Best Savings Rates Today -- Don't Sleep On Savings Rates This High, June 4, 2024 (2024)

The top savings rates remain elevated ahead of next week’s Federal Open Market Committee meeting. But if you’re thinking about putting your savings into first gear, now’s the time to take advantage of competitive annual percentage yields, or APYs, while they’re still around.

Right now, the best high-yield savings accounts earn APYs up to 5.55% -- more than 10 times the national average. So the sooner you open a high-yield savings account, the more interest you can earn. Even if the rate environment shifts in the coming months, high-yield savings accounts will continue to offer better APYs than traditional accounts that tend to offer rates as low as 0.01% APY.

Experts recommend comparing rates before opening a savings account to get the best APY possible. You can enter your information below to see CNET’s partners’ rates in your area.

Today’s best savings rates

Here are some of the top savings account APYs available right now:

How long will savings rates remain elevated?

Savings rates have been trending upward for the last two years as the Federal Reserve began raising interest rates to fight record inflation. As the Fed raised rates 11 times since March 2022, rates on consumer products have skyrocketed, making borrowing more expensive and saving rates more competitive.

But since July 2023, the Fed has opted to leave the federal funds rate at its target range of 5.25% to 5.50%, indicating to experts that savings rates are likely at their peak.

Experts expected several rate cuts to happen later this year, which would prompt savings rates to follow suit. But after three months of hotter-than-expected inflation reports, the timeline for future rate cuts is still unclear.

Some experts still think rate cuts are possible in 2024, according to Elaine King, a certified financial planner. However, some economists predict that rate cuts are now less likely to happen in 2024 unless inflation begins trending downward soon. Either way, you can expect high savings rates to stick around for the foreseeable future.

Why your savings APY changes

Banks can change the interest rates on savings accounts at any time. Since savings rates are variable, your APY will likely go down once the Fed drops rates. Inversely, when the Fed lowers rates, banks drop savings rates, too.

But for now, many banks are holding rates steady in anticipation of what the Fed will do next.

“When the Fed changes the rates, it impacts everything,” said Lanesha Mohip, a corporate accountant, founder of the Polished CEO and CNET expert review board member. That includes borrowing and savings rates. While taking out a loan or paying back debt may be more expensive, the high rates can also put extra money in your savings.

Based on CNET’s weekly tracking, here’s where rates stand compared to last week:

The average APY for the top high-yield savings accounts we track at CNET is 4.88%, but you can still find banks offering APYs over 5%. Rates haven’t budged much in the last month, but EverBank did drop the rate on its high-yield savings account on May 31 from 5.15% APY to 5.05% APY.

How you can benefit from opening a high-yield savings account

Savings rates have been particularly high for the last few years, and you can still find high-yield savings accounts with APYs up to 5.55%. This is great news if you’re determined to grow your emergency fund or park money for any short-term savings goals. Here’s what else makes HYSAs stand out:

• High rates: HYSAs often have APYs 10 times higher (or more) than the national average, as tracked by the Federal Deposit Insurance Corporation.
• Low or no fees: Monthly maintenance fees can eat into your savings. Many online banks can charge low or no fees thanks to their lower operating costs.
• Liquidity: You can access money in your HYSA anytime without penalty (as long as you mind any withdrawal limits).
• Accessibility: If you open an HYSA at an online bank, you’ll have 24/7 access through its mobile app. You may also have lots of customer service options, including by phone, online chat and secure messaging.
• Low risk: HYSAs are protected by federal deposit insurance if they’re held at an FDIC-insured bank or credit union insured by the National Credit Union Administration. That means your money is safe up to $250,000 per account holder, per account type.

What to look for in a high-yield savings account

Ensuring you get a high APY is important, but don’t stop there. There are other important variables you should weigh to choose the best high-yield savings account for your financial goals, including the following:

• Minimum deposit requirements: Some HYSAs require a minimum amount to open an account -- typically from $25 to $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 reimbursem*nts or a wide range of in-network ATMs, said Mohip.
• 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 think you may need to make more, consider a bank without this limit.
• Federal deposit insurance: Make sure your bank or credit union is either insured with the FDIC or the NCUA. This way, your money is protected up to $250,000 per account holder, per category, if there’s a bank failure.
• 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.