Is my money safe in a savings account?

Your money is safe in a savings account as long as you bank with a reputable, insured institution. Your money is protected in case of bank failure by the FDIC for bank deposits or by the NCUA for credit union deposits.

Does having multiple savings accounts hurt my credit?

Deposit accounts aren’t listed on your credit report and they’re not subject to hard credit pulls, unlike when you apply for and use loans or credit cards. The activity in your savings account won’t affect your credit score, nor will the number of times you open a savings account.

Can I open two savings accounts at the same bank?

You usually can open two or more savings accounts at the same bank, depending on the bank’s own policies. Each account will have its own account number. This tactic can be good for separating different savings goals.

Can I make payments from a savings account?

You can make ACH transfers and wire transfers from a savings account. If your account includes a debit/ATM card or checks, you can also make payments via those methods.

Can I make purchases from my savings account?

Most savings accounts don’t include a debit or ATM card, which limits your ability to make in-person purchases. However, you can set up an ACH or wire transfer with your savings account number and bank routing number to send money for a purchase.

How many times can I withdraw from my savings account?

The federally imposed six-transaction limit on savings accounts applies to what are considered “convenient” transfers. These include preauthorized and automatic transfers, transfers made over the phone and withdrawals and transfers made by check or by debit or ATM card.

Should I open a savings account with a bank or a credit union?

The choice between bank and credit union is largely based on personal preference.

Do I have to pay taxes on my savings account?

You have to pay taxes on your savings account (and other deposit accounts) if you earned $10 or more in interest per year.

How many savings accounts should I have?

You may wish to open multiple savings accounts if you’re an individual with over $250,000 in savings. The FDIC and NCUA insurance only cover your bank accounts at the institution level. If you have an amount that exceeds the $250,000 insurance limit, you should spread your money out between multiple banks.

What is a savings account?

The definition of a savings account is a deposit account that earns interest and allows six “convenient” withdrawals per statement cycle.

How do savings accounts work?

Savings accounts are interest-bearing deposit accounts that hold your money safely and securely with a financial institution. They are liquid, meaning you can withdraw your money at any time you choose. However, due to the limitations of the Federal Reserve’s Regulation D, savings accounts only allow six convenient transfers and withdrawals per statement cycle. Exceeding this limit will typically result in a fee for each additional transaction.

When should I use a savings account?

Savings accounts are most often used for general savings, and they’re a much better choice than keeping all of your money in a checking account. A high-yield savings account lets your money grow by earning a strong interest rate. Still, it’s always best to keep a financial cushion in your checking account, to cover expenses and avoid overdrafts.

Can savings accounts lose money?

If your account balance remains below the FDIC or NCUA deposit insurance threshold, there is virtually no way to lose money kept in a savings account. Federal deposit insurance guarantees that you will not lose money — up to the legal limit — in the event of bank or credit union failure.

Do savings accounts' interest rates change?

Savings account interest rates are variable, meaning they can change at the discretion of the institution offering them.

What are the typical fees associated with savings accounts?

The main fee you should look out for when shopping for any bank account is the pesky monthly service fee. These fees are charged for simply owning an account, and can range from as little as $5 to as much as $25, depending on the institution and the account. Luckily, the industry-leading best online savings accounts are free of monthly service fees.

Should I have a savings account at the same bank as my checking account?

To get the best return on your savings possible, open a high-yield savings account. These accounts are most often found at online banks, but a handful of brick-and-mortar institutions have started offering high-yield online savings accounts that outearn their regular savings accounts.

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Earning Interest

The Best CD Rates – August 2020

Wednesday, August 12, 2020

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It may not have been previewed, commissioned or otherwise endorsed by any of our network partners.

Written By

Nick Clements

Lauren Perez

Reviewed By

Becca Stanek

If you’re looking for a better yield on your savings and have time to burn, a high-rate CD at an online bank would be a great option. With a CD, you agree to lock up your funds in an account for a specific period of time, and in return the bank offers a higher yield than you’d find on a standard savings account. If you’re not keen on the idea of completely locking your money away for a set amount of time, you may want to consider a no-penalty CD. These accounts give you the benefit of locking down a rate for a set amount of time without requiring you to lock in your money for the length of the term.

CDs are often seen as the next level up after savings for that reason. If you’ve maxed out your savings account with enough funds to see you through the next year or so, it can be wise to start shoveling savings into a CD to maximize your returns.

For the best CD rates in the industry, check out online banks. They tend to offer much better interest rates than traditional banks, thanks to the lack of typical brick-and-mortar costs.

For example, let’s say you find a 12-month CD at a big brick-and-mortar bank that requires a $1,000 minimum deposit and pays 0.05% APY. If you were to open that account with just the minimum, you’d earn 50 cents after a year. Even a bigger deposit of $10,000 would only yield $5 at maturity.

At an online bank, on the other hand, you could earn 2.80% often with a minimum deposit of $1,000. Opening the account with $1,000 would yield $28, while a $10,000 deposit would earn $280 in a year, a much better return on your money no matter how you look at it. (If you would rather get a savings account or money market with no time restriction, look at the best savings accounts or best money market accounts).

Check out MagnifyMoney’s top picks for the best CD rates below.

The best CD rates for August 2020

To find the best CD rates, we look for the banks that consistently offer competitive CD rates month over month. This list is updated weekly and the rates are organized by 1-year rates from highest to lowest. Here are the accounts from top banks with consistently competitive CD rates:

6 months – 6 years: Marcus by Goldman Sachs – 0.60% APY – 1.05% APY; $500 minimum deposit to open

Our advertiser Marcus by Goldman Sachs is the online consumer bank of Goldman Sachs (the large investment bank). Your funds are FDIC insured, and Goldman offers very competitive annual percentage yields (accurate as of 7/9/20). Even better: there is only a $500 minimum deposit. So, if you don’t have enough money to meet the minimum deposit of the other banks on this list, or you are looking for another bank for your savings, GS is a good option. It also doesn’t hurt that they also offer some of the best CD rates in the market today. Here are their rates:

Marcus by Goldman Sachs’ CD Rates

Term	APY	Minimum Deposit Amount
6 months	0.60%	$500
9 months	0.70%	$500
12 months	1.00%	$500
18 months	1.00%	$500
24 months	1.00%	$500
3 years	1.00%	$500
4 years	1.00%	$500
5 years	1.05%	$500
6 years	1.05%	$500

3 months – 5 years: Ally Bank – 0.35% APY – 1.00% APY; $0 minimum deposit to open (higher APY with higher deposit)

Ally is one of the largest internet-only banks in the country. Ally’s former advertising campaign made it very clear: no branches = higher rates. And Ally has consistently paid some of the highest rates in the country across savings accounts, money market accounts and CDs. For savers with fewer funds, Ally is unique. There is no minimum deposit to open a CD. However, if you have more money, you’ll earn more in interest and in some cases, earn a higher APY. And one of our favorite features of Ally: they often (although not always) offer preferential rates on renewal. Far too often banks give the biggest bonuses to new customers, but Ally has done a good job of rewarding its existing customers. All deposits at Ally are FDIC insured up to the legal limit.

Ally Bank’s CD Rates

3-months: 0.35% APY (less than $5k) 0.35% APY ($5k minimum deposit) 0.35% APY ($25k minimum deposit)	18-months: 0.95% APY (less than $5k) 0.95% APY ($5k minimum deposit) 0.95% APY ($25k minimum deposit)
6-months: 0.50% APY (less than $5k) 0.50% APY ($5k minimum deposit) 0.50% APY ($25k minimum deposit)	3-year: 0.95% APY (less than $5k) 0.95% APY ($5k minimum deposit) 0.95% APY ($25k minimum deposit)
9-months: 0.60% APY (less than $5k) 0.60% APY ($5k minimum deposit) 0.60% APY ($25k minimum deposit)	5-year: 1.00% APY (less than $5k) 1.00% APY ($5k minimum deposit) 1.00% APY ($25k minimum deposit)
12-months: 0.90% APY (less than $5k) 0.90% APY ($5k minimum deposit) 0.90% APY ($25k minimum deposit)

3 months – 10 years: Discover Bank – 0.25% APY – 1.05% APY, $2,500 minimum deposit to open

Discover is best known for cash back credit cards. However, Discover has also quietly built a leading internet bank that offers checking accounts, savings accounts and CDs. Discover has invested in a mobile banking app and strong on-shore customer service.Although Discover does not always have the highest rate, it is very close (within basis points) across all durations. If customer service and digital tools (like apps) are important to you, Discover is an excellent consideration. Note: you can even get a CD rate with a duration as short as 3 months. However, you would be better off opening a high yield savings account if you plan on saving the money for less than a year.Keep in mind that all CD terms come with an early withdrawal penalty if you choose to withdraw money before your maturity date. If your Discover CD is less than one year, the penalty is worth three months of simple interest. If the term is between one to three years, the penalty is worth six months of simple interest. Four-year CDs have a penalty that is worth nine months of simple interest. Five year CDs have a penalty that is worth 18 months of simple interest and seven to 10-year CDs have a penalty that is worth 24 months of simple interest.

Discover Bank’s CD Rates

CD Term	APY
3-months	0.25%
6-months	0.45%
9-months	0.55%
12-months	0.90%
18-months	0.90%
2-year	0.90%
30-months	0.95%
3-year	0.95%
4-year	0.95%
5-year	1.05%
7-year	1.05%
10-year	1.05%

1 year – 5 years: Citizens Access – 0.65% APY – 0.80% APY; $5000 minimum deposit to open

Citizens Access is the online division of Citizens Bank, N.A., aimed at providing more convenient access to better banking products. Both divisions are headquartered in Providence, R.I. Citizens Bank was founded in 1828 and as of September 2019, had $150 billion in assets.Citizens Access’ online CD accounts require a pretty high opening deposit of $5,000. However, all its terms earn at premium rates, making your savings more worthwhile. Citizens Access also offers an easy opening process to build a CD ladder with them. You’ll need to deposit at least $5,000 in each new CD, though.

When you fund any new Citizens Access CD within 10 days after opening, the bank’s CD Rate Pledge will apply, snagging you the highest interest rate offered by the bank for that CD term within those 10 days. Here are their rates:

Citizens Access’ CD Rates

CD Term	APY
12 months	0.65%
2 years	0.65%
3 years	0.70%
4 years	0.75%
5 years	0.80%

1 year – 5 years: Barclays Bank – 0.65% – 0.65% APY, no minimum deposit to open

Barclays is one of the oldest banks in the world. Although they’re based in London, they do have a U.S. presence and offer competitive rates on their CDs and savings account. Currently, they’re offering some of the highest CD rates in the market, and they have an edge over the rest of the institutions on this list: they don’t require a minimum balance to earn the APY or open an account. Deposit as little or as much as you’d like into a term of your choice and you can start earning interest as long as the account is funded within 14 days of opening the CD. Additionally, your funds are insured through the FDIC.

Barclays’s CD Rates

CD Term	APY
1-year	0.65%
2-year	0.65%
3-year	0.65%
4-year	0.65%
5-year	0.65%

1 Years – 5 years: Quontic Bank – 1.02% APY – 1.28% APY; $500 minimum deposit to open

Online bank Quontic Bank offers a wide range of CDs, with term lengths from one year to five years. Currently, its 1-year CD doles out an APY of 1.02%, although its crown jewel is its 5-year CD, which has a high APY of 1.28%. There is a minimum deposit of $500 required for this product.

Quontic Bank Bank’s CD Rates

CD Term	APY
1-year	1.02%
3-year	1.17%
5-year	1.28%

90 days – 5 years: BankUnitedDirect – 0.10% APY – 0.25% APY; $10,000 minimum deposit to open

Online bank BankUnitedDirect offers a wide range of CDs, varying in term length from 90 days to five years. Currently, its 1-year CD boasts a competitive APY of 1.11%. However, there is a hefty minimum deposit of $10,000 required for this product.

BankUnitedDirect is the online division of Texas Capital Bank. It offers an array of banking products to consumers online, nationwide.

BankUnitedDirect’s CD Rates

Term	APY
90 days	0.10%
6 months	0.50%
12 months	0.75%
18 months	0.85%
24 months	1.00%
30 months	0.50%
36 months	0.50%
48 months	0.25%
60 months	0.25%

6 months – 3 years: LimeLight Bank – 0.70% APY – 1.05% APY; $1,000 minimum deposit to open

The online bank division of Capital Community Bank, LimeLight Bank offers a slew of CDs, ranging in term length from six months to 36 months. Its 1-year CD currently boasts a competitive rate of 0.95% APY, with a minimum deposit of $1,000. Like most CDs, there are penalties associated with early withdrawals from this account.

LimeLight Bank’s CD Rates

Term	APY
6 months	0.70%
12 months	0.95%
18 months	0.95%

1 year – 5 years: Comenity Direct – 1.00% APY – 1.10% APY; $1,500 minimum deposit to open

Comenity Direct is the internet-only arm of Comenity Capital Bank – a Utah-based bank with roots dating back to 1986. Comenity Direct offers an array of certificates of deposit, with term lengths of 1-year, 2-years, 3-years, 4-years and 5-years, all featuring attractive APYs.

There is a $1,500 required minimum deposit for all CDs. Comenity Direct charges no monthly maintenance fees on its CDs, although there is a $25 fee per outgoing wire transfer, $15 fee per paper check request and a $5 fee per paper statement request. Like most CDs, there are fees associated with early withdrawal. Once your CD matures, you can choose to automatically renew it or cash out without penalty within a 10-day grace period.

Comenity Direct’s CD Rates

CD Term	APY
1 Year CD	1.00%
2 Year CD	1.05%
3 Year CD	1.05%
5 Year CD	1.10%

The best no-penalty CD rates

No-penalty CDs are unique because these accounts allow customers to withdraw from their CD without incurring an early withdrawal penalty. These CDs are an attractive offer to customers as it provides no risk if they choose to withdraw their money early. Here are some of the best no-penalty CD rates that are available nationwide:

7 months – 13 months: Marcus by Goldman Sachs – 0.90% APY – 0.70% APY; $500 minimum deposit to open

Similar to its regular CDs, you only need a minimum of $500 to deposit into Marcus Goldman Sachs’ no-penalty CDs. This makes these CDs highly attractive to customers with smaller deposits. If you choose to open one of these CDs, you’ll only be locked in for seven days after you fund the account. After the seventh day, you’re free to withdraw your funds, but keep in mind that you’ll need to withdraw the full amount.

These CDs are an excellent option if you want your money to remain liquid or if you want to invest your money into an interest-earning account for a short amount of time. One thing to note is that the 7-month no-penalty CD has a much higher rate than the regular 6-month CD (0.90% APY vs 0.60% APY). The high APY makes Goldman’s 7-month no-penalty CD a fantastic option if you want to earn interest in a short amount of time. Here is Goldman’s full list of no-penalty CD rates:

Marcus by Goldman Sachs’ no-penalty CD rates

Term	APY	Minimum balance to earn the APY
7-month	0.90%	$500
11-month	0.80%	$500
13-month	0.70%	$500

11 months: Ally Bank – 0.75% APY – 0.75% APY; $0 – $25,000 minimum deposit to earn APY

Unlike the other two banks that offer multiple terms, Ally Bank only offers one term on its no-penalty CD. While Ally doesn’t require a minimum deposit to open, it does reward higher balances with higher APYs. This no-penalty CD is great for low-balance individuals who want to keep their money liquid. However, if you’re okay with locking your money into a CD for 12 months, you’re better off going with Ally’s regular 12-month CD as it has a higher APY (0.90% APY vs 0.75% APY) and doesn’t have a certain balance requirement to earn that high rate.

If you still choose to open Ally’s 11-month no-penalty CD and you need to withdraw money before the terms ends, you’ll need to withdraw your funds in full and won’t be able to do so until seven days after funding the account. Here are the tiered rates for Ally’s no-penalty CD:

Ally Bank’s no-penalty CD rates

Term	APY	Minimum balance to earn the APY
11 months	0.75%	None

11 months – 14 months: PurePoint Financial – 0.50% APY – 0.45% APY; $10,000 minimum deposit to open

PurePoint Financial is the online division of Union Bank. Both the parent bank and this online division are backed by financial giant, Mitsubishi UFJ Financial Group (MUFG). Under the MUFG Union Bank umbrella, this institution has acquired over $130 billion in assets. As its online division, PurePoint Financial has been able to offer its customers highly competitive rates not only in CDs, but in an online savings account.

Currently, PurePoint Financial is offering an extremely competitive rate of 0.45% on its 13-month no-penalty CD. It also offers an 11-month and a 14-month no-penalty CD, but those two accounts have lower rates than its 13-month no-penalty CD. Keep in mind that you’ll need at least $10,000 to deposit into any of these CDs. If you do choose to withdraw money from this CD before the term is up, you’ll need to withdraw the full amount. You’ll also have to wait seven days after you fund the account to withdraw any of the money. Here’s a full list of PurePoint Financial’s no-penalty CDs.

PurePoint Financial’s no-penalty CD rates

Term	APY	Minimum balance to earn the APY
11-month	0.50%	$10,000
13-month	0.45%	$10,000
14-month	0.40%	$10,000

6 months: Investors eAccess – 0.40% APY; $500 minimum deposit to open

Investors eAccess is the online division of Investors Bank, a large bank headquartered in New Jersey that was established in 1926. The parent bank currently has over $26 billion in assets. The online division was launched earlier this year and decided to introduce itself by offering a strong rate on its inaugural product, the eAccess Money Market account. It seems this online bank is slowly offering different deposit accounts, but one thing that sticks out is that it’s offering these new products with high rates.

Currently, Investors eAccess is offering two types of CDs: a 6-month No-Penalty CD and a 10-month regular CD. The 6-month No-Penalty CD is comes with a strong 0.40% APY. You need at least $500 to open the account and you’re free to withdraw from the principal amount after the first seven calendar days from opening the account without incurring any penalties. If you choose to withdraw the full amount (including any interest earned) before the maturity date, you won’t incur any penalties, but the full withdrawal will close the account. Regardless of how much you choose to withdraw from the account, the bank will send you the funds via an official Bank Check. The check will be made out to the account owner and mailed First Class to the address on file.

Investors eAccess’s no-penalty CD rates

Term	APY	Minimum balance to earn the APY
6-month	0.40%	$500

The highest CD rates from banks and credit unions by term

The following banks and credit unions are currently offering the highest CD rates for each term.

Best 1-year CD rates

Best 1-year CD rate from a Credit Union: Communitywide FCU – 1.10% APY, $1,000 minimum balance

In exchange for a $1,000 minimum deposit, Communitywide’s 12-month share certificate earns a 1.20% APY. One great feature is flexibility regarding your dividends, which may be compounded in the certificate, deposited to another share certificate, or transferred to another account. Another feature to understand is that there is no automatic renewal of Communitywide’s share certificates, which could be a good thing for savers who like to be reminded to survey the best rates available before rolling over their investments.

For over 50 years, Communitywide Federal Credit Union has provided banking services to the citizens of northern Indiana, and now a completely revamped online and mobile portal brings its great rates to you, wherever you are. Membership in Communitywide FCU is open to members of the Michiana Goodwill Boosters or the Marine Corps League of St. Joseph Valley, as well as employees of over 40 companies in the central Midwest region.

Best 1-year CD rate from a National Bank: iGoBanking – 1.00% APY, $1,000 minimum balance

Online bank iGObanking offers only two CDs — a 6-month and 1-year term — but it features fairly attractive rates. Currently, its 1-year CD doles out an APY of 1.00%, with a minimum deposit of $1,000 required.

Once your CD matures, iGObanking allows you to choose a new CD term and add additional funds.

Best 2-year CD rates

Best 2-year CD rate from a Credit Union: State Department FCU – 1.10% APY, $500 minimum deposit

State Department FCU offers an array of CDs, ranging in term length of six months to 60 months. Its 2-year CD has a particularly competitive rate, with a 1.10% APY. This product requires a low minimum deposit of $500, and dividends are compounded daily.

Membership to State Department FCU is open to anyone who also joins the American Consumer Council and opens a savings account at the credit union with just $1.

Best 2-year CD rate from a National Bank: First Internet Bank of America– 1.01% APY, $1,000 minimum deposit

First Internet Bank of America boasts a robust rate of 1.46% on its 24-month CD, making it one of the best 2-year CDs currently offered. There is a minimum deposit of just $1,000 required for this account, and there is no monthly maintenance fee.

First Internet Bank has roots dating back to 1999, and it claims to be the first FDIC-insured institution to operate entirely online.

Best 3-year CD rates

Best 3-year CD rate from a Credit Union: Pen Air Federal Credit Union – 1.25% APY, $500 minimum deposit

Pen Air Federal Credit Union offers a slew of certificates of deposit, with term lengths ranging from just three months to 60 months. Its 3-year CD is certainly worth highlighting, with its 1.40% APY. There is a minimum deposit of just $500 required for this account.

Membership to Pen Air Federal Credit Union is open to anyone who also joins the Friends of Navy-Marine Corps Relief Society. Although Pen Air only has physical locations in Florida and Alabama, it offers its products online, nationwide.

Best 3-year CD rate from a National Bank: Hyperion Bank – 1.15% APY, $500 minimum deposit

Hyperion Bank offers a large selection of CDs, with terms ranging from 30 days up to 60 months. Currently, its 36-month CD stands out for its 1.15% APY and low minimum deposit of just $500, making it one of the most attractive 3-year CDs currently available.

Based in Philadelphia, Hyperion Bank offers its products and services to consumers online, nationwide.

Best 4-year CD rates

Best 4-year CD rate from a Credit Union: Connexus Federal Credit Union – 1.46% APY, $5,000 minimum deposit

This Wisconsin-based credit union cracks our ranking of the best credit union CD rates for its 48 -month share chertificate’s 1.46% APY. It requires a bit of a hefty minimum deposit of $5,000 to open an account, but its APY is fairly generous compared to its competitors. Anyone can join Connexus by joining the Connexus Association and making a $5 donation.

Best 4-year CD rate from a National Bank: Prime Alliance Bank– 1.25% APY, $500 minimum deposit

Prime Alliance Bank offers CDs ranging from 6 months to five years, but its sweet spot is its 4-year CD offering. Currently, Prime Alliance’s 4-year CD boasts a high APY of 1.25% and a low minimum deposit of just $500.

Prime Alliance was founded in 2004. With one branch in Woods Cross, Utah, the bank still offers its great accounts nationwide virtually.

Best 5-year CD rates

Best 5-year CD rate from a Credit Union: Generations Credit Union – 1.65% APY, $500 minimum deposit

Generations Credit Union offers an array of certificates of deposit, but its 5-year CD is currently one of the best of its kind, with an APY of1.65%. For this CD, there is a required minimum deposit of $500. While balances up to $49,999 will garner the 1.65% APY, balances of over $50,000 will reap an even higher APY of 2.12%.

Established in 1939, Generations Credit Union is based in Washington. Membership to Generations is open to anyone who also joins the Northwest Energy Coalition and the Northwest Credit Union Foundation, regardless of where they live.

Best 5-year CD rate from a National Bank: Federal Savings Bank – 1.35% APY, $500 minimum deposit

The Federal Savings Bank is currently featuring a 1.35% APY for its 5-year CD. There is a low minimum deposit of $500 for this product.

The Federal Savings Bank is a veteran-owned, federally-chartered bank. While the bank only has locations in Illinois, it offers its products nationwide, online.

The cities that are most likely to use CDs for their savings

We recently looked at the 100 largest U.S. metros to find the cities with the highest percentage of households that own certificates of deposit.

Among the 100 largest U.S. metros, San Francisco came out on top, with 25.4% of households owning certificates of deposit. That’s more a little more than twice as many households, on a percentage basis, than Greensboro, N.C., our bottom-ranked city, where only 12.5% of households own CDs.

Typically, households in large cities are more likely to sock money away in CDs. Chicago, Los Angeles, New York and Washington, D.C. — among the 10 largest metros in the U.S. — all make our list of top 10 cities where people own CDs. There are some exceptions: Odgen, Utah ranks No. 4 in the nation for CD saving: 21.9% of Ogden households have CDs.

Variability in local CD rates may explain some of the differences, as the highest rates available by state can vary by as much as one percentage point. In fact, in Jan. 2019, Utah had the highest average local 1-year CD yield in the country.

Questions to ask before you open a CD

1. How are CDs different from savings accounts?

With a CD, the saver and the bank make stronger commitments. The saver promises to keep the funds in the account for a specified period of time. In exchange, the bank guarantees the interest rate during the term of the CD. The longer the term, the higher the rate – and the higher the penalty for closing the CD early. With a savings account, you’re limited to six withdrawals or transfers per month. Otherwise, you can empty the account at any time without paying a penalty. You can’t lock in the interest rate on a savings account, though, since the bank can change the interest rate at any time.

2. Am I better off keeping my cash in savings?

CDs work best if you’re confident you won’t need to access a certain amount of money for a specified period of time. Let’s say you have $10,000 laying around that you can safely say you won’t need to use for two years. In a high-yield savings account earning 2.45%, you would earn $496.00 over two years with annual interest compounding — and potentially even more, if your bank compounds interest more frequently. If you put that money into a 2.90% 2-year CD, you would earn $588.41 (compounding yearly) once the account matures. The extra interest income is easy money, considering the ease of opening an account online. However, if you think you might need to use the money in the next couple of months, especially if your finances are already a little rocky, a savings account is a much better idea for its better flexibility.

It’s important to note that deposit rates are a bit in flux right now, due to the uncertainty surrounding the federal funds rate (more on that below). But we’re currently seeing some high, favorable interest rates on 1-year CDs, rates that outstrip savings account rates.

If you can afford to part with the funds, “choosing a 1-year CD now does make sense rather than keeping the money in a savings account,” says Ken Tumin, founder of LendingTree-owned DepositAccounts.com. “However, it is possible that 1-year rates could go below some savings account rates.”

That’s why it’s important to compare rates before you sign up for a certain account.

Tumin also notes that there is an added tax benefit to opening a 1-year CD now over a savings account. With a 1-year CD, you can choose to have interest paid at maturity, or in 2020 on accounts opened now. Taxes would be owed on that interest for 2020, but not paid until 2021. Savings accounts, on the other hand, pay out interest each month. So a savings account opened today will generate interest income for the 2019 tax year.

3. What CD term length should I select?

The early withdrawal penalties on CDs can be significant. On a 1-year CD, 90 days’ worth of interest is a typical penalty, although it can reach as high as 180 days. On 2- and 3-year CDs, a 6-month penalty is about average. The impact of the penalty on your return can be significant: if you opened a one-year CD with a 2.65% APY and closed it after six months, you would forfeit half of the interest and earn only 1.32%. You would have been better off with a savings account paying 2.25%.

The worst case scenario is with the longest CDs. 5-year CDs usually have a one-year penalty for taking out funds early. If you open a 5-year CD and close it quickly, you could actually end up losing money.

Given the risk of early withdrawal penalties, it’s important that you’re completely confident that you will not need to withdraw the money early. Check that you already have enough savings in a flexible emergency fund to cover you for the next few years in the event of an accident or surprise trip to urgent care. Ask yourself whether your deposit would be put to better use paying off any debts. If you’re not completely convinced you can sock away that much money for such a commitment, go for a shorter CD term or a savings account.

As of right now, if you’re trying to jump on the best rates and have cash to stash away for years, your best bet is to lock in a 5-year CD to get the best rates possible.

“It doesn’t look like we’ll see another Fed rate hike in the first half of the year,” says Ken Tumin. “In the last month or two, we’re seeing some drops in CD rates.”

However, this downward movement looks like more of a correction being made by banks who may have boosted their CD rates too far too fast, instead of signaling the start of an industry-wide drop in rates.

“We won’t see a big drop until we see signs that the Fed will start cutting rates,” Tumin notes.

Tumin suggests finding long-term CDs with small or mild withdrawal penalties, like Ally. That way, in the event you do need to break into your funds (whether for an emergency or to move to a new, higher rate), you won’t lose the majority of your savings. So while there are still 5-year CDs out there with 3% APY and higher, you’re going to want to lock those in for the long term.

4. Should I consider my local bank or credit union?

The interest rates shown in this article are all from credit unions and online banks that offer products nationally. However, our product database includes traditional banks, community banks and credit unions.

If traditional banks offered better rates, they would have been featured in this article. Internet-only banks have dramatically better interest rates. That should not be surprising — because internet-only banks do not have branches, they are able to pass along their cost savings to you in the form of higher interest rates and lower fees.

If you’re worried about early withdrawal penalties, credit union CDs might be your best bet; on average, they tend to have lower penalties than banks. Pair that with high credit union CD rates, and you’ve got a winning savings combo. (Interestingly, while internet banks tend to offer the best CD rates, they also tend to assess bigger early withdrawal penalties than brick-and-mortar banks.)

How to find the best CD for you

If you don’t find an account that meets your needs in this article, you can use the MagnifyMoney CD tool to find the best rate for your individual needs. Input your zip code, deposit amount and term. The tool will then provide you with CD options, from the highest APY to the lowest.

Even though CDs are traditionally pretty structured, you still have hundreds of options available to you. If your savings goal is years in the future, look closer at longer terms like 5- and even 10-year accounts. If you don’t quite have thousands of dollars to stash away, you can find a bank that requires a lower minimum deposit, if at all. You can also find select no-penalty CDs, which tend to be around one year long or less.

You can learn more about us and how we make money here.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

The Best High-Yield Online Savings Accounts in August 2020

The Best Checking Accounts for August 2020

The Best CD Rates – August 2020

Best Money Market Rates & Accounts – August 2020

Advertiser Disclosure Comments

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Best of, Earning Interest

The Best High-Yield Online Savings Accounts in August 2020

Wednesday, August 12, 2020

Written By

Nick Clements

Lauren Perez

Reviewed By

Becca Stanek

There are no excuses for sticking with a low-rate savings account these days. High-yield savings accounts provide consumers with interest rates that are way above those offered by conventional banks. The best high-yield online savings accounts can easily earn you an APY of 0.80% or greater, while the average rate offered by a traditional brick-and-mortar bank remains at a paltry 0.06%.

If you’re still skeptical about switching to an online bank, consider the facts. Your funds are just as safe stashed with an FDIC-insured online bank as they would be with the bank branch on Main Street, and you’re likely to get better technical support with an online-only bank website and app. Many offer round-the-clock customer support and online chat features that make it easy to resolve issues without needing to visit a branch in person. Along with higher rates, you may end up saving on the cost of the account. With lower overhead costs, online banks typically charge lower fees.

Every month we review and compile the best high-yield savings account offers from online banks. Our ranking factors in features such as a higher-than-average interest rate, no minimum balance requirement, and superior ATM access.

Market update: Banks have dropped their savings rates considerably due to recent uncertainty caused by the COVID-19 outbreak. Despite interest rates declining overall, we are still seeing many of the pre-crisis top performers continuing to lead the pack in the overall best rates category.

1. High Rate: American Express National Bank – 1.00% APY
SEE DETAILS on American Express National Bank’s secure website Partner Offer Member FDIC APY:1.00% Minimum balance requirement: None Monthly Fees: None ATM Access: No App Available: No
Overview: Our sponsored advertiser, American Express National Bank, offers a Personal Savings account, which earns a 1.00% variable Annual Percentage Yield (APY) as of 8/12/2020. The account charges no monthly fees and requires no minimum deposit, making it an affordable account to open. You must fund your account within 60 days of applying for the account, and the FDIC insures your deposits up to $250,000. Overall, the account is a great option for anyone who wants the flexibility of earning a high interest rate on a sum of money you’ve stashed away, minus the withdrawal restrictions of a certificate deposit.

2. Favorite Online Package: Ally Bank – 1.00% APY
SEE DETAILS on Ally Bank’s secure website Member FDIC APY:1.00% Minimum balance requirement: None Monthly Fees: None ATM Access: No App Available: Yes
Overview: Ally is a bank without branches that had been consistently paying high interest rates on savings accounts. While Ally is still offering rates way above what brick-and-mortar banks are offering, it seems this online bank no longer wants to be seen as the online bank with the most competitive rates. The current APY on Ally’s savings account is 1.00%. Although Ally has dropped its rate significantly, we still favor this online bank. It doesn’t require a minimum balance to earn the APY and, even better, you can open a free checking account (also with no minimum balance requirement). This makes access to your savings account incredibly easy – because you can transfer funds online (or via the app) and have immediate access via checks, debit cards and ATMs. With an Ally account, you will have access to their full suite of expanding (and market-leading) products such as CDs, money market account, checking account, and IRA accounts.

3. High Rate: Marcus by Goldman Sachs – 0.80% APY

Annual Percentage Yield:0.80%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Our advertiser Marcus by Goldman Sachs, the consumer bank of Wall Street giant Goldman Sachs, offers a 0.80% Annual Percentage Yield on deposits. There isn’t a minimum balance requirement to earn the APY and there are no transaction fees. Upon opening the account, you can deposit funds via electronic transfer, wire transfer, or deposit by check. You can get access to your funds via electronic transfer or wire transfer.Goldman has been investing heavily in Marcus, its online consumer bank. Marcus is already offering some of the best savings accounts and personal loans in the market, and further expansion is expected. The savings account has consistently been paying one of the highest rates in the market. With a 0.80% APY, you can get one of the highest rates in the market from a well-known brand. The maximum deposit is $1,000,000 and deposits are FDIC insured up to the $250,000 limit.

Marcus is accessible both online and via the Marcus mobile app, available only in the Apple App Store.

4. High Rate: Capital One – 0.80% APY

APY:0.80%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: A consistent rate leader for its deposit accounts, Capital One now offers its 360 Performance Savings. With a 0.80% APY on all balances and no monthly fee, you get a chance to boost your savings uninterrupted. There are no minimum balances required to open or maintain the account, either.

Capital One is able to offer higher rates and lower (to no!) fees on this online savings account compared to traditional in-branch offerings. Still, you can head to a Capital One branch or Capital One Café to open a new 360 Performance Savings account, if you prefer. You cannot use an ATM to withdraw or deposit funds, but you can visit a branch, call the bank or make your own online transfer. You can access all accounts on your mobile device through the Capital One app, as well.

5. High Rate: Barclays Bank – 0.80% APY
SEE DETAILS on Barclays’s secure website Member FDIC APY:0.80% Minimum balance requirement: None Monthly Fees: None ATM Access: No App Available: Yes
Overview: Barclays is a large, old British bank, based in London and with more than 325 years of history. Although Barclays is huge in the United Kingdom, it is a challenger brand in the US. Barclays offers savings products with highly competitive rates. These deposits are used to fund their rapidly growing American credit card business. The online savings account has a 0.80% APY with no minimum balance to open and no monthly fees. Your deposits are FDIC insured up to the legal limit. The Barclays website has a good look and feel. And you can have the confidence of keeping your money with one of the world’s largest and oldest universal banks.

6. High Rate: Synchrony Bank – 0.75% APY
SEE DETAILS Annual Percentage Yield (APY):0.75% Minimum balance requirement: None Monthly Fees: None ATM Access: Yes App Available: Yes
Overview: Synchrony Bank pays a healthy 0.75% APY. There is no minimum balance requirement and no monthly fee. In addition to the great rate, you can get an ATM card. Most internet-only banks require you to transfer funds electronically, which can take a few days. If you ever need quick access to your funds, the ATM card makes access easy. You might not recognize the Synchrony brand in the banking space, but it is a large, well-capitalized business. Synchrony used to be a part of General Electric (GE), and was spun out as a separate company. Unfortunately, the digital experience is not the best, but they now have a mobile banking app.

7. High Rate: Vio Bank – 1.01% APY

APY:1.01%
Minimum balance requirement: $100
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Vio Bank is the online division of MidFirst Bank, a national private financial institution with over $16 billion in assets. Vio Bank was recently created and is not yet as established as Marcus, Barclays, American Express, Synchrony, and Ally Bank. However, this online bank launched its High Yield Online Savings account with a strong APY (at the time of its launch) and has been consistently competitive since it launched. It’s currently offering an outstanding 1.01% APY on all balances. You only need $100 to open the account. You can fund the account via ACH.

There are a few limitations to keep in mind: incoming ACHs take anywhere between two to five business days to post and the online bank may place a hold your ACH for two or three business days. When you’re ready to transfer funds out of the account, you’ll be limited to $5,000 per outgoing ACH. You’ll also be limited to transferring an aggregate monthly total of $20,000 via outgoing ACHs. As is with every other savings account, you’ll also be limited to making six withdrawals per monthly statement cycle. The good news (aside from the high APY) is that Vio Bank doesn’t charge a monthly maintenance fee. Vio Bank also has a mobile banking app where you can conveniently manage your accounts on-the-go. Also, its website is mobile friendly so it should be fairly easy to do your online banking from a smart phone, as well. We think this online bank is very promising and hope it continues to offer one of the best savings account rates in the nation.

8. High Rate: Discover – 0.95% APY

APY:0.95%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Although usually known for its credit cards, Discover has carved a space for itself in the deposits world with its competitive online accounts. The Online Savings Account earns its 0.95% APY on all balances. There is no minimum to open the account either. Interest is compounded daily and paid monthly.

The account is free to own. Plus, there are no fees for checks, returned deposited items, excessive withdrawal fees, stop payment orders or insufficient funds.

In addition to online access, Discover offers a mobile app for further convenience, which includes mobile deposit capabilities.

9. High Rate: BrioDirect – 0.90% APY

APY:0.90%
Minimum balance requirement: $25
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: BrioDirect is powered by Sterling National Bank, which is a large bank in New York with over $29 billion in assets. This online brand recently launched with a high 0.90% APY. You only need $25 to open the account and you’ll need to maintain at least this amount on a daily basis to earn the APY. This account doesn’t have a monthly service fee and can be funded via ACH, wire transfer, or check.

There are limitations to the amount of money you can transfer in and out via ACH. BrioDirect limits incoming ACH transfers to $500,000. The bank limits outgoing ACH transfers to $25,000 per transaction and a total of $125,000 per month. You are able to link as many external bank accounts as you’d like to this account. You can also initiate ACH deposits and withdrawals from other banks.

You can manage this account online or from Sterling National Bank’s mobile app.

10. High Rate: Axos Bank – 0.90% APY

APY:0.90%
Minimum balance requirement: $250
Monthly Fees: None
ATM Access: ATM card available upon request
App Available: Yes

Overview: Axos Bank was founded in 2000, known then as Bank of Internet USA. Through a couple name changes, Axos Bank has remained one of the top online banks. It offers a full suite of deposit products, from various checking accounts to certificates of deposit.

This High Yield Savings account earns its industry-leading APY on all balances, although you need $250 to open the account. Interest is compounded daily. There is no monthly fee and you can receive a free ATM card upon request.

As a digital bank, Axos Bank is accessible online and on mobile. Its mobile app includes mobile deposit. Axos Bank also offers a step-by-step Switch Kit to help you switch from your current bank to Axos.

11. High Rate: Live Oak Bank – 0.85% APY

APY:0.85%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Founded in 2008, Live Oak Bank offers a great spread of financial products, including its high-yield Online Savings account. The Online Savings account earns 0.85% APY on all balances. Plus, interest is compounded daily for faster savings. There’ s no minimum deposit requirement to open, either, nor a monthly fee to worry about.

In addition to online access, Live Oak Bank offers a mobile app.

12. High Rate: Citizens Access – 0.80% APY
SEE DETAILS on Citizens Access’s secure website Member FDIC APY:0.80% Minimum balance requirement: $5,000 Monthly Fees: None ATM Access: No App Available: No
Overview: Citizens Access is the online division of Citizens Bank. This division was recently created to provide the best savings rates to consumers. While the online division is brand new, the bank its backed by isn’t. Citizens Bank has been around for a while and has grown to have over $122 billion in assets. While you need to deposit and maintain a minimum balance of $5,000 to earn the 0.80% APY, you’ll be funding an account that comes with no fees. If your balance happens to fall below $5,000, the APY will drop to 0.25%. One downside to this online-only bank is that they don’t currently have a mobile banking app. This means that you’ll have to do all of your banking through their website. Luckily, their website is mobile-friendly.

13. High Rate: Nationwide by Axos Bank – 1.05% APY

APY:1.05%, contingent on having a My Checking account with a deposit of at least $1,000
Minimum balance requirement: $100
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Through this partnership, Nationwide by Axos Bank is able to offer a full suite of financial accounts and services. Axos Bank, a digital bank founded in 2000, provides these services and the FDIC insurance on deposit accounts. Mobile access is available through the Axos Bank for Nationwide mobile app on both iPhone and Android devices.

My Savings is just one of Nationwide by Axos Bank’s savings accounts and requires at least $100 to open. Its competitive 1.05% APY applies to all balances, although you’ll need to have a My Checking account with a monthly direct deposit totaling at least $1,000 to that checking account to snag the competitive savings rate. If you don’t want the My Checking account, you can still earn a solid rate of 1.00% APY. The My Savings account does not charge a monthly service fee.

14. Unique Bank + Highest Overall Rate: Fitness Bank – 1.05% APY

APY:1.05%, contingent on taking 12,500 steps
Minimum balance requirement: $100
Monthly Fees: $10
ATM Access: No
App Available: Yes

Overview: Fitness Bank is unique and new online bank. It’s a division of Affinity Bank, which has been around since 2002 and has acquired over $318 million in assets. Affinity Bank decided to launch a concept like no other to reward actively fit individuals with the highest APY currently available. While most institutions choose to offer tiered rates based on balance amounts, Fitness Bank offers tiered rates based on the average number of steps you take on a daily basis. To earn the high 1.05% APY, you’ll need to take an average of 12,500 steps or more per day. If you only take an average of 10,000 to 12,499 steps per day, you’ll earn an APY of 0.95% (which is still a great APY). You’ll earn 0.85% APY if you take an average of 7,500 to 9,999 steps per day. Taking an average of 5,000 to 7,499 steps per day will qualify you for an APY of 0.75%. Finally, if you take anywhere between 0 to 4,999 steps on average per day, you’ll only earn 0.50%.

Fitness Bank will track your steps by requiring you to download its Step Tracker app. The bank will then calculate your average steps from the previous month to determine which tier you qualify for. Once the bank determines which rate your activity qualifies you for, you will continue earning that rate for an entire month until the bank recalculates your activity. The activity requirement will be waived for the first month so that you can get your app all set up and start logging in some steps. For this first month, you’ll automatically earn the 1.05% APY.

In terms of actual money, you will need at least $100 to open the account and you’ll need to maintain this balance to waive the $10 monthly maintenance fee. The bank does impose a limit on the amount of money you’re able to transfer in and out of the account via ACH. You cannot transfer more than $15,000 per day in or out of the account. You also cannot exceed more than six certain withdrawals or you’ll incur an excessive withdrawal fee of $10 for each additional withdrawal. In addition to the Step Tracker app, Fitness Bank has a mobile banking app to manage your account.

15. High Rate: SFGI Direct – 1.01% APY
SEE DETAILS APY:1.01% Minimum balance requirement: $500 Monthly Fees: None ATM Access: No App Available: No
Overview: SFGI Direct is Summit Community Bank’s online division. They currently have more than $2 billion of assets and is privately owned by Summit Financial Group, Inc. SFGI is FDIC insured through Summit Community Bank, so deposits are protected up to the legal limit. They are currently offering a good rate of 1.01% on balances of $1 or greater. You’ll have to deposit a minimum of $500 in order to open the account, but you can’t make an initial deposit greater than $25,000. After you make your initial deposit, you’re able to add as much money as you’d like to the account. While they do offer a good rate on an online savings account, their online experience is lacking. Their website feels dated and they don’t appear to have a mobile banking app.

16. High Rate: Prime Alliance Bank – 1.01% APY

APY:1.01%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Prime Alliance Bank was established in 2004 to provide financial assistance to local businesses and residents. However, through its online banking platform, it’s now able to reach more customers while keeping that local bank service. Today, it’s grown to acquire over $455 million in assets.

The bank’s Personal Savings account doesn’t require a minimum amount to open the account, and all balances earn the high APY of 1.01%. This account doesn’t have a monthly service fee. You’re able to maintain the account online or through the bank’s mobile app.

17. High Rate: Comenity Direct – 1.00% APY

APY:1.00%
Minimum balance requirement: None
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: Comenity Direct is the online division of Comenity Capital Bank. Comenity Capital Bank has been around since 1989 and has acquired over $9 billion in assets. Comenity Capital Bank launched this online division in the middle of April 2019 and came into the savings space with a high-yield savings account earning 1.00% APY. While you need $100 to open the account, you can earn the high rate with a balance as small as $1 and as big as $10 million.

Comenity Direct’s High-Yield Savings Account doesn’t place limits on ACH transfers. This account doesn’t have any monthly fees and the bank doesn’t charge a fee if you attempt to withdraw from this account more than six times. If you do try to withdraw from the account a seventh time within the same statement cycle, Comenity Bank reserves the right to either deny or reject the withdrawal and may even close the account.

While this is mainly a fee-free savings account, there are a few fees that may be charged if you request paper statements, a paper check withdrawal, and an outgoing wire transfer. Comenity Direct does have a mobile banking app for your convenience. This is one of the best high-yield savings accounts currently being offered, but keep in mind that this online division is brand new. When it comes to accounts with variable rates, we prefer to stick with more established banks with consistently competitive rates.

18. High Rate: First Foundation Bank – 1.00% APY

APY:1.00%
Minimum balance requirement: $1,000
Monthly Fees: None
ATM Access: ATM card available upon request
App Available: Yes

Overview: First Foundation Bank officially launched in 2008, but its leadership has been in the financial services industry since 1990. This bank was established by the same group that leads the Keller Group, a wealth management firm. The bank has grown to acquire over $6 billion in assets. In October, this bank launched an Online Savings Account with a high APY of 1.00%. You’ll need to have a balance of at least $1,000 in order to open that account and you’ll need to maintain that amount in order to earn the high APY. If your balance falls below $1,000, the APY will drop. This account doesn’t have a monthly service fee.

While Regulation D applies to this account, First Foundation Bank will provide an ATM card if you request one from the bank. The bank will reimburse ATM fees from other banks and ATM operators up to $20. There is a limit to the amount of money that you can withdraw. If you’re withdrawing from an ATM, the bank sets a daily limit of $500. The daily point-of-sale limit is $1,500. If you’re transferring money online or via ACH, the daily limit is $20,000 and the monthly limit is $100,000. If you need to transfer more than the preset limits, you’re able to call the bank and request that they increase the limit. The bank allows you to maintain the account online and through their mobile banking app.

19. High Rate: ConnectOne Bank – 0.90% APY

APY:0.90%
Minimum balance requirement: $2,500 min to earn
Monthly Fees: None
ATM Access: No
App Available: Yes

Overview: With locations in New Jersey and New York, ConnectOne Bank’s best savings offering lives online. The free OneConnection Savings account requires at least $2,500 to open. It earns its competitive 0.90% APY on balances from $2,500 to $250,000.99. Balances above that earn a 0.30% APY instead.

Deposits into this online account can be made through the Remote Check Deposit feature on the bank’s mobile app, online funds transfers, direct deposit and checks or cash at a location. Withdrawals can be made by online funds transfers or by requesting a check to be sent to you.

20. For Small Balance Savers: Digital Federal Credit Union – 6.17% APY
SEE DETAILS APY:6.17% Minimum balance requirement: Deposits up to $1,000 earn APY Monthly Fees: None ATM Access: No App Available: Yes
Overview: Digital Federal Credit Union (DCU) currently offers a nice account for people who are just starting to save. You can earn an APY of 6.17% with their Primary Savings Account. You will only earn that rate on deposits up to $1,000. Once you have more than $1k, you should consider other accounts on this list. It is a credit union – and your deposits are insured by the NCUA up to the legal limit. Anyone can join the credit union by donating to one of their participating organizations such as Reach Out for Schools, which has a membership fee of $10. You’ll be able to join one their participating organizations when you go to open your account with DCU. DCU is also part of a nationwide CO-OP network that allows their members to have access to shared branches and surcharge-free ATMs throughout the U.S.

MagnifyMoney’s Best Savings Accounts for August 2020

To recap, here are our top picks of the Best Savings Accounts for August 2020.

The Best Savings Accounts in August 2020 Overall
Institution	APY	Bank Review
American Express National Bank Personal Savings	1.00% APY	American Express Review
Ally Bank Online Savings Account	1.00% APY	Ally Bank Review
Marcus by Goldman Sachs High Yield Online Savings	0.80% APY	Marcus by Goldman Sachs Review
Capital One 360 Performance Savings	0.80% APY	Capital One 360 Review
Barclays Bank Online Savings Account	0.80% APY	Barclays Bank Review
Synchrony Bank High-Yield Savings Account	0.75% APY	Synchrony Bank Review

To find the best savings accounts, we look for the banks that consistently offer competitive savings rates. This list is updated weekly to stay on top of the best savings account choices for you.

The Best Online Savings Accounts in August 2020
Institution	APY	Bank Review
Vio Bank High Yield Online Savings Account	1.01% APY	Vio Bank Review
Discover Online Savings Account	0.95% APY	Discover Review
BrioDirect High-Yield Savings Account	0.90% APY	BrioDirect Review
Axos Bank High Yield Savings Account	0.90% APY	Axos Bank Review
Live Oak Bank Savings Account	0.85% APY	Live Oak Bank Review
Citizens Access Online Savings Account	0.80% APY	Citizens Access Review

Nowadays, the best savings accounts are often found online. New online savings accounts from online banks or even established banks looking to get in on the high-yield action blow traditional savings account rates out of the water. This list is updated weekly to reflect the latest and greatest online savings accounts with consistency over the past two years.

The Best High-Yield Savings Accounts and Rates in August 2020
Institution	APY	Bank Review
Nationwide by Axos Bank My Savings	1.05% APY	Nationwide by Axos Bank Review
Fitness Bank Savings	1.05% APY	Fitness Bank Review
SFGI Direct Savings Account	1.01% APY	SFGI Direct Review
Prime Alliance Bank Personal Savings Account	1.01% APY	Prime Alliance Bank Review
Comenity Direct High Yield Savings Account	1.00% APY	Comenity Direct Review
First Foundation Bank Online Savings Account	1.00% APY	First Foundation Bank Review
ConnectOne Bank OneConnection Savings	0.90% APY	ConnectOne Bank Review

In today’s fluctuating-rate climate, the best high-yield savings accounts can change from day to day. We stay on top of them for you and list the highest earning savings accounts from this month below.

Why trust us?

At MagnifyMoney, it is our mission to inform our readers about the best financial opportunities out there. Our insights have been cited by top financial publications including Marketwatch, CNBC and the Wall Street Journal.

Our dedicated team of financial experts spends dozens of hours grading online savings accounts according to their interest rates, fee schedules, extra features, minimum balance requirements and accessibility, adjusting our rankings as banks and their offerings change on a weekly basis.

We distilled our picks from a list that included hundreds of banks, credit unions and online institutions nationwide.

Our methodology for picking the best high-yield savings accounts

To find the best high-yield online savings accounts, MagnifyMoney looks at over 6,000 financial institutions each week, from small community banks and credit unions to traditional brick-and-mortar banks to new online banks.

Savings account rates: We heavily weighted the APYs offered by each bank in terms of both magnitude and consistency. Higher savings rates were prioritized over lower rates. Due to the variable rates on savings accounts, we also gave additional consideration to banks that were known to maintain competitive rates over longer periods of time.
Minimum deposit and balance requirements: To ensure accessibility to all customers, we focused on banks that welcome deposits of all sizes, where the ideal banks in this category have minimum balance and deposit requirements of $0.
Bank account fees: Unnecessary fees can eat into your long-term savings in a major way. Banks that offered low or no fees were given priority in this category over banks that are known to charge account maintenance fees, service charges and other surcharges.
Customer service: We considered overall customer satisfaction and bank reputation when weighing each bank performance in this category. While each customer’s experience varies, we looked at relative feedback each bank received at the national level based on data sourced from consumer advocates like the Consumer Financial Protection Bureau (CFPB) and the Better Business Bureau. Banks that failed to meet minimum standards of performance were excluded.

What should I know about high-yield savings accounts?

It’s easy to take your savings account for granted, setting up automatic deposits and forgetting about it. But there’s a lot more to high-yield savings accounts that you should know.

For one, you can find consistently more competitive rates at online banks than with your typical big bank. Online banks are also more fee-friendly — although there are still some legal limitations you should be aware of to avoid extra fees.

What is a high-yield savings account?

A high-yield savings account, also known as a high-interest savings account, is a savings account that earns interest at a higher rate than a traditional savings account. The average savings account interest rate tends to hover around 0.20% APY, but big brick-and-mortar banks often offer interest rates more like 0.01% APY.

High-yield savings accounts raise the bar and offer upwards of 1% to 2% APY — sometimes even 3% APY in good rate conditions. High-interest savings accounts are also more likely to come with added benefits like little to no fees, especially when offered by an online bank.

How much interest will I earn with a high-yield savings account?

When you open a high-yield savings account, you’re almost guaranteed to earn more in interest than with a traditional savings account.

For example, let’s say you have $5,000 to deposit into a savings account. If you choose a high-interest savings account with a 2.30% APY, for example, you’ll earn $116 and some change in a year, provided you don’t make any additional contributions to the account in that time (which would boost your savings even more).

If you deposit your $5,000 into an average savings account at 0.20% APY for a year, you’ll earn just $10 in interest. It’s a pretty big difference in earnings, and all it takes is a simple account switch.

Even in a low-rate environment, where a high-yield savings account might be earning 1.30%, for example, you’ll still make about $65 in interest, which is still well over the $10 average earnings from a traditional savings account.

Does the APY for high-yield savings accounts change?

Savings accounts are variable-rate accounts, so their rates are subject to change — and they will over the course of an account’s lifetime. This is in contrast to fixed-rate savings vehicles, like CDs, which have set rates for predetermined periods of time.

There is no universal answer for how often interest rates change on high-yield savings accounts, since each institution has its own policies and decisions. However, you can often expect an institution to change its savings account rates about once a month at least. This change typically happens at the beginning of the month.

High-interest savings accounts are also more likely to see changes in their APYs than traditional low-rate savings accounts, because high-interest accounts have more room to change. Traditional savings account rates can only go so low, especially since many of them are already bottomed out at 0.01% APY.

How to choose the best high-yield savings account

Start by finding the highest APY
Check whether the institution is consistent with its high rates
Look for a no-fee account
Confirm any account balance minimums

When you’re looking for the best high-yield savings account, it’s tempting to go straight for the highest APY you can find. That account will certainly offer the highest yield at the moment, but there’s also more to it than that. Unless you’re okay with the possibility of switching accounts periodically to chase the highest rates, it may help to find an account offered by an institution that consistently offers some of the most competitive savings account rates. We’ve started our roundup above with those accounts, offered by consistent industry-leaders over the past two years.

But high yields may mean nothing if you lose your earnings to fees, so the best high-interest savings accounts out there are also the ones with little to no fees. Look for accounts with no monthly service fees, no overdraft fees and/or no excessive transaction fees. This will help you keep your savings intact.

You’ll also want to choose a high-yield savings account that works within your existing finances. Some accounts may impose minimum deposit or balance requirements to open and keep the account. We think the best high-interest accounts are the ones that require low or $0 minimums, which makes the account much more accessible to savers. But, if you have a high balance and find a savings account that offers a higher rate for high balances, then you can go for that account if it better fits your needs.

How do I open a high-yield savings account?

In most cases, opening a high yield savings account is as easy as clicking a button on the institution’s website and completing a short application form. You will likely be approved for the account right away.

A savings account application will likely require your name, home address, email address and Social Security Number. If the account requires a minimum deposit at opening, you’ll also likely have to link an external account at this time. Otherwise, you may make your initial deposit after opening, often within a 30- or 60-day window.

If you have a rocky banking history, like previous negative balances or circumstances where the institution closed your account, your application for a high-interest account may be denied. You can check out your recorded banking history with ChexSystems, a reporting system that many banks use. If there are any errors or points of contention, you may be able to dispute an item in your ChexSystems report.

What should I use a high-yield savings account for?

You can use a high-yield savings account for a variety of reasons and savings goals. You can use it as your emergency fund, where you stash your cash for a rainy day, for example. Perhaps you want to use a high-interest savings account to boost your savings toward your next vacation or your kid’s college education.

Luckily, many institutions allow you to have several savings accounts at a time, meaning you can save toward separate goals simultaneously without ever getting your wires crossed.

Should I get an online savings account?

An online savings account is your best bet for obtaining the highest interest rate available. Online banks lack the costs associated with maintaining brick-and-mortar branches, and they generally pass the savings onto you in the form of better interest payouts. And like we’ve said, if your money is going to sit in an account, you might as well make it worth your while by growing it at a competitive rate.

Online savings accounts generally feature superior accessibility. Online banks are laser-focused on offering the best possible and most user-friendly app experiences. There’s often 24/7 customer service, and they tend to provide very good ATM access. When shopping for the best savings account to suit your needs, make sure you include a good mix of online banks offering high yields, brick-and-mortar banks and credit unions in your search.

What impacts savings rates?

Institutions typically alter their rates in response to changes in market interest rates, which are in turn driven by the federal funds rate set by the Federal Reserve. The federal funds rate influences the rates banks lend money to each other. When the Fed increases the federal funds rate, financial institutions respond by increasing the interest rates they offer on deposit accounts. When the federal funds rate falls, interest rates decrease.

If you’re not keen on tracking the federal funds rate, changes to the APY on your savings account may come as a surprise. Luckily, chances are that if you keep your deposits with an online bank, you’ll still get the most competitive rates regardless of a Fed pause or rate decrease. Online savings accounts outperform most brick-and-mortar rates any day.

What are the best banks for high-yield online savings accounts?

Here’s a summary of our top picks:

0.80% APY – Marcus by Goldman Sachs
0.75% APY – Synchrony Bank
1.00% APY – American Express National Bank
0.80% APY – Capital One
1.00% APY – Ally Bank
0.80% APY – Barclays Bank
1.01% APY – Vio Bank
0.90% APY – Axos Bank
0.85% APY – Live Oak Bank
0.80% APY – Citizens Access
0.95% APY – Discover
0.90% APY – BrioDirect
1.00% APY – First Foundation Bank
1.05% APY – Nationwide by Axos Bank
1.05% APY – Fitness Bank
1.01% APY – SFGI Direct
1.01% APY – Prime Alliance Bank
1.00% APY – Comenity Direct
0.90% APY – ConnectOne Bank
6.17% APY – Digital Federal Credit Union

Savings Account FAQs

Are high-yield savings accounts safe?

There is nothing inherently unsafe about a high-yield savings account. As long as you make sure you’re depositing your money into an FDIC-insured bank or NCUA-insured credit union, your money will be insured up to legal amounts in case your institution fails.

You may also want to double check an institution’s security measures before signing up for an account. Check whether their website and information is protected by encryption and firewalls. Reputable institutions will also include anti-virus and anti-fraud measures. Other protections include biometric logins (fingerprints or face match), two-factor verification and security questions.

What is the difference between a high-interest savings account and a money market account?

There is often not much difference between high-interest savings accounts and money market accounts. A money market account is a type of savings account that also tends to have higher rates than traditional savings accounts.

Some money market accounts set themselves apart by offering a debit or ATM card and/or check-writing capabilities. These accounts offer further accessibility to your money. However, money market accounts still fall under the six-limit “convenient” transaction requirement, like regular savings accounts.

How is my high-yield savings account taxed?

High-yield savings accounts are taxed like regular savings accounts. However, your earnings from a high-interest savings account are more likely to be taxed, as you are more likely to be earning more in that account than a traditional low-rate account.

Savings account earnings are taxed if you make $10 or more. Regardless of your earnings, your institution should send you and the IRS a copy of Form 1099-INT, which details the interest you’ve earned in a year. Even if you don’t receive that form, the IRS will, and they will expect you to report your interest income on your tax return.

If you earn $1,500 or more in interest income in a year, you will also need to detail those sources of income on Schedule B of Form 1040.

How frequently can I withdraw from my high-yield account?

Thanks to the Federal Reserve’s Regulation D, you can withdraw up to six times per statement cycle from a high-yield savings account, like any other savings account. This includes pre-authorized and automatic withdrawals and transfers, and transfers made by debit card, check or other similar ways.You can get around this limit by performing “less convenient” withdrawals, like those made in person at the bank or ATM. Exceptions to the rule also include withdrawals and transfers requested by mail and those initiated over the phone if you receive the withdrawal as a mailed check.

Why do online banks pay more interest?

Online banks don’t incur the costs of maintaining brick-and-mortar branches. These costs include rent, building maintenance, staff salaries and the cost of keeping physical cash safe. Without these expenses weighing them down, online banks reap big savings — savings they then pass on to their customers in the form of high interest rates.

June savings index: Slight drop following May surge

Just under 40% of consumers added money to their savings account in June, a four percentage-point decrease from May but still higher than March and April levels. More concerning, however, is the fact that the number of Americans who said they’re saving for emergencies dropped from 35% in May to just 21% in June.

Every month, MagnifyMoney surveys more than 1,000 consumers to find out whether or not they added money to their savings account and what they’re currently saving for. The results comprise our monthly savings index, which first began in October 2019.

38% of consumers increased savings in June

The percentage of consumers who increased their savings dropped to 38% in June from 42% in May. Last month’s rise was due in part to economic impact payments hitting many Americans’ bank accounts, and it’s still promising that nearly 4 in 10 consumers continued adding to savings this month, too.

Number of Americans saving for emergencies declined

While the reduction in the number of consumers who added to savings was minimal month-over-month, the decline in those saving for emergencies was much more pronounced. In June, 21% of Americans said they were saving money for emergencies. That number was 35% in May and 33% in April. Although the decrease could mean most consumers now have sufficient funds for emergencies, that’s unlikely. For one, a May MagnifyMoney survey found more than a quarter of Americans do not even have $1,000 saved.Still, emergencies are among the top things consumers are saving for, in addition to general savings, vacations, retirement and new cars.

Generational differences

Some age groups are saving more than others, namely millennials and Gen Xers. Among all generations, they had the highest percentage of respondents indicate they added money to savings in June, at 40% and 41%, respectively. Gen Z was a bit lower at 34%, while baby boomers (32%) and members of the silent generation (12%) were least likely to save. On the other hand, consumers aged 55 and older were more likely than younger age groups to say they didn’t add or remove money from savings.

Different age groups also vary in the things they’re saving up for. There are the top things Americans are saving up for broken out by generation:

Gen Z: college (22%), general savings (22%), new car (18%)
Millennials: general savings (27%), emergencies (22%), vacation (20%)
Gen Xgeneral savings (24%), emergencies (22%), retirement (18%)
Baby boomers: general savings (27%), retirement (25%), emergencies (24%)
Gen Z: general savings (41%), retirement (18%), emergencies (18%)

Major savings gender gap remains

Each month, a major savings gender gap appears, and June is no different. Just 31% of women added money to savings this month, compared to 45% of men.Even more troubling, more than a quarter of women don’t have any money saved at all, while just 16% of men said the same.Women traditionally are paid less than men, and recent data from the Bureau of Labor Statistics shows women are experiencing more pandemic-related job losses than men.

Workers whose jobs were impacted by the pandemic turn to savings fund to cover expenses

Consumers experiencing income loss due to the coronavirus pandemic are tapping into their savings accounts at a much higher rate than those whose job was not impacted. Nearly a third (30%) of Americans who were either laid off/furloughed or saw a reduction in salary/hours took money out of savings in June, versus just 11% of consumers who did not have any changes in wages.Interestingly, there was not much of a difference in terms of who added money to savings.As the additional weekly unemployment stipends are slated to run out next month, we may see even more consumers deplete their savings to make ends meet.

Why some aren’t saving

We also asked those who weren’t able to save money in June about the circumstances that kept them from doing so. Here’s what they said (some chose multiple reasons):

Have too many expenses this month (36%)
Don’t make enough money to save (35%)
Already have enough money in savings (17%)
Other (12%)
Job loss due to the coronavirus (11%)

It’s worth noting that every dollar added to savings makes a difference. Even adding just $5 per week adds up over time, especially if you’re able to open a high-yield savings account offering a competitive interest rate.

Survey Methodology

MagnifyMoney commissioned Qualtrics to conduct an online survey of 1,020 Americans, with the sample base proportioned to represent the overall population. The survey was fielded June 12-15, 2020.

We defined generations as the following ages in 2020:

Gen Z are ages 18 to 23
Millennials are ages 24 to 39
Gen X are ages 40 to 54
Baby boomers are ages 55 to 74
Silent Generation are ages 75 and older

You can learn more about how our site is financed here.

The Best High-Yield Online Savings Accounts in August 2020

The Best Checking Accounts for August 2020

The Best CD Rates – August 2020

Best Money Market Rates & Accounts – August 2020

Advertiser Disclosure Comments

Advertiser Disclosure

Banking

List of Banks and Credit Unions Offering COVID-19 Relief

Wednesday, August 12, 2020

Written By

Lauren Perez

Reviewed By

Becca Stanek

Millions of Americans are struggling with changes to their work hours and incomes. In response, many banks and credit unions are offering relief packages, often waiving certain fees or granting expedited services. Although not listed below, community banks may offer an even stronger support system to those financially impacted.

Most American taxpayers can also expect a bit of relief to head their way in the coming months, thanks to the one-time government stimulus checks that start at $1,200. You can determine your eligibility and calculate your stimulus payment here.

We will continue to update this page regularly.

List of banks and credit unions offering relief to customers affected by COVID-19

Alliant Credit Union

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Alliant Credit Union does not currently have a COVID-related information page available on its website. However, according to an Alliant representative, the credit union is working with members on a case-by-case basis to remove deposit-related account fees.

Ally Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Online-only Ally Bank has scaled back its COVID-19 relief plan. Ally Bank deposits customers can benefit from refunded excessive transaction fees on savings or money market accounts.

Transfers and online payments remain uninterrupted. Plus, Ally Bank has made it faster to deposit checks of $50,000 or less online with Ally eCheck deposit. You can still use mobile deposit via the Ally Mobile app.

American Express

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

American Express has not released any specific COVID-19 relief plans to help its Personal Savings banking customers at this time.

Customers of the online-only bank can continue to access their accounts online. They can also call customer service at 1-800-446-6307 — just beware that wait times may be longer than usual.

Bank of America

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Bank of America’s COVID-19 response is to urge customers who are facing financial hardship to contact a representative to request refunds for fees on overdrafts, non-sufficient funds and monthly maintenance. Customers may also use the bank’s virtual assistant, Erica, to get answers to any questions, including those that are coronavirus-related.

Bank of America also encourages its customers to turn to mobile and online banking first, both of which allow you to check your account status, pay bills and deposit checks.

Many Bank of America financial centers are temporarily closed, while others operate at reduced hours or alternate days of operation. Those that remain open may have longer reported wait times. It helps to check a Bank of America financial center’s hours or confirm which branches offer drive-thru ATMs or tellers or video conferencing. Branches have “enhanced, daily cleanings” and “other measures to limit the risk of exposure, based on guidelines from the Centers for Disease Control and Prevention (CDC).”

BBVA

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

BBVA has dialed back its relief offerings related to COVID-19 hardship. Banking customers can request overdraft fee refunds by calling 1-844-228-1872.

Select BBVA locations are reopening lobbies with provided hand sanitizer, signage and floor markers for social distancing, plexiglass shields and enhanced cleaning. No more than five customers at a time are allowed inside a branch, and BBVA bankers will wear masks and gloves. The bank asks that customers wear masks, and use the drive-thru if experiencing symptoms or believe they have been exposed to the coronavirus.

Banking center lobbies that have not fully reopened may still be accessed via appointment by calling your banker or banking center. BBVA Online Banking and the BBVA Mobile Banking App are also available to you 24/7.

BMO Harris

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Under its financial relief program, BMO Harris asks deposit account customers with questions about account fees to send them a message. Customers can expect a response within 2 business days.

You can also call the bank’s Customer Contact Center at 1-888-340-2265. If you need assistance with your credit card account — whether to report a lost or stolen debit card, activate a debit card or reset your BMO Digital Banking password — bankers are available 24/7.

Select BMO branches are reopening by appointment only, while drive-up service remains available at most branches.

Capital One

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

In response to the coronavirus pandemic, Capital One is waiving its out-of-network ATM fee. It won’t reimburse you for a third-party surcharge, though.

If you are facing financial difficulties, you can contact Capital One and a representative can help to find a solution for you. Note that customer service wait times are likely longer than usual right now.

Capital One has temporarily closed select branches that do not have drive-thru tellers or protective glass at teller counters. Branches that do have those features will remain open via those outlets and are being disinfected per CDC guidelines. Tellers may still assist customers in the lobby in special circumstances. Capital One ATMs remain open 24/7. Capital One also strongly encourages its customers to use the Capital One mobile app or online banking to make payments, check balances and deposit checks.

Charles Schwab

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Charles Schwab has no specific measures in place to provide relief aid to its banking customers amid the coronavirus outbreak.

Schwab branches are temporarily closed and will remain so until local, state and federal government recommendations indicate it is safe to reopen. Still, you can contact a branch directly by phone to reach a representative. Schwab also encourages customers to go digital by completing tasks online or via its mobile app, which includes check-depositing capabilities.

Chase

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

In light of the pandemic, Chase Bank customers are encouraged to use the Chase Mobile app and online banking to complete their account-related tasks. Chase asks that those who need help because of COVID-19 reach out to a representative, though you may experience wait times that are longer than usual.

Most Chase branches are now open during normal business hours although you may want to check a branch’s status online or on the Chase Mobile app. Chase branches and ATMs are being cleaned with EPA-approved disinfectants and branches now include plexiglass dividers and hand sanitizer. Chase asks customers to wear masks, maintain six feet of distance and stay home if you’ve been in contact with someone with COVID-19 or are feeling sick.

On a wider scale, JPMorgan Chase pledged $50 million to nonprofit organizations to help support “healthcare, food and other humanitarian relief” efforts globally; community partners; and small businesses in the U.S., China and Europe.

Citibank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Citibank is waiving fees for monthly account service, safe deposit boxes and non-Citi ATM usage, as well as CD early withdrawal penalties.

Citibank also asks that those affected by COVID-19 contact the bank for assistance, although wait times may be longer than usual. If you already work with a personal banker or financial advisor through Citibank, you can contact them directly during their regular business hours. You can also text “App” to 692-484 to avoid call wait times and Citi will direct you to its digital tools or automated response system or send you a link to message a representative in the Citi Mobile App.

Select Citibank branches are closed and those that are open are operating under temporarily limited hours and undergoing “daily cleaning procedures … on high-touch surfaces,” providing hand sanitizer and practicing CDC recommendations like social distancing. You can also access your accounts and funds via the Citi Mobile app, the Citibank website and Citi ATMs on a 24/7 basis.

Citizens Access

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Citizens Accessis waiving its early withdrawal penalties on all CD products to provide more flexibility to CD customers. If you close a CD account online, Citizens Access will rebate the penalty that applies automatically.

Citizens Access encourages customers to contact its Customer Care team through a a secure message through your online account or by calling a representative at 1-888-201-6505, available Monday through Friday from 8 a.m. to 10 p.m.; Saturday from 9 a.m. to 3 p.m.; and Sunday from 10 a.m. to 3 p.m. EST. You can expect a secure message response within one to three days; wait times on the phone will also be longer.

As Citizens Access has no physical branches, you can always access your account online, both on desktop and your mobile browser. The bank does not have a mobile app.

Citizens Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Citizens Bank deposit account customers can expect overdraft fee waivers, service charge reversal and penalty-free early CD withdrawals, as part of the bank’s COVID-19 relief response. Customers with checking, savings and CD accounts can call customer service at 1-800-922-9999 Monday through Friday from 7:00 a.m. to 10:00 p.m. and Saturday and Sunday from 9:00 a.m. to 6:00 p.m. local time. If you want to open a new account over the phone, you can call 1-877-360-2472.

Citizens Bank branches remain open, but hours may vary by state and region. Branches now have enhanced maintenance and cleaning practices.

Digital Federal Credit Union (DCU)

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Digital Federal Credit Union offers an extensive financial relief program, which is available to its members in any financial rut, not just during this pandemic. Until further notice, DCU is offering unlimited ATM fee reimbursements and forgoing all overdraft and nonsufficient funds fees. Those who need to borrow money during this time may take out a personal loan from DCU, which won’t require payments for 60 days on loans opened after March 25, 2020.

All DCU branch lobbies are open by appointment only, though some branches remain open through their drive-up teller windows, which can help you with normal transactions and are open at normal hours. You can check your branch status and hours here.

Otherwise, you can access your account 24/7 via online banking and the DCU mobile app. You can also send an email for non-urgent requests, which are typically answered in two business days, or you can call customer service, though it is currently experiencing extremely high call volumes that may result in much longer wait times.

Discover

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Discover has “support in place for qualified Discover customers who experience hardship” due to the coronavirus pandemic. Although it is unclear what qualifies customers to receive this support, a Discover representative adds that “Discover customers may receive assistance related to payments, fees and interest.”

Discover Online Banking customers can call 1-800-347-7000 (TTY/TDD 1-800-347-7454) any time to reach a Discover representative for assistance. You also can continue to access your accounts online or via the Discover mobile app.

Fifth Third Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Fifth Third Bank deposit account customers can request hardship assistance through online banking or by calling 1-800-972-3030 during business hours.

Fifth Third branches are reopening; you can check your branch’s status here. Fifth Third will implement enhanced cleaning and safety measures including clear panels at teller lines, floor markers, fewer teller lines and masks on employees. Fifth Third also asks that you bring your government-issued photo ID when visiting a branch.

You can still schedule a phone or in-branch appointment or visit a branch’s drive-thru window for simple transactions. For most other services, like checking balances or ACH transfers, you can use the bank’s website or mobile app.

Marcus by Goldman Sachs

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Customers of Marcus by Goldman Sachs can make penalty-free withdrawals from regular CDs at this time, as a direct response to COVID-19. You can do so by calling 1-855-730-7283. Marcus contact centers are operating virtually, with temporary hours of 9 a.m. to 6 p.m. ET Monday through Friday and 9 a.m. to 6 p.m. ET on Saturday and Sunday.

You can still access your Marcus accounts online. Apple device users can also benefit from the Marcus mobile app.

KeyBank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Select KeyBank customers “may be eligible for immediate help,”which can include “waiving certain service charges on KeyBank checking and savings accounts.”

Almost all KeyBank branches have reopened. Customers who are age 65 or older or have a health condition are asked to contact a branch to set up an appointment for in-branch banking. Branches will have hand sanitizer, plexiglass barriers at teller windows and desks, floor markers for social distancing and masks on team members. KeyBank also asks customers to wear masks as well.

You can always access your accounts online and through KeyBank’s mobile app, which KeyBank encourages you use if you are experiencing COVID-19 symptoms. You can also call KeyBank’s 24/7 customer service line at 1-800-539-2968, though be aware that there are currently longer hold times than usual.

The KeyBank Foundation has also made an initial $1 million commitment to “support vulnerable individuals, small businesses and neighborhoods.”

Navy Federal Credit Union

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

During this time, Navy Federal Credit Union members can withdraw from certificates before maturity without penalty; deposit up to $50,000 per day via mobile deposit; and withdraw up to $1,000 per day from non-Navy Federal ATMs (the $1,000 daily limit on Navy Federal ATMs remains).

Members can also take advantage of the credit union’s OOPS overdraft protection for all checking accounts, which offers no fee on overdraft transactions of less than $5 and caps overdraft charges at three per day. Members with OOPS can request a refund for the $20 overdraft fee charged and for non-sufficient fund (NSF) fees by sending a secure message through your account.

Most Navy Federal branches have reopened, and select branches open an hour early every Wednesday for high-risk and senior customers. All Navy Federal members are required to wear a face covering inside a branch. Branches have increased disinfectant and social distancing practices in place. You can check the status of your local branch here or on the Navy Federal Mobile app, where you can also find accessible ATMs.

PenFed Credit Union

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

PenFed Credit Union is not offering specific relief measures for its deposit account members in response to the COVID-19 crisis.

Select PenFed financial centers are temporarily closed, while others are operating on adjusted hours. Saturday drive-thru service at open financial centers only includes everyday financial transactions like cash withdrawals and loan payments.

PenFed encourages customers to contact their local branch for information about updated hours and services, which you can also check online on the bank’s locations page and COVID-19 information page. You also can access your accounts for several services online and on the PenFed mobile app.

PNC Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

PNC Bankcustomers who are experiencing financial hardship as a result of COVID-19 should call 1-888-762-2265, which is available 7 a.m. to 5 p.m. ET Monday through Friday and 8 a.m. to 5 p.m. ET on Saturday and Sunday. Virtual Wallet customers may call 1-800-352-2255, available during the same hours.

If you are eligible for assistance, a PNC representative will discuss your options with you, which include waiving or refunding fees on deposit accounts (and other products). Qualified customers can also take out an emergency hardship loan “at a low rate.” PNC did not make it clear how it determines eligibility for assistance, but it stressed that customers should call for help.

Select PNC branches remain open with limited hours and access, while others are open by appointment only. Drive-up window services are also in service where available. Open branches will have clear panels at teller lines and in offices, floor markers and heightened cleaning processes. Customers are required to wear a face covering when visiting a PNC branch.

You can use PNC’s branch locator to check the status of a branch and to find a branch that offers essential appointments, made available for safe deposit box access, loan closings or other banking services that you cannot make otherwise. PNC is also still widely accessible via online, mobile and voice banking.

State Employees’ Credit Union

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

State Employees’ Credit Uniondoes not have specific relief plans in place for its deposit account customers, although its loan customers can seek assistance in light of the coronavirus pandemic. Members can contact a representative through a secure message when logged into their account, by calling your local branch or by calling 24/7 Member Services at 888-732-8562 to “discuss how they can help.” Note that Member Services is experiencing high call volumes between 10 a.m. and 8 p.m. every day.

SECU branches are back open for in-person service, although the credit union encourages members to continue to use drive-thru, online, mobile and telephone services when possible. SECU will limit the number of individuals allowed in a branch at one time and will require both employees and members wear a face covering while in a branch. Branches also have floor markings for social distancing, acrylic shields, sanitizer, gloves and regularly scheduled cleaning.

TD Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

TD Bank encourages customers affected by COVID-19 to call 1-888-751-9000 to see how the bank can support you as it says it “may be able to provide some financial relief.” Of course, wait times are uncharacteristically long at this time.

Assistance options offered by TD Bank will depend on your situation and request but may include fee refunds, early, penalty-free access to CDs and payment extensions. The bank’s customer assistance offers continue to evolve as well, according to a bank representative.

Most TD Bank branchesare expanding their hours, as well as services at drive-thrus. Branches will have virtual check-in, which will require you to wait outside or in your car until it’s your turn. Branches will also allow fewer customers in the store at a time, social distancing stickers, plexiglass screens, hand sanitizer and required face coverings for both workers and customers.

TD Bank ATMs are still accessible, as is its website and banking app.

TIAA Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

TIAA Bank has ended its coronavirus relief response for its deposit account customers.

TIAA Bank financial centers have all moved to drive-thru tellers only. Those that don’t have a drive-thru window will see clients through appointment only. You can set up an appointment by calling your local financial center.

You may also easily manage your TIAA Bank accounts online and through the TIAA mobile app. To speak with a representative, banking customers may call 1-888-882-3837 from 8 a.m. to 11 p.m. EST, although wait times are abnormally long.

Truist (formerly BB&T and SunTrust)

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Truist, the result of a recent merger between BB&T and SunTrust, does not offer any relief related to its deposit accounts.

For further assistance, Truist encourages heritage BB&T clients to call 1-800-226-5228 and heritage SunTrust clients to call 1-877-820-2103. Watch out for long wait times, however, which customers have reported on social media.

Local BB&T and SunTrust branch hours and services are temporarily moving to drive-thru teller services only, appointment-only in-person visits and select branch closures. Customers still have 24/7 access to ATMs as well as online, mobile and telephone banking.

Truist has also established a $25 million Truist Cares initiative, which will provide funding to the CDC Foundation and Johns Hopkins Medicine; local United Way organizations; and grants to Truist’s community partners.

U.S. Bank

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

U.S. Bank has suspended fees related to excessive withdrawals. Deposits customers who have been financially affected by COVID-19 should call the bank at 1-888-287-7817 for assistance.

U.S. Bank branch operations are temporarily reduced, and the bank encourages customers to use drive-up windows instead of going inside a branch. If you do visit a U.S. Bank branch, which you should not do if you are experiencing COVID-19 symptoms, you must wear a mask and maintain social distancing. U.S. Bank is limiting the number of customers permitted in a branch at one time.

You can check your local branch’s hours and status online. Otherwise, you can still access your U.S. Bank accounts on the bank’s mobile app, by phone or on its website.

Wells Fargo

Waives ATM fees
Waives overdraft/NSF fees
Waives excessive transaction fees
Waives early CD withdrawal penalty

Wells Fargo has said it will offer fee waivers for customers who contact the company. On a larger scale, the Wells Fargo Foundation has pledged up to $6.25 million in donations “to support domestic and global response to the COVID-19 and to aid public health relief efforts.” This includes funding “at the local level,” as well as for the national CDC and the International Medical Corps.

Wells Fargo branches are cautiously reopening with adjusted hours and safety practices. The bank suggests you make an appointment if you want to see a banker to avoid longer wait times. Wells Fargo also requires customers to wear a face covering when visiting a branch and asks that customers do not visit a branch or office if you are sick or have been exposed to COVID-19. Wells Fargo call centers still remain open, though they are experiencing higher-than-normal call volume and longer wait times.

You can also access your accounts online and on the Wells Fargo Mobile app, where you can deposit checks, move money and more. Wells Fargo also reminds customers that they can use contactless cards or digital wallets for payments.

Additional bank and federal advisories for customers

The Federal Deposit Insurance Corporation (FDIC) and the National Credit Union Association (NCUA) have temporarily extended unlimited insurance. Thanks to the CARES Act, your bank and credit union deposits are wholly insured through Dec. 31, 2020. Typically, an individual is covered up to $250,000 per account type, with increased FDIC insurance for joint ownership or beneficiaries. This temporary extension means you don’t have to worry about losing any of your money in a checking, savings, CD or money market account in the event of a bank or credit union failure.

The Federal Reserve has temporarily amended Regulation D to allow for more than six withdrawals from savings accounts. One way that Regulation D differentiates savings accounts from checking accounts is by limiting savings accounts to six “convenient” transfers per month. This includes pre-authorized and automatic transfers; telephone transfers; and withdrawals and transfers made by check, debit card or a similar method. For now, you don’t have to worry about this limitation.

Less “convenient” transfers which are not included in that otherwise limited category are those made in person at the bank, by mail, at an ATM or over the phone when you receive the withdrawal via a check in the mail.

Typically, going over the “convenient” transfers limit would result in an excessive transaction fee charged by the bank. With the Fed’s latest change, your bank may also waive their excessive transaction fees as further COVID-19 relief.

Many institutions are warning customers about keeping their information and money safe from fraudsters. Unfortunately, scams and phishing attempts are cropping up to take advantage of this crisis. Be wary of phone calls, emails and texts from suspicious senders who ask for personal or account information, and avoid clicking on links in emails and texts. When in doubt, head to your institution’s official website to verify your bank’s contact information, or log into your account to access its secure messaging system.

Government relief and the Coronavirus Aid, Relief, and Economic Security (CARES) Act

American taxpayers and business owners may also get some relief from the U.S. government’s $2 trillion financial relief package, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law in late March.
Find out how you can benefit from the relief package below.

One-time stimulus checks

Expanded unemployment benefits

Eased penalties around retirement account withdrawals

Small business relief

One-time stimulus checks

Taxpayers’ long-awaited direct payments, or recovery rebates, will be determined by their most recent tax return. For many, this will be your 2019 tax return, since we have yet to file taxes for 2020. If you have not yet filed your 2019 tax return, the government will turn to your 2018 return instead.

How much you’ll get: For individuals, the plan will provide one-time direct payments of $1,200 ($2,400 for joint returns) to those with an annual income of $75,000 or less. Payments will decrease incrementally for those who made more than $75,000 and will stop altogether for individuals who earned more than $99,000. Individuals will also receive an additional $500 per child. You can use our stimulus check calculator to determine your payment amount.

What to do to get your stimulus check: For most taxpayers, there’s no need to sign up. All you need is a valid Social Security number to receive these relief rebates. Depending on what you requested on your tax return, the IRS will send the payment either via direct deposit or a paper check.

If you receive Social Security retirement, Social Security Disability Insurance or Railroad Retirement benefits, the IRS will use the information on your 1099 Social Security forms (Form SSA-1099 or Form RRB-1099) to determine your payments. Individuals who qualify with these forms will only receive additional payments for dependents at this time if they registered their dependents via the IRS’ Non-Filers: Enter Payment Info tool by April 22, 2020. Otherwise, the additional $500 payment per eligible dependent will be paid in association with your tax filing for tax year 2020.
Other eligible U.S. citizens or permanent residents may use the IRS’ Non-Filers: Enter Payment Info tool. You can use this tool to submit your most recent banking information to the IRS for faster payment. You are eligible to use this tool if you had a gross income of $12,200 or less ($24,400 for married couples) for 2019 and were not required to file, nor planned to file, a federal income tax return for 2019. You will have to submit your current mailing address, an email address and valid Social Security number, in addition to other personal and identifying information.
Supplemental Security Income (SSI) recipients and veterans who receive veterans disability compensation, pension or survivor benefits from the Department of Veterans Affairs, and who did not file a tax return for either 2018 or 2019, may also use the Non-Filers: Enter Payment Info tool, as these groups are not yet automatically eligible for economic impact payments.

When the stimulus checks will arrive: The IRS began sending out payments the week of April 13, 2020. You can expect your payment to come sooner if you have direct deposit set up on your tax return or submitted your bank account information via the Non-Filers: Enter Payment Info tool.

You can track your payment with the IRS Get My Payment tool. This tool indicates the status of your payment, including the date your payment is scheduled to be direct deposited or mailed. Get My Payment will also provide eligible individuals a chance to submit their bank account information for direct deposit. If your check has already been scheduled for delivery, this feature will not work, so it’s best to take advantage of it as soon as possible

Fastest ways to get your stimulus check: The fastest way to get your stimulus check is via direct deposit to your bank account from the IRS. If your address or bank account information has changed since 2018, file your 2019 tax return as soon as possible, if you haven’t already.

Taxpayers with prepaid accounts can also receive the government COVID-19 stimulus checks, thanks to the Consumer Financial Protection Bureau (CFPB) relaxing rules around the Electronic Fund Transfer Act (EFTA), which typically prohibits individuals from opening new accounts to receive government benefits. So if you have a prepaid account, you may want to provide the IRS with your account information via the Non-Filers: Enter Payment Info tool as soon as possible so you can receive your stimulus payment faster.

What to know about taxes and stimulus checks: These recovery rebates are considered advanced tax credits for 2020 and should not be taxed for most. Since the payment amounts are determined based on your previous tax returns, however, the payments could be subject to adjustment if you earned more or less this year compared to prior years.

For example, if you received too large of a rebate proportionate to your most recent income, you could end up owing back the excess. However, it is so far expected that taxpayers will not have to return or pay tax on any portion of these rebates, regardless of income changes. If you receive a payment that is too low, you also may be able to receive a tax credit from your 2020 taxes to make up the difference.

Expanded unemployment benefits

For starters, individuals who have found themselves unable to work as a result of COVID-19, including those who are sick, quarantined or taking care of family members, will be able to collect unemployment, extending those benefits beyond those who were fired or laid off.

The CARES Act has also included self-employed individuals under this provision, meaning freelancers, gig workers and contractors may also collect unemployment during this time. Also included are people seeking part-time work; workers whose unemployment benefits have run out already; clergy and employees of religious organizations; and individuals whose work history would not typically be sufficient.

The stimulus bill will also add $600 on top of existing unemployment benefits (currently averaging about $300 a week) for four months and extend unemployment insurance by 13 weeks. The bill will also ensure that workers maintain their full salaries if they lose their job due to the coronavirus pandemic.

This additional funding will come from the federal government rather than from states and employers, who typically fund unemployment benefits. Unemployment benefits are still taxable under current law, which the stimulus bill does not account for. So if you are able, you may want to elect for tax withholding now, so you don’t get hit with a big bill at tax time.

How to file for unemployment: Unemployment insurance is done by state, so you will file for unemployment in the state where you last worked. If you worked in multiple states, you can apply in any one of those states. You can check your state’s benefits and eligibility requirements here.

The fastest and safest way to apply for unemployment at this time is via your state’s unemployment website or over the phone. However, given that millions of Americans have recently found themselves unemployed, you may face unusually long wait times when contacting unemployment offices. Perhaps visit your state’s website during off hours.

When you file for unemployment, you’ll have to provide your personal information, including your name, contact information, Social Security number and bank account information, if you have one, for direct deposits. You will also have to provide information about your last place of employment, including your past employer’s name and contact information, the last date you worked, the reason you’re not working anymore and your previous earnings.

Some states may require you to “certify for benefits” on a weekly or bi-weekly basis, which requires you to prove your continued eligibility for unemployment benefits. This often includes showing that you are willing and able to work and that you are actively looking for employment. Some states may waive this requirement during this time.

Eased penalties around retirement account withdrawals

The bill also allows those affected by COVID-19 to withdraw up to $100,000 from qualified retirement accounts, including your 401(k) and IRAs, without facing the 10% early withdrawal penalty that typically applies when you make withdrawals when you are under the age of 59 ½. You will still have to pay income taxes on your withdrawals, though these taxes will now be due over the course of three years instead of immediately. Additionally, the bill waives required minimum distributions (RMDs) for select retirement plans for this year.

Qualified individuals include those who are diagnosed with COVID-19 or have a spouse or dependent who has been diagnosed with COVID-19, as well as those who have been laid off, quarantined, furloughed or faced reduced hours due to the pandemic. This applies through Dec. 31, 2020.

Even though the bill allows it, withdrawing from your retirement accounts before you’ve actually hit retirement is generally not the best plan — especially if you’re already close to retiring. By doing so, you run the high risk of hurting the nest egg that you’ve worked hard to build for retirement. Still, this may be the only source of money available to many right now.

Small business relief

The stimulus plan includes $425 billion for the Federal Reserve to leverage for emergency loans to distressed companies and $75 billion for industry-specific loans. Despite previous claims from President Trump that he alone would choose which businesses received aid, this lending system will fall under oversight by an inspector general and a congressionally-appointed panel.

The spending package also provides $350 billion that will go toward lending programs for small businesses, but only those that keep their payrolls steady through the crisis. There is also a reward for small businesses that keep their workers in the form of federally-guaranteed loans that will be forgiven if the employer continues to pay its workers throughout this time of crisis.

Additionally, the plan allocates $130 billion for hospitals and $150 billion for state and local governments.

The Best High-Yield Online Savings Accounts in August 2020

The Best Checking Accounts for August 2020

The Best CD Rates – August 2020

Best Money Market Rates & Accounts – August 2020

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The Best CD Rates – August 2020

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The best CD rates for August 2020

6 months – 6 years: Marcus by Goldman Sachs – 0.60% APY – 1.05% APY; $500 minimum deposit to open

3 months – 5 years: Ally Bank – 0.35% APY – 1.00% APY; $0 minimum deposit to open (higher APY with higher deposit)

3 months – 10 years: Discover Bank – 0.25% APY – 1.05% APY, $2,500 minimum deposit to open

1 year – 5 years: Citizens Access – 0.65% APY – 0.80% APY; $5000 minimum deposit to open

1 year – 5 years: Barclays Bank – 0.65% – 0.65% APY, no minimum deposit to open

1 Years – 5 years: Quontic Bank – 1.02% APY – 1.28% APY; $500 minimum deposit to open

90 days – 5 years: BankUnitedDirect – 0.10% APY – 0.25% APY; $10,000 minimum deposit to open

6 months – 3 years: LimeLight Bank – 0.70% APY – 1.05% APY; $1,000 minimum deposit to open

1 year – 5 years: Comenity Direct – 1.00% APY – 1.10% APY; $1,500 minimum deposit to open

The best no-penalty CD rates

7 months – 13 months: Marcus by Goldman Sachs – 0.90% APY – 0.70% APY; $500 minimum deposit to open

11 months: Ally Bank – 0.75% APY – 0.75% APY; $0 – $25,000 minimum deposit to earn APY

11 months – 14 months: PurePoint Financial – 0.50% APY – 0.45% APY; $10,000 minimum deposit to open

6 months: Investors eAccess – 0.40% APY; $500 minimum deposit to open

The highest CD rates from banks and credit unions by term

Best 1-year CD rates

Best 1-year CD rate from a Credit Union: Communitywide FCU – 1.10% APY, $1,000 minimum balance

Best 1-year CD rate from a National Bank: iGoBanking – 1.00% APY, $1,000 minimum balance

Best 2-year CD rates

Best 2-year CD rate from a Credit Union: State Department FCU – 1.10% APY, $500 minimum deposit

Best 2-year CD rate from a National Bank: First Internet Bank of America– 1.01% APY, $1,000 minimum deposit

Best 3-year CD rates

Best 3-year CD rate from a Credit Union: Pen Air Federal Credit Union – 1.25% APY, $500 minimum deposit

Best 3-year CD rate from a National Bank: Hyperion Bank – 1.15% APY, $500 minimum deposit

Best 4-year CD rates

Best 4-year CD rate from a Credit Union: Connexus Federal Credit Union – 1.46% APY, $5,000 minimum deposit

Best 4-year CD rate from a National Bank: Prime Alliance Bank– 1.25% APY, $500 minimum deposit

Best 5-year CD rates

Best 5-year CD rate from a Credit Union: Generations Credit Union – 1.65% APY, $500 minimum deposit

Best 5-year CD rate from a National Bank: Federal Savings Bank – 1.35% APY, $500 minimum deposit

The cities that are most likely to use CDs for their savings

Questions to ask before you open a CD

1. How are CDs different from savings accounts?

2. Am I better off keeping my cash in savings?

3. What CD term length should I select?

4. Should I consider my local bank or credit union?

How to find the best CD for you

Best of, Earning Interest

The Best High-Yield Online Savings Accounts in August 2020

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1. High Rate: American Express National Bank – 1.00% APY

2. Favorite Online Package: Ally Bank – 1.00% APY

3. High Rate: Marcus by Goldman Sachs – 0.80% APY

4. High Rate: Capital One – 0.80% APY

5. High Rate: Barclays Bank – 0.80% APY

6. High Rate: Synchrony Bank – 0.75% APY

7. High Rate: Vio Bank – 1.01% APY

8. High Rate: Discover – 0.95% APY

9. High Rate: BrioDirect – 0.90% APY

10. High Rate: Axos Bank – 0.90% APY

11. High Rate: Live Oak Bank – 0.85% APY

12. High Rate: Citizens Access – 0.80% APY

13. High Rate: Nationwide by Axos Bank – 1.05% APY

14. Unique Bank + Highest Overall Rate: Fitness Bank – 1.05% APY

15. High Rate: SFGI Direct – 1.01% APY

16. High Rate: Prime Alliance Bank – 1.01% APY

17. High Rate: Comenity Direct – 1.00% APY

18. High Rate: First Foundation Bank – 1.00% APY

19. High Rate: ConnectOne Bank – 0.90% APY

20. For Small Balance Savers: Digital Federal Credit Union – 6.17% APY

MagnifyMoney’s Best Savings Accounts for August 2020

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