7 Best High-Yield Savings Accounts Online with Highest Interest Rates

To help you decide, we've reviewed the top online banks that offer high-yield savings accounts. We evaluated each high-yield savings account on factors such as interest rates, minimum account balance, features, fees, and withdrawal options.

Here are our top picks for the best high-interest savings accounts of 2022.

The 7 Best High-Yield Savings Accounts for 2022

• CIT Bank: Best high-yield savings account overall
• PenFed Credit Union: Best for beginners
• Synchrony: Best for certificates of deposit
• Discover Online Savings: Best for no monthly fees
• Marcus by Goldman Sachs: Best for emergency funds
• American Express National Bank: Best for over 100k
• Live Oak Bank: Best for students

1. CIT Bank: Best for Highest APY Rates

CIT Bank is one of the best online banks for high-yield savings accounts. It's part of First Citizens Bank, the largest family-controlled bank in America. CIT has received numerous awards and accolades and offers some of the best online savings accounts for 2022.

The Basics

CIT Bank offers numerous deposit accounts with competitive annual percentage yields (APYs), including savings accounts, CDs (certificates of deposit), and money market accounts. Plus, its Savings Builder account has no monthly fees. CIT may be online-only, but it provides FDIC insurance and, therefore, peace of mind for consumers.

Additionally, CIT offers the Savings Builder range of high-yield accounts, with APYs ranging from 0.36% to 0.80%. Here's the breakdown of CIT's different account options:

• Savings Connect: 1.90% APY
• Money Market: 1.30% APY
• eChecking: 0.10% to 0.25% APY
• Term CDs: 0.30% to 2.10% APY
• No-Penalty CDs: 2.00%
• Jumbo CDs: 0.40% to 0.50% APY

Minimum Balance Required

The minimum balance requirements at CIT depend on the account. However, the Savings Builder has a $100 minimum opening deposit and requires monthly deposits of $100 or more. To earn the highest APY, you'll need a minimum account balance of $25,000 or monthly deposits of $100 or more. CIT's Term CD accounts have minimum opening deposits of $1,000.

Key Features

The lack of monthly maintenance fees is an excellent feature of CIT Bank's online savings accounts (besides the high interest rates). Plus, even CIT's checking account pays interest! The minimum deposit is also affordable, making it an excellent option for people who are just starting to save money. However, CIT doesn't have a free ATM network, although you can get up to $30 in fee reimbursements. Plus, there's a high minimum deposit on its checking accounts.

Click Here to Learn More About CIT Bank

2. PenFed Credit Union: Good Online Savings Account with Low Minimum Balance

Pentagon Federal Credit Union, or PenFed, is one of the largest federal credit unions in the U.S. It offers many financial products, from high-interest accounts and traditional savings to auto loans and credit cards. It's a consumer credit union with a history of serving the nation's armed forces and military personnel.

The Basics

PenFed has a lot of brick-and-mortar branches and thousands of free ATMs across the nation. Like many credit unions, it doesn't charge monthly maintenance fees, and its mobile app makes it easy to manage your accounts on the go. If you prefer a credit union over a traditional bank, PenFed is a wise choice. You also get early direct deposit, and the premium savings account has a competitive annual percentage yield.

Minimum Balance Required

PenFed offers plenty of different accounts, usually with $5 minimum deposits. Here are three of the best options:

Premium Online Savings

• 1.20% APY
• $5 minimum opening deposit
• Insured by NCUA (National Credit Union Administration)

Money Market Certificate

• 1-year APY: 2.00%
• 3-year APY: 3.20%
• 5-year APY: 3.00%
• $1,000 minimum deposit

Regular Savings Account

• 0.05% APY on all balances
• $5 minimum deposit required

Money Market Savings

• 0.15% APY (on balances above $100,000)
• Free checks
• Easy ATM access

Key Features

The National Credit Union Administration (NCUA) federally insures PenFed Credit Union, providing customers with financial security. To join, simply head online to the PenFed website and add $5 into a savings account.

Plus, PenFed Credit Union doesn't charge overdraft fees. Instead, it will simply decline the transaction. However, pre-authorized debits (recurring monthly subscriptions) will incur a $30 NSF charge if they result in a negative account balance. While PenFed is a decent option for opening a high-yield savings account, many previous customers have left scathing reviews regarding its customer service, which could use some improvements.

Click Here to Learn More About PenFed Credit Union

3. Synchrony: Highly Rated Bank with Competitive Yields and No Monthly Fees

Synchrony offers some of 2022's best high-yield savings accounts and is a reputable financial institution with over 90 years of history. Those nine decades include over $4.2 billion in net earnings and $166 billion in sales. Plus, Synchrony's 72.4 million customer accounts lend credence to its status as one of the most well-respected banks in the nation, as do its other financial services, like consumer credit cards for QVC and Fingerhut.

The Basics

Synchrony provides competitive rates in today's oversaturated marketplace and offers straightforward high-yield savings accounts and CDs with no monthly fees. It may not have any physical branches, but it provides excellent customer service, including live chat, Twitter, or toll-free over the phone.

Minimum Balance Required

Synchrony Bank offers a high-yield savings account with an APY of 0.85%. You don't need a minimum balance to earn the APY, and there are no monthly fees or direct deposit requirements. So, if you're looking for an online savings account with a decent rate of return, Synchrony's high-yield option is a smart choice.

Key Features

Synchrony Bank's high-yield savings account also gives customers a debit card they can use at any number of ATMs nationwide, with free transactions at Accel or Plus ATMs. For out-of-network ATMs, you can apply for a $5 fee reimbursement. While that's a common feature of most checking accounts, it's not very common for an online savings account. We also love that the Synchrony mobile app works on Android and Apple devices, making it simple to manage your personal finances.

Click Here to Learn More About Synchrony

4. Discover Online Savings Account: Earn High Interest on CDs and Money Market Accounts

A Discover Online savings account is an excellent place to park your money and watch it grow fat with interest. Discover may be a big-name financial institution, but it offers some highly competitive rates. So, if you need a one-stop shop for all your banking needs, consider switching to Discover.

The Basics

Discover doubles as an in-person and online bank, making it convenient to take care of your banking round-the-clock. With a high annual percentage yield and no monthly maintenance fee, Discover's online savings account is one of the most popular choices in 2022. The company also offers a checking account with ATM access and the ease of mobile check deposits. In addition, the Discover customer support team is available 24/7 to answer your most pressing questions.

Minimum Balance Required

Discover is an excellent place to have a high-yield savings account, whether you're a seasoned investor or just starting to save. Plus, its online savings account has a high annual percentage yield, no monthly maintenance fees, and no minimum balance requirement.

When you open an online savings account with Discover, you can expect an APY of 1.30%. As required by law, you get up to six free transfers or withdrawals during each statement cycle. If you go over that limit, Discover may close your savings account.

Key Features

Discover isn't just an online bank; it also offers many benefits for its account holders. For example, you could open a Discover checking account with no monthly fees, cash back on debit card purchases, and have access to over 60,000 ATMs in the United States.

If you're unsure which account is best for your personal finance needs, you can head to Discover's website to try out its savings calculator. It will help you determine your interest rate and savings compared to other big-name and brick-and-mortar banks.

Click Here to Learn More About Discover Online Savings

5. Marcus by Goldman Sachs: Online Savings Account With 1.90% APY

Marcus by Goldman Sachs, a member of the FDIC, offers a diverse range of options for people who want a high-yield savings account. It's best for customers who already have a checking account with another institution but want to grow their savings faster with compounding interest.

The Basics

Marcus is a direct consumer bank offering high-yield savings accounts and CDs with impressive APYs and no monthly fees. While it doesn't have the most diverse range of financial products, Marcus offers above-average interest rates and APYs. You can add money to your savings account via automated deposit or electronic transfer, but there's no option for mobile check deposit.

However, the minimum deposit and requirements for monthly balances are reasonably low. In addition, a 24/7 customer service line makes it easy for you to access your account or get help when you need it.

Minimum Balance Required

The high-yield savings account options at Marcus offer a variable annual percentage yield that's distinctly above the nation's average and allow same-day transfers up to $100,000. Here are the most important details regarding the high-yield savings account options from Marcus:

Online Savings Account

• 1.50% APY
• $0 minimum balance for APY
• No monthly fees
• Few options for money withdrawal.

High-Yield CD

• 1-year APY: 2.30%
• 3-year APY: 2.70%
• 5-year APY: 3.20%
• $500 Minimum deposit required

Key Features

Marcus by Goldman Sachs is a legitimate financial institution and direct consumer bank offering impressive APYs on its high-yield savings. If you're searching for an online bank in which to park your savings, consider switching to Marcus.

While there are no physical branches, you can sign up online in minutes. We also love that Marcus doesn't have a minimum opening deposit or monthly fees.

However, if you don't fund your bank account within 60 days of opening it, Marcus may close it. The process for withdrawing your funds could be simpler, too. You'll have to transfer your money to an external bank account, request a check, or wire transfer your funds.

Click Here to Learn More About Marcus by Goldman Sachs

6. American Express National Bank: Great Option for Compound Interest

American Express is arguably one of the most famous and well-established financial institutions in the United States. Because it is a member of the FDIC, any money you deposit in an American Express bank account will have protection from the Federal Deposit Insurance Corporation.

The Basics

In addition to its high-yield online savings accounts, American Express offers checking accounts, credit cards, CDs, IRAs, and more. However, its high-yield savings accounts are ideal for starting an emergency fund.

Your interest will compound daily, with monthly direct deposits of everything you earned. To see how much your money can grow in an American Express high-yield bank account, head to the website and try out its free savings calculator.

Minimum Balance Required

Another reason why American Express has some of the best savings accounts is its fast, seamless online banking and lack of monthly service fees. We'll give you the rundown of the three top accounts from AmEx right now:

High-Yield Savings

• FDIC insurance
• 1.25% APY
• $1 minimum balance requirement
• No monthly fee
• Limit of nine withdrawals or transfers; most banks only allow six

American Express CD

• 1-year APY: 2.00%
• 3-year APY: 1.15%
• 5-year APY: 2.90%
• No minimum opening deposit

AmEx also offers a rewards checking account, which has 0.50% APY, no monthly fee or minimum balance/deposit requirements, and lets you earn rewards points on debit card purchases.

Key Features

AmEx is so popular for its high-yield online savings accounts because it's one of the best banks in the nation. With FDIC insurance, you can feel confident that your money is secure.

We also appreciate the website's clear disclosure of its rates and monthly fee structure. To learn more, check out the FAQ section on the website.

American Express National Bank is an online bank and doesn't have physical branches. However, it has a stellar customer service line that is available 24/7 and doesn't charge overdraft fees.

Click Here to Learn More About American Express National Bank

7. Live Oak Bank: Best for Students

Live Oak Bank primarily offers online banking. However, it has some of the top savings accounts in the nation, including high-yield, personal CDs, business savings, and business CDs.

The Basics

Many agree that Live Oak is one of the best online banks for saving money. The website is easy to use and has plenty of resources and helpful information, including an FAQ section. Live Oak has offered banking services to individuals and businesses since 2008 and has one physical location: its headquarters in Wilmington, North Carolina.

Minimum Balance Required

Live Oak may be primarily online, but like many of the brick-and-mortar banks in this review, it doesn't charge its savings account customers a monthly maintenance fee or require minimum account balances. Here is a summary of the best savings accounts offered by Live Oak Bank:

High-Yield Online Savings

• 1.40% APY
• $0 minimum balance
• No monthly maintenance fee
• No minimum deposit

Bank CD

• 1-year APY: 2.20%
• 3-year APY: 2.65%
• 5-year APY: 3.00%
• $2,500 minimum deposit

In addition to its personal CDs, Live Oak also offers business CDs.

Key Features

Live Oak has a stellar reputation and many valuable options to help grow your emergency fund into a decent nest egg. With a liquid deposit account, no monthly maintenance fee, and a $0 minimum balance, it's no surprise that Live Oak has customers nationwide.

Unfortunately, Live Oak doesn't offer a debit or ATM card with its savings accounts. However, many alternative bank accounts in today's market provide easier access to funds. Overall, Live Oak is a solid choice for any individual or business owner looking for a high rate of return on their savings.

Click Here to Learn More About Live Oak Bank

What is a High Yield Savings Account?

Compared to a standard savings account, a high-yield savings account has an annual percentage yield (APY) instead of a simple interest rate. An APY gives you the luxury of watching your hard-earned cash pile up faster and with the security of Federal Deposit Insurance Corporation (FDIC) insurance.

For example, some high-yield accounts pay 20 to 25 times the national average for a standard savings account. So, if you have $8,000 in a savings account with a 0.10% APY, you would only earn $8 in interest over a year. With a 2% APY, you would make $160.

While these accounts earn more money, they often have a variable APY (determined by the Federal Reserve), so your yield may fluctuate. You may find some banks or credit unions with limited-time or introductory savings account interest rates, but it could be challenging to find the rate you want for the long term.

If you want a fixed rate, consider investing in a no-penalty certificate of deposit, which can be an excellent way to grow your emergency savings and access your money without penalties or fees.

How Do High Interest Savings Accounts Work?

Essentially, a high-interest savings account lets you grow your savings at a higher interest rate than a traditional bank savings account. Currently, the national average APY is 0.10%, and some accounts earn even less. Conversely, high-yield savings accounts earn around 1%, significantly higher than 0.10%.

Once you add money into a high-yield savings account, you earn interest. Then, that interest – which your bank will credit you on a quarterly or monthly basis – begins to earn even more interest, known as compound interest.

Compounding interest provides a much faster growth rate, particularly over time. Remember, these accounts have variable rates thanks to fluctuations in the Federal Reserve rates, which cause your interest to grow faster or slower.

Things To Consider When Choosing the Top High-Yield Savings Accounts

Although high-yield savings accounts are an excellent way to grow your savings, that doesn't mean you should be cavalier with your money. Here are some considerations to help you decide on the best place to park your money:

Annual Percentage Yield (APY)

The annual percentage yield (APY) is a critical aspect of a high-yield savings account. The APY compounds the interest you earn on your initial deposit combined with your additional interest earnings. While you might think higher APYs are better, check your rate against the specific requirements you need to earn the yield. Your variable APY will increase or decrease based on the federal funds rate, which the Federal Reserve determines.

Minimum Deposit Required

The minimum opening deposit on a high-yield savings account varies by each financial institution. Some don't have a minimum opening deposit; others have minimums as high as $10,000. However, remember that many savings accounts with a high minimum deposit may not offer the best yield.

Minimum Balance Requirements

In addition to minimum deposit restrictions, some banks have minimum balance requirements to earn the best APY or prevent fees. For example, online-only banks often don't have a minimum balance or deposit requirement. Also, consider how often you'll need to access your money and whether you can maintain the minimum balance requirement to earn your APY before you open any accounts.

Frequency of Rate Changes

Unlike fixed-rate CDs, high-yield savings accounts are subject to frequent rate changes. For example, a bank or credit union may raise or lower the APY on its savings accounts for a few reasons: to attract more customers or in response to economic factors, like changes in the monetary policy. If your savings account has a variable interest rate, consider how changes to the APY could affect your earnings after a year or two.

Withdrawal Options

Regulation D limits your withdrawals from savings and money market accounts to six monthly transactions, including:

• Overdrafts
• Check or debit transfers
• Online transfers to different accounts
• Phone transfers
• Automatic transfers

Fortunately, transfers or withdrawals made in person at a bank or through an ATM card don't count toward the monthly limit.

FDIC-Insured

FDIC insurance is paramount to your money's security and safety. If you have money in high-yield savings, you must choose one with FDIC insurance. Plus, a bank that is a member of the FDIC bank provides the confidence that you won't lose money, even if your bank suddenly goes under—because your money is insured up to $250,000 per account and deposit type. FDIC insurance also means that your financial institution is registered with the government and is closely regulated.

High-Yield Interest Account Terminology

Before you park your hard-earned cash into a high-yield savings account, you should familiarize yourself with industry terminology. Here are important terms to know regarding high-yield savings accounts:

Interest

Interest is the money you can hope to earn with your savings account. For example, the current national average for standard savings accounts is only 0.10%. Of course, the higher the interest rate, the more money you'll earn, particularly over the long term. Unlike APY, interest rates do not use compounding. Therefore, you'll make the same amount of interest each month.

Compound Interest

Compound interest is arguably the best benefit of a high-yield savings account. Essentially, it lets you earn more interest on top of the interest you've already earned.

For example, some accounts only earn interest on the principal. However, compound interest means you can make interest on your principal and any previously earned interest, so your savings grow faster.

Annual Percentage Yields (APY)

Annual percentage yield (APY) is the rate of return that your savings account earns. The annual percentage yield includes compound interest, resulting in faster growth. Simple interest doesn't use compounding like APY. The bigger the APY on a savings account, the more money you'll make. Try out a free savings calculator to estimate how much interest you'll earn over a year based on your savings account rates and APY.

Savings Account

Whether you call it your emergency fund, backup money, nest egg, or something else, your savings is a bank account where you deposit money. You have many options regarding savings accounts, from high-yield and traditional to other alternatives, like CDs.

Money Market Account

A money market account (MMA) is a type of savings account that offers certain privileges, such as checks or a debit card. While ATM withdrawals out of your MMA usually don't have any limits, most financial institutions limit the number of transfers or purchases to six each month.

Generally, MMAs offer better interest rates in comparison to traditional savings accounts. Also, some MMAs have a higher minimum balance requirement than a standard savings account. You can sign up for an MMA at a bank or credit union, and they have up to $250,000 FDIC insurance.

Advantages of Getting an Online Savings Account

So, are there any specific advantages to getting an online savings account as opposed to a traditional account? Let's discuss the pros and cons of online banks compared to credit union accounts or savings accounts from big-name brick-and-mortar banks.

Advantages of Online Banking

Higher Interest Rates: Online banks often have higher interest rates and APYs on checking and savings accounts due to a lack of overhead costs.

Lower Monthly Fees: In many cases, an online bank won't charge a monthly maintenance fee, whereas many in-person banks do charge those fees. In addition, some in-person banks may require a direct deposit to maintain the biggest APY on your high-yield savings account.

Better Convenience: Is there anything more convenient than banking online or using a mobile app? Online banking services also allow you to conduct banking transactions at any time of the day or night.

Large ATM Networks: Most online-only banks have extensive ATM networks. You can easily withdraw money from any ATM within that network if you have an ATM card. You may even get reimbursement for those fees!

Variety of Services: Banks that operate online usually offer additional banking services, like checking accounts, standard savings, and other personal finance resources.

How To Open a High-Yield Savings Account

Whether you want to build up your emergency savings, start a college fund, or save for a vacation, a high-yield savings account can help you reach those financial goals faster. It couldn't be easier to open an account:

Compare Rates and Fees

Traditional banks, credit unions, and online banks all offer high-yield savings accounts, but not all are created equal. So, before you deposit cash, shop around to compare interest rates, APYs, monthly fees, etc.

Many online banks offer the highest interest rates because they're not subject to the same overhead costs as brick-and-mortar banks. Therefore, online banks pass those savings onto their customers at higher rates.

Fill Out an Application

After you've chosen an online bank, traditional bank, or credit union to open a high-interest savings account, you'll have to apply. While you can do this in-person, most online applications only take a few minutes to complete. First, gather any necessary documents, like your personal information, social security number, mailing address, etc.

Fund Your Account

Once you receive approval, the final step is to fund your new savings account. One common method is to link a checking account to your savings and then transfer funds. Some banks may let you fund your account with cash, check, mobile deposits, or a wire transfer. Be sure to meet minimum deposit requirements, or you risk a lower interest rate or getting stuck with monthly maintenance fees.

Popular Reasons Why People Use High-Yield Savings Accounts

Funding a high-yield savings account can help you meet your financial goals. Now, let's discuss the most popular reasons people open a high-yield savings account:

Keeping Up with Inflation

Many people open a high-yield savings account to keep up with inflation. With America currently facing a 40-year inflation high, you can see why funding a savings account that compounds interest is an attractive idea. Standard savings accounts only offer ~0.10% interest, whereas a high-yield account can earn as much as 20 times that rate in an APY.

Saving for a Large Purchase

High-yield accounts are also suitable for saving up for a large purchase, such as a down payment on a house or a car. A traditional mortgage usually requires a down payment of 5% to 20% to prevent private mortgage insurance. For example, here are down payment estimations on a $300,000 home:

• 20% down: $60,000
• 10% down: $30,000
• 5% down: $15,000
• 3.5% down: $10,500

Of course, saving up that much money takes time, but funding a high-yield savings account can help you reach that objective faster.

Planning a Vacation or Event

By saving your money now, you can make it much easier down the road when you want to finance a big event, like a wedding or vacation. With a high-yield savings account, you have a liquid asset in a secure, FDIC-insured account with a competitive yield, to boot.

For example, let's say you're saving up for a trip to Bali next year, and you'll need $2,000 to make it happen. If you fund a high-yield savings account with a 0.60% APY with a $100 initial deposit, you'd need to put about $160 in the account every month for 12 months to save the $2,000.

Saving for the Future

You should start saving money for your child's college fund as early as possible. Many people use a 529 plan, which allows the money to grow tax-free and doesn't tax the money when you take it out for tuition payments. However, college tuition costs are consistently rising, and it's critical to have a last-minute savings alternative like a high-yield account. With a high-interest and compounding APY, you'll have enough for college tuition before you know it.

Alternatives to High-Yield Savings Accounts

While a high-yield savings account is a wise choice for many people, there are plenty of alternatives from which to choose. The three most common include traditional savings accounts, money market accounts, and certificates of deposit, or CDs. Let's explore all three alternatives.

Traditional Savings Accounts

A traditional savings account is one alternative to a high-yield account. While these accounts don't offer the same high APY or compounding interest, they do provide some interest. Most credit union accounts or bank accounts with a traditional savings structure offer interest rates around the 0.10% mark. This type of savings account also makes it easier to access, transfer, or withdraw your money.

Certificates of Deposit (CDs)

If you don't need to access your money for at least a year or two, certificates of deposit, or CDs, are a wise investment, particularly because they are FDIC-insured. The longer the amount of time you're willing to have your money tied up, the higher the interest rate you'll receive. Most one-year and two-year CDs offer higher interest rates than a traditional savings account.

However, don't forget the catch: Your money will be inaccessible for the term you agree upon when opening the CD. If you choose to touch or withdraw the funds before then, expect to pay penalties and fees. To maximize your return, shop around and compare interest rates and early withdrawal penalties, which vary greatly between financial institutions. You should also consider no-penalty CDs.

Money Market Accounts

Like a traditional savings or checking account, a money market account has FDIC insurance. While these accounts often pay out much higher interest rates than standard savings, they only have limited checking account services. However, you benefit from a much higher interest rate by agreeing to stricter terms regarding account activity.

In addition to the monthly transaction limit, money market accounts usually have other restrictions, such as a required minimum opening deposit or a minimum balance. If you don't meet the requirements, your account may be subject to a lower interest rate.

Pros and Cons of High-Yield Savings Accounts

Every bank account—including high-yield accounts—has pros and cons. To achieve your personal finance goals faster, consider the advantages and disadvantages from all angles before you commit to or make any direct deposits:

Pros

• High-yield accounts provide a much stronger return than standard savings, with 20 to 25 times higher APY rates.
• You don't expose yourself to as much risk by depositing money into an FDIC-insured account.
• Compounding interest means your money grows much more quickly.
• You can access your money with relative ease.
• Some high-yield accounts don't have monthly fees or balance requirements.
• It's simple to transfer your money between accounts, particularly with online banking apps.

Cons

• High-yield accounts have variable rates, which means the amount of interest you can earn will fluctuate up and down.
• Most high-yield accounts limit the number of withdrawals or transfers to six within a month.
• Some accounts may charge a monthly maintenance fee or have high minimum balance requirements.
• Inflation can continue to increase, lowering your rate of return in the long term.
• Many banks offering these high-yield accounts don't have a physical location.
• Not every bank offers customers an ATM card for easy account access.

Frequently Asked Questions About High-Yield Savings Accounts

Do you have to pay taxes on interest earned?

Generally, the interest you earn in a savings account is taxable, starting when you receive or withdraw it. So, yes, you must pay taxes on interest earned, and it will likely be at the same tax rate as your ordinary taxable income. That includes any interest you earn from a high-yield account or CD.

What's the difference between a high-yield savings account and a money market account?

The fundamental difference between a high-yield and money market account is the ease of access to your savings. Typically, most high-yield accounts don't come with a checkbook, whereas a money market account does.

You may also find differing requirements to open or maintain the account, like direct deposit, fees, or minimum balances. High-yield accounts are usually less expensive to open, although both accounts have limits on the number of withdrawals you can make within a month.  

How often do savings accounts change rates?

The number and frequency of rate changes may fluctuate on a whim. High-yield accounts have variable rates, so you can expect your APY—and therefore the amount of interest you earn—to change regularly. Rates tied to a deposit account change in response to the federal funds rate, which the Federal Open Market Committee sets.

Are high-yield savings accounts safe to use?

High-yield savings accounts are a popular option for people who need a secure place to park their cash and save it for emergencies while earning interest. Plus, high-yield accounts are FDIC-insured up to $250,000 at banks and credit unions by the National Credit Union Share Insurance Fund (NCUSIF).

Are savings accounts FDIC-insured?

Certain types of deposit products, including MMDAs, CDs, saving, and checking have FDIC insurance. The amount and level of FDIC insurance coverage you receive may depend on the financial institution where you have your amounts. We recommend choosing a FDIC-member bank, which provides you with greater security and safety regarding your savings.

Final Thoughts

Saving up money for a rainy day or financial emergency can be difficult, especially if that money is in an account with low interest. One of the best and fastest ways to save money faster and watch your wealth grow is with a high-yield savings account, which offers variable APYs and compounding interest that provides huge benefits.

This post reviewed seven of the best high-yield savings accounts, including CIT Bank, Live Oak, PenFed Credit Union, American Express National Bank, Synchrony Bank, Discover, and Marcus by Goldman Sachs. All offer significantly higher APYs than standard savings, allowing your money to grow quickly. Whether you're saving up for your children's college fund, that dream vacation to Bali, or your upcoming retirement, there's no denying that the increased benefits a high-yield account offers for your future financial security.

*This article is provided by an advertiser and not necessarily written by a financial advisor. Investors should do their own research on products and services and contact a  financial advisor before opening accounts or moving money. Individual results will vary. Foreign companies and investment opportunities may not provide the same safeguards as U.S. companies. Before engaging with a company, research the laws and the regulations around that service, and make certain the company is in compliance. For comprehensive guidance on U.S. investments and financial regulations, visit the Securities and Exchange Commission (SEC)’s Investor.gov.