High-yield savings accounts remain essential for astute savers, providing annual percentage yields (APYs) significantly higher than the norm. Currently, several top savings accounts feature rates exceeding 4%, with a select few nearing the highly sought-after 5.00% threshold.
TL;DR
- Secure up to 5.00% APY with premier high-yield savings accounts now.
- Varo Money leads with a 5.00% APY, followed by Axos Bank and Newtek Bank.
- Federal Reserve rate cuts influence savings account yields, potentially lowering them.
- High-yield accounts offer significantly higher rates than traditional options.
The economic forecast has been unclear recently. Consequently, the Federal Reserve postponed rate reductions during the initial months of the year. Nevertheless, the central bank implemented its inaugural cut of 2025 during the September 16-17 session, referencing a deceleration in employment growth, followed by an additional reduction in October.
Savings account annual percentage yields have stayed relatively consistent as the Federal Reserve maintained its interest rates. However, banks could potentially lower the rates they provide if they anticipate additional cuts. Given that one more meeting is scheduled for this year, this scenario is certainly conceivable.
To assist savers in achieving the best possible returns, Coins2Day has partnered with Curinos, a team of banking industry specialists, to provide a thorough look at the top savings account interest rates offered across the country.
Here are the top high-yield savings accounts available now, offering up to 5.00% APY.
Varo Money is currently in the lead with an outstanding 5.00% rate for its high-yield savings account, establishing a new benchmark for the sector. Axos Bank also provides an account with a highly competitive APY, and Newtek Bank follows closely behind. Coins2Day consistently tracks the highest rates available from major U.S. Banks. Discover the best savings account rates currently available:
FDIC average national deposit rates: January 2020 through today
Currently, the national average savings rate is at 0.40%, a significant drop from the 0.47% seen in March 2024. This decline aligns closely with The Federal Reserve's recent interest rate cuts.
Savings account news in 2025
Changes in interest rates set by The Federal Reserve significantly influence savings account returns. Banks generally increase the interest they offer on savings accounts to stay competitive when the Fed raises its key rate. Conversely, savings account yields usually fall when the Fed reduces rates.
Yet, this connection isn't consistently simple. Although alterations often occur after Federal Reserve gatherings, held roughly eight times annually, certain financial institutions modify their rates more frequently, influenced by their competitive stance or reactions to unforeseen market shifts.
At their September meeting, the Fed implemented its initial rate reduction for 2025, followed by another at the close of October. The upcoming FOMC gathering is slated for December 9-10. It's conceivable, though not certain, that the Federal Reserve might opt for a third decrease during that session.
Check Out Our Daily Rates Reports
- Discover the highest CD rates, up to 4.20% for November 11, 2025.
- Discover the current mortgage rates for November 12, 2025.
- Discover current refi mortgage rates report for November 12, 2025.
- Discover current ARM mortgage rates report for November 12, 2025.
- Discover the current price of gold for November 12, 2025.
- Discover the current price of silver for November 12, 2025.
A high-yield savings account offers these benefits
High-yield savings accounts commonly offer interest rates that are 10 to 20 times greater than those of conventional accounts. For example, with the national average savings rate at 0.40%, numerous high-yield accounts feature rates above 4%.
While conventional banks offer physical branch access, their interest rates tend to be lower; conversely, online banks typically provide high-yield accounts with better rates but restricted in-person support.
Consider opening a high-yield savings account for these benefits:
- Significantly higher interest rates compared to traditional savings accounts
- Often free from minimum balance requirements or monthly fees
- Ideal for emergency funds or short-term savings goals
- FDIC-insured, providing the same protection as traditional banks
When searching for a new savings account, don't just focus on interest rates. It's also crucial to steer clear of accounts that charge monthly maintenance fees and to understand how accessible your money will be. You'll want to confirm that you can readily withdraw or transfer funds as needed, ideally without any annoying foreign ATM fees.
Frequently asked questions
APYs on high-yield savings accounts can fluctuate frequently.
The interest rates for high-yield savings accounts aren't fixed on a regular schedule. Your financial institution can modify the rate whenever it chooses, although adjustments to the annual percentage yield (APY) frequently align with The Federal Reserve's choices regarding increases or decreases in the federal funds rate.
If you discover a savings account offering a better interest rate, should you consider changing your bank?
Moving your money for a better rate can make sense, but weigh the effort against the potential benefit. Check if the new account has minimum balance rules and calculate how much more you’d actually earn before deciding.
Withdrawing funds from a high-yield savings account (HYSA) is generally straightforward.
Accessing funds from a HYSA is generally straightforward, largely due to digital banking capabilities. If your financial institution permits linking external accounts online, you can typically start a withdrawal process with minimal effort. However, it's crucial to be mindful of monthly withdrawal caps, as numerous banks continue to limit withdrawals to six per statement period, despite this no longer being a federal mandate.
Is an online-only bank the right choice for my high-yield savings account?
For those prioritizing the highest Annual Percentage Yield, digital banks present a compelling option, as their lower overhead costs can often result in more favorable interest rates for depositors.
Yes, it's possible to lose money in a high-yield savings account, though it's rare.
Your money's security is assured up to the insurance cap if your account resides with an FDIC- or NCUA-insured entity. Nevertheless, it's conceivable that your account's annual percentage yield may not outstrip inflation, potentially eroding the worth of your savings as time passes.
Cassie Bottorff, a former Coins2Day editor, developed a series focusing on daily savings rates. Glen Luke Flanagan, the Editor of Evergreen Content, has updated this particular edition.