When a bank or financial institution pays a depositor a certain amount for holding their money with the bank then it is called the interest on a savings account. Savings account interest rates play a crucial role in determining the returns you get on your savings account so obviously, it is necessary to make sure that one finds a banking partner that offers high savings account interest rates. A simple way to calculate your savings account interest earnings is using this formula: Monthly interest earnings = Daily Balance X Interest Rate X Number of Days / 365.
Here are some banks/financial institutions that are CURRENTLY offering a high Annual Percentage Yield (APY) so make sure you keep these on your list before investing your hard-earned money.
Ally Bank
Ally Bank has earned a reputation for consistently offering high-yield savings accounts. As of now, they offer an APY of 3.85%. The minimum balance is $0 so one must consider Ally Bank as they are currently dominating. Thanks to its fast customer service and online applications, the bank has established itself as one of the best.
American Express Savings
American Express is well-known for being a leading issuer of personal, small business, and corporate credit cards but they also offer high-yield savings accounts. With an impressive APY of 3.90%, American Express remains as the first choice for many customers. With no minimum balance requirement or monthly fees, it is beginner-friendly.
Marcus by Goldman Sachs
Marcus by Goldman Sachs is a digital banking platform that is committed to helping customers reach their financial goals. Among their online savings options, one can sign up for a high-yield savings account with an APY of 4.15% with no minimum balance. The online platform has been offering personal loans and savings accounts to retail clients since 2016.
LandMark Credit Union
This not-for-profit financial cooperative is owned by its customers/members. LandMark Credit Union is dedicated to providing financial solutions with better rates and lower fees. With an APY of 7.50% on their premium checking account, it makes sense why many people opt LandMark Credit Union. This organization has proved that smaller institutions are capable of competing with well-established giants.
Webster Bank
Webster Bank’s Market Savings account requires a minimum $1,000 investment, but it is capable of delivering an approximate APY of between 8.96% – 9.06%. However, here is the catch, the APY isn’t guaranteed, but instead based on the fluctuations in the market. This account is different from a standard savings account in which your principal investment is never at risk.
Axos Bank
Founded in 2000, Axos Bank offers a range of financial products and services while ensuring the highest level of security. Their high-yield savings accounts offer an APY of 0.61% without a minimum balance. Thanks to their online platform, they have 24/7 customer service, making it one of the most convenient options.
Source: WalletGenius
