Don’t Miss Out on Maximizing Your Savings. Today’s Best Savings Rates for Jan. 23, 2025

Savings goals should be an important part of your financial plan this year. Putting aside extra money every month is a good way to grow your nest egg, and keeping it in one of the best high-yield savings accounts can help you earn more interest.

The best high-yield savings accounts earn up to 5% annual percentage yield, or APY. While top rates may not be as high as they were a year ago, they’re still more than 10 times the national average.

APYs have been slowly dropping since the Federal Reserve started cutting interest rates last year. So now is a good time to take advantage of higher savings rates to grow your emergency fund or start a sinking fund for a vacation or big purchase.

Read on to see CNET’s picks for the best high-yield savings accounts. 

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

How a high-yield savings account can help you earn more interest

Experts predict that the Fed will hold rates steady at next week’s Federal Open Market Committee meeting, and banks will likely follow suit. If so, you’ll have more time to earn interest on your savings with over 4% APY. But even if rates drop, a high-yield savings account is still worth having.

“People may hesitate if it’s worth it to open a HYSA with the lower rates we are currently seeing,” said Danielle Flores, a CNET Money Expert Review Board member and founder of I Like to Dabble. “It is always worth it to earn a little extra on your already saved money.”

Savings rates are variable and will continue to fluctuate but earned interest adds up in the long run, Flores pointed out. Plus, rates for 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’s offering 0.42% for the same deposit you’ll earn $3.60 over the same time frame.   

Things to consider besides APY when opening a savings account

Since credit unions and online-only banks are most likely to offer high-yield savings accounts, that may change how you manage your savings. For example, some online-only banks don’t accept cash deposits and may not have physical locations for in-person assistance. Here are some other factors to consider when opening a HYSA.

• Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, typically between $25 and $100. Others don’t require anything.
• 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 reimbursements or a wide range of in-network ATMs, said Lanesha Mohip, founder of the Polished CFO and another CNET Expert Review Board member.
• Fees: Look out for fees for monthly maintenance, withdrawals and paper statements, said Mohip. The charges can eat into your balance.
• Accessibility: If you prefer in-person 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 make 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’s responsive and makes it easy to get help with your account if you need it. Read online customer reviews 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 with nationwide services. 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 compares 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 rank higher for offering any of the following perks:

• Account bonuses
• Automated savings features
• Wealth management consulting/coaching services
• Cash deposits
• Extensive ATM networks and/or ATM rebates for out-of-network ATM use

A savings account may be rated lower if it doesn’t have an easy-to-navigate website or if it doesn’t offer helpful features like an ATM card. Accounts that impose restrictive residency requirements or fees for exceeding monthly transaction limits may also be rated lower.

*APYs as of Jan. 22, 2025, based on the banks we track at CNET. Weekly percentage increase/decrease from Jan. 13, 2025, to Jan. 20, 2025.

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

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