A recent Bankrate survey shows that less than half of Americans have enough savings to cover just a$1,000 expense. It is a concerning statistic that shows that not enough people are taking their savings seriously -- a problem that will grow that much larger in the event of an emergency.
But where does one start? That is where we come in. We regularly survey the leading banks in the US to find the best savings account for you and your family.
This is what we found.
Features and fees
Ally's High Yield Savings is our pick for the best savings account because it has few fees matched with a good APY. You will pay none of the usual fees that banks charge, waiving the cost for such things as ACH transfers, excessive transactions, and incoming wires. There also is no monthly fee. Ally is a company that proudly boasts its ability to help consumers save twice as much when using the digital savings tool available. It offers buckets that you can use to create, prioritize, and complete tasks, while boosters are used to increase the funds in your savings account. You can easily add funds to your accounts through recurring transfers that happen each month automatically, taking one more thing off your plate. If you want to build your savings faster, you have the option of a recurring transfer that will round each purchase to the next dollar.
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Features and fees
The Axos High Yield Savings Account is a high yield account that boasts one of the highest APYs on our list, topping even the highest APR by one percent. In order to qualify, you must have less than$25,000 in your account to receive this rate, because after that, the rate begins to decrease as the balance grows bigger. Other than that, there are few fees. Axos skips the monthly maintenance fee commonly seen with other banks. You are not required to maintain a certain balance in your account, but you face a$250 fee when you first open the account. It is used to jumpstart your account balance before the monthly minimums are waived. To give you better access to your funds, you can request a free ATM card and then manage both your transactions and savings via the online banking dashboard. Your information is kept secure with biometric identification and advanced safety protocols. Plus, there are also digital money management tools to help you manage your finances, plus automated support available 24/7.
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Features and fees
The American Express? Savings account has a higher rate than many banks, and its customer service is well known for its 24/7 service and high customer service standards. Like Ally Bank, there are few fees here with the High Yield Savings Account. Amex does not charge monthly fees, nor does it require an account minimum, so you can save even more. Best of all, it is backed by the power of American Express with the added security of FDIC insurance for your funds. It is important to note that you need to keep some sort of funds in your account because American Express will automatically close your account after 180 days of inactivity. There are also no ATM cards for this account, restricting your access somewhat, but there are both digital and paper statements that you can use to track your account.
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Features and fees
The Capital One Business Advantage Savings Account delivers an extra bonus with its promotional interest rate of 0.20% that is guaranteed for your first year of having the account. If you maintain a minimum balance of$300 each month, the bank will waive its monthly maintenance fee. There are extra perks from Capital One, too. Account holders also have the option to use Capital One ATMs for free, although there is a$2 charge when you use other ATMs not associated with Capital One. If you have a Capital One checking account, you can link your savings account to provide overdraft protection. Its APY is lower because it is a business account, and you will need$250 at minimum to open your account. Once you open your account, you will have access to account details, as well as exclusive online tools to help you manage your finances.
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Features and fees
The Discover Online Savings Account claims you can earn in interest over five times the national savings average. It could be because with Discover, fees are few and far between. There are no monthly fees, and you do not have to come up with cash to open the account. You also are not required to keep a minimum balance in your account each month, giving you much greater freedom. However, you have the option to transfer funds from both Discover and other accounts. There is also the option of automatic transfers, which can be set up to run each month based on your instruction. With Discover, you receive 24/7 customer service that is US based for quick help and easy communication.
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Although not a purely online savings account, the newly formed SoFi Checking & Savings bank account gets an honorable mention, mainly for its high 1.50% APY for members with direct deposit (0.90% without direct deposit) and its zero-account fees -no overdraft, no minimum balance and no monthly fees. Members can get up to 15% cash back at their local establishments when they pay with a SoFi debit card. Account holders also have access to Vaults and Roundups in which they can organize their money, set savings goals and save their change. SoFi members who set up a direct deposit account can receive a cash bonus between$50 and$300 after 30 days from the first qualifying direct deposit is received. The cash bonus is based on the size of the direct deposit amount ($300 for a direct deposit of at least$5,000). What's more, members with direct deposit can get access to their payments two days earlier with 2-Day Early Paycheck.
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Based on our extensive study, the best savings account is the Ally High Yield Savings Account. However, it is important to consider what features and factors are most important to you, so you can find the right match for your banking needs.
Savings account | APY | Recommended Credit | FDIC insured | Minimum opening balance | Monthly maintenance fee |
Ally Online Savings Account | 1.15% | Fair, Good, Excellent | $0 | $0 | |
American Express? Savings | 1.00% | Not disclosed | $0 | $0 | |
Axos High Yield Savings Account | 0.61% | Good, Excellent | $250 | $0 | |
Capital One Business Advantage Savings Account | 0.20% | Fair, Good, Excellent | $250 | $3 | |
Discover Online Savings Account | 1.10% | Good, Excellent | $0 | $0 |
It can be overwhelming trying to decipher each bank account, so we offer this chart based on our expert recommendations.
Choose this savings account... | If you... |
Ally High Yield Savings | Want the full package |
American Express National Bank Member FDIC | Value support from your bank |
Axos High Yield Savings Account | Want a free ATM card |
Capital One Business Advantage Savings Account | Want your business to build its savings |
Discover | Prioritize excellent mobile support |
It seems like every bank has a savings account today, so it begs the question: how is one to find the very best savings account?
These are some of the factors we considered to find the best online savings account:
Before you choose the best savings account for you, check out the details of each bank to ensure that everything works for you and meets your needs.
There are three popular types of savings accounts: money markets, certificates of deposit (CD), and traditional savings accounts, such as the ones illustrated here. Money market accounts add check writing abilities, while CDs hold your money for a specific term, earning interest the whole time. A traditional savings account tends to be the more popular banking option for consumers, but it is always a good idea to explore your options.
A checking account keeps funds readily available for use, while a savings account is designed to tuck those funds away so they can earn interest over time - something checking accounts do not typically offer.
To help with your search, these are some other types of savings accounts that almost made our list and may be worth your consideration.
While you round up your search, consider our top picks for the best cash management accounts and the best free business checking accounts for that budding business!