Two of the largest savings accounts changed their rates today, but 11 are still offering 5% or more

Key Findings

Two of yesterday’s leading savings accounts dropped their rates below 5.00% this morning, removing them from our list. best high yield savings accounts.
Luckily, you still have 11 options to earn 5% or better, including the national leader. Pibank 5.50% per annum. That’s only slightly below the rate’s 20-year peak of 5.55% reached in April.
Newtech Bank And Openbank both offer a second rate of 5.25%, and another eight options pay between 5.00% and 5.11%.
Unless you’re stashing away extra money in a high-yield savings account, it’s smart to make the move since your checking bank account may be earning little or nothing on your savings.
Luckily, it’s easy to transfer your funds into a high-yield account where you can start using your money.

The full article continues below these offers from our partners.

Earn 5.00% to 5.50% with the nation’s best savings accounts.

Two options from our rating best high yield savings accounts fell off the list today as rate cuts pushed them below the 5% mark. But don’t worry, because you still have 11 nationwide options to earn the same amount elsewhere, with a top rate of 5.50%.

This stellar income is available in Pibank, which allows you to open it at 5.50% Pibank Savings account with any starting deposit (even without initial funds). It also has no minimum current balance requirement and does not charge a monthly maintenance fee. Although Pibank is relatively new to the US, it is owned by conventional Intercredit Bank, which has been FDIC insured since 1984.

Prices for high yield savings accounts The rate rose to its highest level in more than 20 years last spring, peaking at 5.55% in April. This was thanks to the Federal Reserve’s aggressive rate hike campaign in 2022-23, which aimed to lower 10-year rates. inflation. Although the Fed has since cut the rate, you can still earn very close to your peak savings rate.

Pibank is just one of many great options that will allow you to get historically high returns on your money right now. The accounts below offer the highest annual percentage yield (APY) among all savings accounts available nationally. Using one of these 11 best accounts will take you to the elite level of savings.

We update our best savings account rates daily

You can find more information on all the best high-yield savings accounts by visiting our daily overview of the best APYs. We review rates from more than 100 federally insured institutions every business day to keep our rankings current.

Best High Yield Savings Account Rates – November 1, 2024

To qualify for our ratings, a bank or credit union must be federally insured by the FDIC or NCUA.

Are you worried that having savings in another bank will be inconvenient? Don’t worry. Internet banking simplifies transfers between banks. And although the transfer process takes one to three days, it is easy to handle without moving. All your savings to a new account. Instead, keep a small reserve at your main bank so that you can immediately transfer to a check if necessary.

Will savings account rates fall?

Savings accounts have variable rates, meaning the bank or credit union may change your interest rate at any time and without notice. One of the main factors that determines how institutions set savings account rates is Federal Reserve base interest rate, federal funds rate. While banks and the Fed are not moving in the same direction on their rates, they are generally moving in the same direction.

Unfortunately for savers, the Fed began a series of expected rate cuts, starting with a significant 0.50 percentage point cut on September 18th. Further cuts are expected in 2024 and 2025, and possibly even in 2026. Each Fed rate cut will put downward pressure on savings account rates.

But it’s good to have some perspective. Even if, say, best savings account rate will fall from 5.50% today to perhaps 4.50% by the end of the year – or even 3.50% by the end of 2025 – still historically high yields. You can easily see this in the chart below, which shows that back in 2022, before the Fed’s rate hike campaign, APY highest paid the national savings account was only 0.70%.

Consider guaranteeing your bet with the best CD

Can you survive without part of your savings for months or even years? If yes, then this is a great time to open one of the national best certificates of deposit (CD). This is because CDs guarantee their APY until expiration, no matter how many rate cuts the Fed makes, allowing you to lock in today’s rates for longer.

Right now you can secure a rate of up to 5.50% with best six month cdor up to 5.00% from best CD for 1 year. For terms ranging from 18 months to 5 years, maximum CD rates range from 4.00% to 4.65%, guaranteeing your APY for at least as long as 2026 and up to 2029.

But don’t delay! CD offers could disappear overnight and rates are likely to fall. So lock in the term and APY you like as soon as possible.

Daily rankings of the best CDs and savings accounts

Please note that the “top rates” listed here are the highest nationwide rates that Investopedia has determined in its daily research of rates from hundreds of banks and credit unions. That’s a far cry from the national average, which includes all banks that offer certificates of deposit with that term, including many large banks that pay meager interest rates. So the national averages are always quite low, while the top rates you can find out by shopping around are often five, 10 or even 15 times higher.

How we find the best CD discounts and rates

Every business day, Investopedia tracks rate data from more than 200 banks and credit unions that offer certificates of deposit and savings accounts to customers across the country and determines daily rankings of the highest paying accounts. To be included on our lists, an institution must be federally insured (Federal Deposit Insurance Corporation (FDIC) for banks, NKUA for credit unions), and the minimum initial deposit in the account must not exceed $25,000. He also cannot indicate maximum The deposit amount is below 5000 US dollars.

Banks must be available in at least 40 states to qualify as nationally available. And while some credit unions require you to make a donation to a specific charity or association to become a member, unless you meet other eligibility criteria (for example, you don’t live in a certain area or work a certain job), we exclude credit unions. unions whose donation requirements are $40 or more. To find out more about how we choose the best rates, read our full methodology.