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The Best Savings Accounts of 2023
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Whether you’re saving for a particular goal or building up an emergency fund, putting your money in a savings account can keep your funds accessible and secure, while also growing through accrued interest. But with so many options available, it can be hard to know where to put your money.
To determine the best available savings accounts, FinanceMaster.org ranked nearly 50 bank accounts based on a number of factors, including:
- Total assets
- Number of branch locations
- Minimum deposit to open an account
- Monthly saving fee ratio
- Minimum balance needed to earn APY
- Savings APY
- Mobile app ratings
FinanceMaster.org’ Best Savings Accounts of 2023
Best for high rates
Why we like Capital One 360 Performance Savings
Capital One’s 360 Performance Savings is a winner for its competitive interest rate, no monthly fees and no minimum deposit requirements. It also sports a network of over 70,000 surcharge-free ATMs and access to Capital One Cafés and branches.
There are no tiers required to meet. The account has a high yield of APY — and all balances can earn the APY.
- No monthly service fees
- No minimum balances
- Higher-than-average interest rates
- Debit card not available
This account impresses with its high APY and no fees or minimum balance requirements, but making withdrawals is tricky. A debit card is not available for this account, restricting ATM withdrawals.
Best for network of ATMs
Why we like Bank of America Advantage Savings
The popularity of Bank of America, Member FDIC, helps to vouch for this account, but also upping the likability of this account is the fact that it is so kid-friendly — with the monthly $8 fee being waived for users under the age of 18. This is also presumably a good account for existing Bank of America customers with a good history with the bank, as the annual percentage yield varies depending on one’s relationship with the institution.
The $8 monthly fee is waived for account holders under 18 years old, making it ideal for kids.
- Highly rated mobile app
- Wide network of branches and ATMs
- Waivable fee
- $8 monthly fee — can possibly be waived
- Required opening balance for the Advantage Savings account is $100
This is a great account for kids because they don’t have to worry about the $8 monthly maintenance fee. It’s also great for users who value a stellar mobile experience and wide ATM access. It’s less desirable for consumers short on cash, as you need $100 to open an account.
Best for no fees
Why we like BMO Bank Savings Builder
This account dazzles with its competitive rates and its large ATM network. Also, a perk is the fact that it has no maintenance fees. The account has an automated saving feature that allows you to set up recurring transfers from a BMO checking account and the mobile app is a customer favorite.
You’ll receive a $5 reward each month you save at least $200 for the first year, giving you a little extra incentive to reach your goals.
- Large ATM network
- Competitive rates
- No maintenance fees
- High overdraft fees
- Limited U.S. branches
BMO Bank is a great choice for customers who want a straightforward approach to banking. The large ATM network and competitive savings rates are big perks. The only caveats are the too few U.S branches and the high overdraft fees.
Best for mobile app
Why we like Chase Bank Savings
This is a pretty straightforward savings account. Though it does have a $5 monthly service fee, this is on the low end and it can be waived in a number of ways.
The account earns interest across all balance tiers and has a $5 monthly service fee, waivable with one of the following: a $300 daily balance, $25 or more in total autosave or other automatic transfers from your personal Chase checking account, a linked Chase College Checking account, or an account owner who is under age 18.
- User-friendly mobile app
- Can be used for overdraft protection
- Low APY
- Monthly service fee
This is a perfectly fine savings account that has easy-to-waive fees. But the low APY is a downside if you’re looking to make the most of your money.
Best for no monthly fees
Why we like First Citizens Bank Online Savings
Though you need $50 to open this account, you don’t need to keep a minimum balance in the account to keep it open. Additionally, there is no monthly service charge, so your savings balance will increase faster.
Earn APY on your balance, compounded daily and credited monthly.
- No minimum balance requirements
- No monthly service fees
- Eligible for overdraft protection
- Fairly low APY
- A minimum opening deposit of $50
- Though your two transfers or withdrawals per month are free, a $3 charge per transaction applies after
This is a pretty decent savings account that stands out because of its lack of fees and no minimum balance requirements. But its middling APY fails to impress.
Best for savings rates
Why we like First Republic Bank Passbook Savings
If you live in an area that First Republic Bank serves, it’s worth considering the bank best known for serving high net worth customers, as it also offers generous rates on savings accounts. It also touts ATM rebates and competitive APYs. First Republic Bank was recently sold to JPMorgan Chase in the wake of the bank’s recent collapse.
First Republic Bank Passbook Savings account has no monthly fees, and its rates are extremely competitive for a brick-and-mortar bank, ranging from for balances below $25,000 to for balances of $1 million and up.
- Interest-bearing checking options available outside of this account
- ATM rebates available
- Competitive APY
- Limited branches in select markets
- Balances of $1 million or more are needed to get the highest APY on some accounts
First Republic Bank Passbook Savings account is a good fit if you live in one of the bank’s service areas, maintain a larger-than-average bank balance and value personalized attention and wealth management guidance. But you do need a $25,000 balance to take advantage of higher yields. So, this bank is probably a better choice for the better off.
Best for mobile app
Why we like Frost Bank Savings
To waive the $3.50 monthly fee just deposit at least $10 per month, have at least one account owner under the age of 25 or maintain a minimum daily balance of at least $300. Account balances earn a competitive annual percentage yield.
Account balances earn a competitive APY with the Frost Bank Savings account.
- Highly rated mobile app
- Two free withdrawals per month
- Lack of service for those outside of the metro areas in Texas that it serves
- Must visit branch to open some accounts
While physical locations are limited to Texas, Frost Bank is large enough to compete on service and small enough to offer a personal touch.
Best for no minimum deposit
Why we like PNC Bank Standard Savings
PNC Bank has a solid traditional banking model as well as a great digital presence. The Standard Savings account offers APYs that are generally strong but do vary based on location.
The PNC Bank Standard Savings account has a $5 monthly service charge, but there are ways to waive this fee.
- High APY
- No minimum deposit
- No minimum balance if under 18 years old
- Minimum to earn interest is only $1
- Limited branch locations
There is a $0 monthly services charge if you meet any of the following requirements: Are under 18 years old, average a $300 monthly minimum balance, account is linked to a PNC checking account or have a monthly Auto Savings transfer set up.
Best for low minimum deposit
Why we like U.S. Bank Standard Savings
U.S. Bank Standard Savings account has a low bar to entry, allowing users to open an account with a deposit of just $25. Plus, the $4 monthly service fee can be waived with a $300 minimum daily ledger balance or a $1,000 average monthly collected balance.
The $4 monthly fee does not apply to account holders under the age of 18, making it great for kids.
- Low minimum deposit of $25
- Can waive monthly $4 service fee with a $300 minimum daily ledger balance or a $1,000 average monthly collected balance
- Fee does not apply to account holders under the age of 18
- Low APY at
To be able to open a savings account with just $25 is a pretty good deal, and it’s great that you can waive the $4 monthly fee with a $300 minimum daily ledger balance or a $1,000 average monthly collected balance — and that the monthly fee doesn’t apply to account holders under the age of 18. But an APY of on a savings account is low.
Best for number of locations
Why we like Wells Fargo Bank Way2Save Savings
Wells Fargo’s Way2Save Savings account has a low minimum opening deposit of just $25 and you can set up automatic deposits from a linked checking account to watch your funds grow. Plus you’ll earn APY. There’s a service fee of $5 per month, but you have the option to have your service fees waived in a few ways, such as keeping a balance of $300 or receiving automatic monthly transfers of at least $25.
With 4,700 branches, this is the bank with the most locations in the U.S.
- Easy and accessible mobile and online banking
- Approximately 4,700 retail banking branches and more than 12,000 ATMs nationwide
- Rewards and bonus interest rates for high-balance accounts
- Low APY rates compared to online banks
- Monthly service fees
Wells Fargo is an upstanding institution with tons of great products and easy and accessible mobile and online banking. Plus, they’re absolutely brimming with branches and ATMs. This account holds up with rewards and bonus interest rates for high-balance accounts but it has really low APY rates compared to online banks along with monthly service fees that you may not be able to waive.
What To Know About Savings Accounts
A savings account is a type of bank account that securely holds money that you will need at a later time, such as for an emergency or for a down payment on a home. Unlike a checking account, which is designed for frequent withdrawals and direct purchases, the main purpose of a savings account is to draw interest and is meant for limited withdrawal activities.
How Do Savings Accounts Work?
A savings account works by growing your deposit over time with interest earned. When you fund a savings account, the bank or financial institution lends your money to other people and charges them interest. In return, the financial institution pays you interest.
Even if that borrower defaults on the loan, or in the unlikely event the bank fails, your money is protected. Savings accounts in the United States are insured up to $250,000 by the Federal Deposit Insurance Corporation or National Credit Union Association.
That protection provides safety over your money. That is one of the biggest advantages of choosing a savings account. Your money is allowed to grow steadily over time in a savings account. Especially considering that the national average APY of savings accounts, according to the FDIC, is around 0.06%, and many of the banks in this year’s list offer APYs that are higher.
Savings accounts aren’t as liquid as checking accounts, meaning that you aren’t able to access the money as frequently as with a checking account. Some banks only allow up to six withdrawals from your savings account each statement period, for example. In another comparison, CD accounts also offer high APYs, though the tradeoff is that these have specific term lengths. You wouldn’t be able to access the money without paying an early withdrawal penalty fee.
Who Should Get a Savings Account?
Savings accounts are best for those who want to store money for future needs and financial goals safely. These funds are typically something you don’t need immediately and can leave untouched so they can accrue interest.
You might consider getting a savings account for the following reasons:
- You have always had trouble saving money.
- You’re saving for college.
- You’re saving for retirement.
- You’re saving for something you’ve had your eye on for a while.
- You’re saving for a big purchase, such as a wedding or travel.
How Much Money Should I Keep In My Savings Account?
It is best to put any money you need for day-to-day expenses in a savings account rather than a checking account so you can earn interest. A good rule to follow for the amount of money to keep in your savings account is you should have enough money to cover three to six months of expenses. Not only will you be saving money and earning interest but this also works as an emergency fund.
What Fees are Associated With a Savings Account?
The average monthly maintenance fee on a savings account is around $5 per month. You might also e charged fees as much as $35 or more for insufficient funds. The bottom line is that most savings accounts will charge something if certain requirements aren’t met, such as not having the minimum balance or getting an overdraft on the account.
Fees incurred with a standard savings account will vary depending on the bank and type of account. However here are common savings accounts fees you should consider:
- Monthly maintenance or service fee
- Excessive withdrawal fee
- Paper statement fee
- Inactivity fee
- Wire transfer fee
- Out-of-network ATM fees
Is My Money Safe in a Savings Account?
In short, yes, your money is safe in a savings account. Most major banks are FDIC-insured which means your money is insured for the full amount, typically up to $250,000. Not only is your money safe, but also it can earn interest with put into a savings account.
Savings Account Terms to Know
Here are common savings account terms to know:
- ACH transfer: Small and frequent payments or deposits, such as direct deposits, are considered ACH transfers.
- Wire transfer: Moving money from one account to another bank account to be able to access it within the same business day.
- Annual percentage yield (APY): This is the amount of interest your savings account earns in a year.
- Mobile deposit: Instead of banking in person or at an ATM, you can use your bank’s mobile app and the camera on your phone to deposit checks right into your savings account.
Pros and Cons of Savings Accounts
- Earns interest: The main advantage of a savings account is the ability to tuck your savings away and earn interest on your funds.
- Security: Savings accounts can offer FDIC insurance, which means your funds are protected for up to $250,000. Even if the bank closes, your funds are insured.
- Accessibility: Unlike many investment accounts, you can access your funds held in a savings account at any time. If you run into a cash flow issue or unexpected expense, you can access the money you need immediately.
- Fluctuating interest rates: Savings account interest rates fluctuate based on market conditions.
- Rates may not keep up with inflation: Inflation can pose a real threat to the value of your savings account. If the inflation rate is higher than the interest rate earned by your account, your funds are losing value over time.
- Withdrawal limits: Although you can access your funds at any time, there are federal limits to how many withdrawals you can make. You cannot withdraw cash from your account more than six times each month. If you do, you might have to pay a fee.
Different Types of Savings Accounts
The best type of savings account for you depends on your specific needs and priorities. In addition to traditional deposit accounts, you may also be interested in one of these types of savings accounts.
High-yield savings accounts: A high-yield savings account pays a higher interest rate than a basic savings account. Many online-only banks offer high-yield accounts.
Money market accounts: These accounts are a hybrid of savings and checking accounts. You can withdraw your funds by check or by electronic or telephone transactions, and some also offer a debit card. Money market accounts typically offer lower interest rates than traditional savings accounts.
Cash management accounts: Cash management accounts are nonbank deposit accounts. The features of these accounts will vary, but many act as a hybrid checking and savings account.
Health savings accounts: If you are enrolled in an eligible high-deductible health plan, you may have the option to open a health savings account. An HSA allows you to contribute a specific amount per year to your account. You can use these funds to pay for qualified medical expenses with pretax dollars.
How To Choose a Savings Account
A savings account is usually a simple parking place for money that’s being accumulated toward a goal, such as an emergency fund or a vacation. As such, savings accounts don’t necessarily need all of the bells and whistles that other accounts might offer. What you should really look for in a savings account is security, a high yield, no fees and easy access to your funds.
Since most savings accounts have the same FDIC insurance and many charge no fees, the deciding factor might come down to two simple acronyms: APY and ATM. You’ll want an account with a high APY, and you’ll also want an account that doesn’t charge fees to access your funds at an ATM. It’s up to you to decide which of these is a priority, but they are not mutually exclusive. Many of the accounts on this list offer both high yields and no ATM fees, so your search might be shorter than you think.
How Can You Open a Savings Account?
Opening a savings account is typically pretty easy once you’ve decided on the account you want, though every bank will differ on what they need to get started. Depending on the institution, you may be able to apply online, in person, by phone or by mail.
In general, to open an account you will need:
- Government-issued identification, such as a driver’s license or passport
- Social Security number
- Date of birth
- Your address, phone number and email address
- To ensure there are no credit freezes that may prevent you from opening an account
Some banks and credit unions will require a minimum deposit to open your account, but others do not. For example, Bank of America has minimum deposits ranging from $25 to $100. Wells Fargo is around $25. Chase doesn’t require an opening minimum deposit, though you should aim to have at least $300 in the account or $25 per month in automatic transactions to avoid any fees.
Savings Account Alternatives
When it comes to figuring out your unique financial plan, knowing how varying types of bank accounts compare can be helpful. Here is how savings accounts stack up next to other common bank accounts.
Savings Accounts vs. Money Market Accounts
A savings account won’t fluctuate as much as a money market account as it is used more for storage whereas a money market account allows you to write checks from it. A money market fund, as an investment account, can yield higher returns, but they are not necessarily FDIC-insured like savings accounts are.
Savings Accounts vs. Checking Accounts
A savings account is where you store funds that you don’t need to access often, which helps with the goal of accumulating more and earning interest.
A checking account tends to be your daily transaction account which you can write checks from or link your debit card for digital transactions.
Savings Accounts vs. CDs
The main difference between savings accounts and certificates of deposit, or CDs, is the amount of access you have to the funds in the account. Where standard savings accounts allow you immediate access to your account balance, when you put your money in a CD, you agree to the CD term, which is the period of time your CD will take to mature. Withdrawing funds from a CD before maturity can result in early withdrawal penalties. CDs do tend to earn more interest so these accounts are better for those who can leave their money in the account for an extended time period without touching it.
How Interest Rates Work on Savings Accounts
Most savings accounts earn interest daily but are either paid out monthly or annually. How the interest is compounded and calculated depends on what financial institution your account is in. The general breakdown is if you multiply the principal amount of the account by the interest rate by the period, this will equal the interest you have earned.
How To Find the Best Savings Rates
Many experts have the savings account interest rate forecast for 2023 going up. Though there are no guarantees, the rates were steadily rising toward the end of 2022, and are continuing to climb.
Savings account interest earned, as with most other bank accounts where funds are allowed to be withdrawn without penalty, are taxable. The interest will be taxed within the year it was earned. Savings rates on savings accounts are typically lower as financial institutions profit more when the rate of money they lend out is higher than the rate they pay people who deposit money into savings accounts.
Even the best savings account interest rates are subject to change over time. In fact, they can change without notice and any fluctuation they have is directly correlated to the Fed rate. As the APY of your savings account is an important factor when deciding which bank to go with, be aware the rate you sign up for does not come with a lifetime guarantee. They will typically rise and fall with the Fed rate.
If you are looking to earn high-interest rates in accounts other than savings accounts, you should consider the following options:
- Credit Unions and Online Banks
- High-Yield Checking Accounts
- Higher-Yield Money Market Accounts
- Peer-to-Peer (P2P) Lending Services
Recap of the Best Savings Accounts
- Capital One 360 Performance Savings: Best for High Rates
- Bank of America Advantage Savings: Best for Network of ATMs
- BMO Bank Savings Builder: Best for No Fees
- Chase Bank Savings: Best for Mobile App
- First Citizens Bank: Best for Monthly Fees
- First Republic Bank Passbook Savings: Best for Savings Rates
- Frost Bank Savings: Best for Mobile App
- PNC Bank Standard Saving: Best for No Minimum Deposit
- U.S. Bank Standard Savings: Best for Low Minimum Deposit
- Wells Fargo Bank Way2Save Savings: Best for Number of Locations
Best Banks 2023
Best Checking Accounts of 2023
Best CD Accounts of 2023
Best Banks of 2023
Best Regional Banks of 2023
Best Credit Unions of 2023
Best Online Banks of 2023
Best Online Bank and Neobank Savings Accounts of 2023
Best Neobanks of 2023
Although the basic idea behind a savings account can be simple to understand, there are still many common questions surrounding them, in part because there are so many different kinds. Here are the answers to some of the most frequently asked questions regarding savings accounts.
- What is the best savings account to put money in?
- FinanceMaster.org named Capital One’s 360 Performance Savings Account its Best Savings Account of 2023. This account has no minimum deposit requirement, no monthly fees, a significantly higher APY compared to other accounts in this category and a high average mobile app rating.
- What pays better than a savings account?
- A certificate of deposit account may offer a higher interest rate than a savings account. In addition, other investment vehicles may offer higher returns than you could get from a savings account.
- Who pays the highest interest in savings?
- Among the nearly 50 bank accounts analyzed by FinanceMaster.org, Capital One’s 360 Performance Savings Account offered the highest interest rate — APY.
- Where should I put $50,000 in savings?
- The best place to put $50,000 in savings will depend on your individual circumstances. You might consider putting it into a savings account or CD account, or you may want to put it into an investment vehicle, such as a mutual fund, exchange-traded fund or real estate.
- Where can I put my money to earn the most interest?
- Typically, investing in the market provides greater returns than putting money into a savings account. However, the market is volatile so there is no guarantee.
- Are there any savings accounts that pay 5% interest?
- None of the savings accounts analyzed by FinanceMaster.org for this study pay 5% interest. However, there are other options available; for example, Varo Bank does offer a high-yield online savings account with APY.
- Is savings account interest taxable?
- Yes, interest earned in a savings account is taxable. In fact, the IRS requires you to report any interest you earned when you file for the tax year.
- Are savings accounts FDIC insured?
- Yes, as with most bank accounts in major financial institutions, savings accounts are FDIC insured. This means your money is insured dollar-for-dollar the entire amount, typically up to $250,000.
- Where can I get 7% interest on my money?
- FinanceMaster.org did not include any accounts offering 7% interest in this list. The highest available currently come from the Primary Savings account from Digital Federal Credit Union, offering and and Mango, offering for its savings account.
- Where can I get 10% interest on my money?
- To get a 10% interest return, you might need to consider investing. This might mean stocks, bonds, real estate, etc. that are known to have a high return on investment. You could consider other alternatives as well, such as investing in art. You might have trouble finding even high-yield savings accounts that offer 10% interest at this time, though, only time will tell if that does change.
- Is it good to save $1,000 a month?
- Saving even a small amount every month helps, but saving $1,00 a month puts you a little bit closer to reaching your financial goals, such as saving for retirement, purchasing a home or paying for college, to name a few examples.
To determine the Best Savings Accounts of 2023, FinanceMaster.org looked at the following factors from all banks excluding online, neobanks and credit unions:
- Total assets as sourced from the FDIC
- Number of branch locations as sourced from the FDIC
- Minimum deposit to open an account
- Monthly saving fee ratio (minimum to avoid fees compared to the monthly fee itself)
- Minimum balance needed in account to earn APY
- Savings APY
- Average mobile app rating between the Android and Apple stores
All factors were then scored and combined, with the lowest score being the best. Factors (1) and (2) were weighted 0.5 times, factor (4) was weighed 1.5 times and factor (6) was weighted 3 times.
Banks Monitored by FinanceMaster.org
SoFi, Capital One, NBKC, Bank of America, Chime, Charles Schwab Bank, Axos Bank, Current, First National Bank of Pennsylvania, Citibank, New York Community Bank, First Internet Bank, TIAA, Ally Bank, Truist Bank, Wells Fargo, JPMorgan Chase Bank, Quontic Bank, LendingClub Bank, One Finance, First-Citizens Bank, BMO Bank, FirstBank, Bank 5 Connect, BankUnited, The Huntington National Bank, iGOBanking.com, Arvest Bank, First Interstate Bank, Manufacturers and Traders Trust Company, TD Bank, Zions Bancorporation, USAA Federal Savings Bank, Citizens Bank, Fifth Third Bank, PNC Bank, Pinnacle Bank, KeyBank, IncredibleBank, Simmons Bank, Santander Bank, Southstate Bank, Bank of Hawaii, First National Bank of Omaha, Bank of the West, First Hawaiian Bank, Texas Capital Bank, Salem 5 Direct, Umpqua Bank, Synovus Bank, Fulton Bank, Flagstar Bank, Associated Bank, UMB Bank, Valley National Bank, United Community Bank, Washington Federal Bank, Centennial Bank, Prosperity Bank, Ameris Bank, United Bank, Pacific Premier Bank, BOKF, City National Bank of Florida, Midfirst Bank, Frost Bank, TAB Bank, Eastern Bank, FNBO Direct, Cadence Bank, Webster Bank, Old National Bank, Regions Bank, Wilmington Savings Fund Society, MUFG, Union Bank, Bank OZK, First Horizon Bank, CIBC Bank USA, Glacier Bank, Comerica Bank, East West Bank, First Republic Bank, Columbia State Bank, City National Bank, State Farm Bank, Goldman Sachs Bank USA, Marcus by Goldman Sachs, The Bank of New York Mellon, State Street Bank and Trust Company, Citizens Access, Silicon Valley Bank, U.S. Bank National Association, Morgan Stanley Private Bank, Morgan Stanley Bank, Capital One Bank USA, Charles Schwab Premier Bank, TD Bank USA, BNY Mellon, Bank of America California, HSBC Bank USA, The Northern Trust Company, American Express National Bank, UBS Bank USA, Signature Bank, Discover Bank, VirtualBank, Western Alliance Bank, Bank of China, Raymond James Bank, Deutsche Bank Trust Company Americas, BankDirect Capital, Comenity Bank, EmigrantDirect, My Savings Direct, Amboy Direct, Bask Bank, Synchrony Bank, Pacific Western Bank, Barclays Bank Delaware, Commerce Bank, Salle Mae Bank, Stifel Bank and Trust, Cathay Bank, Customers Bank, Green Dot, VioBank, Hancock Whitney Bank
Caitlyn Moorhead, Dawn Alcott, John Csiszar, Nicole Spector, Will Healy and Daria Uhlig contributed to the reporting for this article.
Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Sept. 11, 2023.
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