until sometime in 2015 to see a majority of banks and credit unions increase savings rates, money market rates, and CD rates. Before then, we will see some banks increase rates but the increases won’t be substantial. The past couple of weeks two banks, GE Capital Retail Bank and EverBank, increased some of their CD rates but their variable interest rates remained the same.

Savings Rates May 27 2014

Best Savings Rates May 27, 2014

  • GE Capital Retail Bank Optimizer Plus Rate 0.95%
  • CIT Bank Rate 0.95%
  • GE Capital Bank Rate 0.90%
  • Barclays Bank Rate 0.90%
  • The Palladian Private Bank Rate 0.90%
  • Ally Bank Rate 0.87%

Best Money Market Account Rates May 27, 2014

  • Sallie Mae Rate 0.90%
  • Ever Bank Rate 0.86%
  • GE Capital Retail Bank Optimizer Plus Rate 0.85%
  • Mutual of Omaha Bank Rate 0.85%
  • Union Federal Savings Bank Rate 0.85%
  • Ally Bank Rate 0.85%
 
Author: Brian McKay
May 27th, 2014