Add more to your savings with over 4% APY. Today’s savings rates for January 15, 2025

15
Jan 25
By | Other

  • The average APY for the best high-yield savings accounts is 4.17%.
  • HYSA’s APY fell from 4.30% to 4.10% in one day.
  • Despite the downturn, there’s still time to earn interest with the best high-yield savings accounts.

This week, you can find the best high-yield savings accounts earning 4% APY, with some boasting annual percentage yields, or APY, close to 5%. But not much.

Over the past few months, we’ve seen banks quietly lower savings rates on these accounts as the Federal Reserve lowered the federal funds rate. Since banks tend to move in the same direction as the Fed, experts are not surprised that rates are falling.

BMO Alto lowered its savings APY from 4.30% to 4.10% this week. Other banks have also cut rates this month, but experts still recommend keeping money in high-yield savings accounts because of their flexibility.

If you want to maximize the returns on your savings, it’s best to open a HYSA account soon before rates drop further.

Best savings rates today

Bank APY* Min. deposit to open
Hang on 5.00%** $0
Newtek Bank 4.70% $0
Lending Club 4.50% $0
Basque Bank 4.50% $0
EverBank 4.40% $0
Laurel Street 4.15% $0
Synchronous banking 4.10% $0
American Express 3.80% $0
Capital One 3.80% $0

Experts recommend comparing rates before opening a savings account to get the best possible APY. Enter your information below to get the best CNET partner rate for your area.

How much the best savings rates have fallen over the past week

Last week’s average CNET savings APY* This week’s CNET savings average APY Weekly change
4.20% 4.18% -0.48%

Should you keep your money in a high-yield savings account?

The rates aren’t as high as the 5% APYs we saw from some banks last year. Rates are moving below 4.50% APY and experts predict that the decline will continue.

“People can be hesitant about whether it’s worth opening a HYSA with the lower fees we’re currently seeing,” said Danielle Flores, a member of CNET’s Money Expert Review Board and founder of I Like to Dabble. “It’s always worth it to earn a little more from your already saved money.”

Savings rates are variable and will continue to fluctuate, but the interest earned adds up over the long term, Flores noted. Plus, the fees on HYSAs will still be higher than most traditional savings accounts, so you’ll earn more interest on your money.

For example, let’s say you make a one-time deposit of $500 into a HYSA with a 4.2% APY. Assuming the rate stays the same for the next 12 months, you’ll earn $21.60 in interest. If you keep your money in a traditional savings account that offers 0.42% on the same deposit, you’ll earn $3.60 over the same time period.

How to choose a high yield savings account

Here are some things to look for when opening a HYSA.

  • Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, usually between $25 and $100. Others ask for 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 refunds or a wide range of in-network ATMs, said Lanesha Mohip, founder of CFO Polished and another board member. of CNET Expert Review.
  • Fees: Watch out for monthly maintenance fees, withdrawals and paper statements, Mohip said. Fees can eat into your balance.
  • Accessibility: If you prefer personal assistance, look for a bank with physical branches. If you’re comfortable managing your money digitally, consider an online bank.
  • Withdrawal Limits: Some banks charge an excess withdrawal fee if you make more than six monthly withdrawals. If you may need to do more, consider a bank without this limit.
  • Federal Deposit Insurance: Make sure your bank or credit union is insured with the Federal Deposit Insurance Corporation or the National Credit Union Administration, respectively. This way, your money is protected up to $250,000 per account holder, per category, if the bank fails.
  • 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 a feel for working with the bank.

METHODOLOGY

CNET reviewed savings accounts at more than 50 traditional and online banks, credit unions and financial institutions serving 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 to provide any of the following benefits:

  • Account bonuses
  • Automated savings features
  • Wealth management consulting/coaching services
  • Cash deposits
  • Extensive ATM networks and/or ATM discounts for use outside the ATM network

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.

*APY as of January 14, 2025, based on banks we track at CNET. Weekly percentage increase/decrease from January 6, 2025 to January 13, 2025.

**Varo offers 5% APY only on balances of less than $5,000.

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