The 9 best high-yield savings accounts

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You work hard for your money, so why not make it work hard for you? When you put your money in a savings account, you not only keep it safe, you help it grow faster.

But to really give your cash a boost, you can stash your savings in a high-yield savings account. These accounts work like traditional accounts but offer much higher interest rates.

Here are some of the best high-yield savings accounts on the market.

What are the best high-yield savings accounts? 

The best high-yield savings accounts offer competitive interest rates up to 5.07% APY, have no monthly fees, and require low or no minimum initial deposits. Top picks include accounts from Marcus, SoFi, Ally, and Upgrade. 

• Marcus by Goldman Sachs: Best for same-day transfers
• SoFi: Best for automatic savings
• Ally Bank: Best for daily compounding interest
• Varo: Best for new savers
• Citizens: Best for no fees
• CIT Bank: Best for customer experience
• Upgrade: Best for high interest rates
• Synchrony: Best for no balance or deposit requirements
• Barclays: Best for online account management

Marcus by Goldman Sachs: Best for same-day transfers

Marcus' high-yield savings account offers a competitive interest rate, no fees and no minimum deposits.

One of the standout features of this account is the ability to make same-day transfers. Marcus will process up to $100,000 in transfers made before noon by 5 p.m. ET the same day. You'll start earning interest on your funds on the day the transfer request is made.

The ability to quickly transfer money between accounts is useful when you need immediate access to your funds, such as for emergencies. You can manage your account anytime, anywhere, through the Marcus mobile app or website.

SoFi: Best for automatic savings

SoFi’s high-yield online savings account offers a range of features that make it the best option for automatic savings.

You can set up AutoSave and automatically put part of your paycheck into savings. You can also set savings goals and track progress using SoFi’s Vaults feature.

This account also offers a Roundups feature that rounds up all debit card purchases to the next dollar and adds it to your savings account. You’ll also get a cash bonus when you set up direct deposit.

All SoFi savings accounts come with a fee-free checking account, which earns 0.5% interest. SoFi offers many other financial products, including loans, student loan refinancing, credit cards, and insurance. This can be convenient if you want to manage many areas of your financial life in one place.

Ally Bank: Best for daily compounding interest

The faster your bank compounds your interest earnings, the more you stand to earn. With Ally Bank, your interest will compound daily, earning more than banks that compound monthly (or annually).

This account comes with lots of added features to help you save more. You can organize your savings goals and track progress while earning interest on the entire balance. You can also set up recurring transfers and round up your spending account transactions, depositing the difference into your savings.

Ally also has a surprise savings feature, which reviews your linked checking accounts for extra funds to transfer to your savings automatically. Like other online banks, this account won’t have any monthly fees or minimum balance requirements.

Varo: Best for new savers

Varo offers an impressive 5% APY, higher than many other online banks on this list. The catch? You only earn that 5% on up to $5,000 and then a 3% APY afterward.

With no account fees or initial deposit requirements, this account is an excellent fit for those trying to jumpstart their savings. But if you already have more than $5,000 in savings, consider an account that offers a higher all-around rate.

Like other savings accounts, Varo’s high-yield account has features like round-ups and automatic transfers.

Citizens: Best for no fees

While other banks on this list offer accounts with no fees, many of them don’t come with interest as high as Citizens Bank. You can earn up to 4.5% APY on your savings with no minimum deposit.

Plus, with this account, you won't have to worry about monthly maintenance fees eating into your savings. There are no fees to open or maintain your savings account with Citizens, making it easy to keep your savings growing.

CIT Bank: Best for customer experience

If working with a newer online bank makes you nervous, you’ll appreciate that CIT Bank has more than 125 years of experience in the financial industry.

CIT ranked first out of 50 financial institutions for the most humanized customer experience, according to a recent consumer survey. This recognition was based on CIT’s personalized services, digital tools, and comprehensive guidance.

With their Savings Connect account, you can earn a competitive interest rate that compounds daily. The account also includes features like remote check deposits and easy mobile transfers.

While there’s a minimum deposit needed to open an account, you won’t face any account opening or maintenance fees.

Upgrade: Best for high interest rates

One of the primary reasons to choose this account is its high interest rates. While all the accounts on this list pay competitive APYs, the Upgrade savings account takes the crown. You can earn an impressive 5.21% APY.

There is a catch: While there’s no minimum to open an account, you must maintain a balance of at least $1,000 to earn interest. If your balance falls below that, you won’t earn any interest.

It’s easy to manage your money on the go — you can view your balance, make transfers, and set up alerts on the mobile app.

Synchrony: Best for no balance or deposit requirements

It can be harder to save if your bank requires you to deposit an initial amount or maintain a monthly balance. With Synchrony, you don’t have to worry about either, making it easier to take your savings to the next level.

This account has no minimum initial deposit or balance requirements, and there are no monthly fees. Plus, you’ll earn 4.75% APY on your savings. You can easily manage your funds via the Synchrony Bank app and access your money using your ATM card.

Barclays: Best for online account management

If you want to manage your savings online, you can do so with Barclays. You'll get secure digital access to your funds via your phone or computer, ensuring you have complete control over your finances at any time.

Like other high-yield accounts, you’ll earn a competitive interest rate and won’t face any minimum balance requirements or fees.

With this account, you can quickly move money to and from other banks, streamlining the process of managing your savings. Barclays also offers helpful tools designed to assist you in your saving journey.

What is a high-yield savings account?

A high-yield savings account offers higher interest rates compared to traditional savings accounts. These accounts help you grow your savings while keeping your money accessible.

The average savings account interest rate is 0.61% as of Dec. 4, 2023. But with a high-yield savings account, you can sometimes earn over 5%. That’s more than eight times the average rate.

It’s easy to see how much higher interest rates can lead to increased earnings.

High-yield accounts often offer features such as higher interest rates, low or no fees, and FDIC insurance. With these accounts, you can earn interest on your money without taking on too much risk.

“For short-term financial goals, such as a vacation, wedding, or a down payment on a house, or as a place to park your emergency funds, a high-yield savings account can be a smart choice,” Ohan Kayikchyan, certified financial planner at Ohan The Money Doctor, says.

By taking advantage of the higher interest rates, you can make your money work harder for you and achieve your financial goals faster.

Traditional savings account vs. high-yield savings account

The key difference between traditional accounts and high-yield accounts is how much interest you'll earn.

It’s common to find high-yield savings accounts at online banks. Most online banks don’t have the overhead costs of running physical branches. Because of that, they can pass those savings on to customers in the form of lower fees and higher rates. You may also find a high-yield savings account at some credit unions.

The best high-yield savings accounts don’t have monthly fees or minimum balance requirements, but some may.

“It's important to check whether there are balance requirements to waive the monthly maintenance fees on high-yield savings accounts,” Kayikchyan says. “In some cases, maintaining a specified balance is a condition for receiving the advertised APY.”

Pros and cons of a high-yield savings account

Consider the advantages and disadvantages of high-yield savings accounts before opening an account.

The bottom line

Most savers have nothing to lose by opening a high-yield savings account. In fact, you have a lot to gain by giving your money more opportunity to grow.

Opening a high-yield savings account can help you reach your financial goals faster with no extra effort on your end. Just make sure to do your research and find the right account that fits your needs.

Editorial disclaimer: Opinions expressed are author's alone, not those of any bank, credit card issuer, or other entity. This content has not been reviewed, approved, or otherwise endorsed by any of the entities included in the post.