Best High-Yield Online Savings Accounts of October 2024

With U.S. interest rates still stuck in a downtrend, the search for yield has become even more difficult. And while capital market participants have to endure volatility to earn a higher return, we have a list of savings options that can help grow your money without taking any risk.

Why Should You Trust ElitePersonalFinance?

With accuracy and accountability in mind, we pride ourselves on presenting the latest information from the most trusted sources. And our goal is to help you find the best products available in the marketplace. Moreover, we hope that our study will make it easier to determine where you should invest your hard-earned savings.

To do so, we analyzed hundreds of savings accounts and organized our findings by those that offer the highest annual percentage yields (APYs). However, what’s the point of a high-interest rate if you can’t depend on your institution? That’s why we ensured that all of the institutions on our list reported being insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration (NCUA).

As a result, all our recommended high-yield savings accounts are insured by the U.S. federal government up to $250,000 per person, per account.

Best High-Yield Savings Accounts of October 2024

While all institutions on our list offer savings account interest rates of less than 1%, their APYs are still much higher than traditional banks. For example, the latest release from the Federal Deposit Insurance Corporation (FDIC) shows that the U.S. national average savings rate is 0.06%.

As a result, the high-yield savings accounts below are reliable alternatives for your short-term savings.

GO2bank Vault Savings

APY:	1.00%
Min. Balance Required:	$0
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

As a digital institution specializing in mobile banking, GO2bank offers one of the industry’s highest savings account interest rates. For context, the 1% APY applies to clients that open a “vault” savings account. And to be eligible, you need to have a day-to-day mobile banking account with GO2bank. However, the Fintech company charges no monthly fees if you enroll in eligible direct deposits. Otherwise, you incur a $5 monthly fee.

In addition, the 1% APY applies to savings balances of $5,000 or less, and the interest accrued is paid quarterly. However, if you have moderate savings and want to earn one of the highest interest rates with zero account fees, GO2bank checks off all boxes. To that point, your deposits at GO2bank are FDIC-insured up to $250,000 per person, per account.

As another benefit, bank account holders can receive up to 7% cash-back on e-gift card purchases. All you have to do is log into your account and canvass merchants’ offers. Once you find one that’s attractive, you can purchase it for yourself or send the gift card to another GO2bank account holder. Either way, the cash-back reward is yours.

GO2bank also makes it easy to conduct your day-to-day banking. For example, the Fintech firm has 90,000 retail deposit locations in the U.S. Whether it’s Walmart, CVS Pharmacy, or Dollar General, you can deposit money instantly by following these three simple steps:

1. Travel to one of the 90,000 locations and bring your cash and your GO2bank debit card.
2. Swipe your card and pass the money to the clerk.
3. Check your GO2bank account to make sure the deposit is approved.

Likewise, you can also deposit money without a debit card. To do so, you obtain a barcode through GO2bank’s mobile app to facilitate the transaction. Then, you get the cashier at the retail location to scan the barcode and confirm the deposit. For context, the funds should be in your account within 10-15 minutes, though it’s prudent to keep your receipt in case of any hiccups.

However, please note that retail service fees can apply. And while GO2bank doesn’t specify the exact amount, its fee disclosures show that check deposits incur a service fee of 1% of the balance for pre-printed payroll and government checks. Moreover, all other cashed checks incur a service fee of 5% of the balance, and the minimum expense is $5.00 per transaction. Conversely, there are no fees for bill payments. However, bill payments are limited to a minimum of $1.00 and a maximum of $7,500.

Pros:

• GO2bank allows you to move money seamlessly from your checking account to your savings account.
• Your excess deposits earn interest while you determine the best use for the money.

Cons:

• The maximum deposit is $5,000.
• The firm doesn’t have any branches or physical locations.

Who is the account best suited for?

• If you’re comfortable with mobile-only banking and have a small savings account, GO2bank is the perfect fit.
• The firm has served 33 million clients, and customer support is available 24/7.
• You can reach a representative through phone, live chat, or physical mail.

The impact of COVID-19:

Americans’ knowledge of Fintech companies increased during the pandemic. With stay-at-home orders forcing us to spend more time online, digital banking was a significant beneficiary. And by offering an FDIC-inured high-yield savings account with a higher APY than the competition, GO2bank hopes to maintain the momentum.

Affirm High-Yield Savings

APY:	0.65%
Min. Balance Required:	$0
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

As another Fintech company attempting to win new customers, Affirm’s High-Yield Savings Account offers the second-highest APY on our list. And like many of the other options, there are no balance minimums or account fees. Aiming to streamline the savings process, Affirm makes investing your money as easy as possible. For example, you can link your external bank account to transfer money back and forth, and interest compounds daily and pays you monthly. In addition, your money is held at Cross River Bank — Affirm’s partner financial institution. As a result, your deposits are FDIC-insured up to $250,000 per person, per account.

On top of that, Affirm’s business model is structured around buy-now-pay-later services. For context, the transaction is similar to an installment loan, as the proceeds incur interest and you make equal monthly payments. The company disclosures note that your APR can vary from 0% to 30%, depending on your creditworthiness. However, you can avoid interest if you follow Affirm’s “Pay in 4” guidelines and make four interest-free payments on a bi-weekly basis. This method has no interest or fees, and it won’t impact your credit score.

If you think Affirm is suitable for you, making a purchase is relatively straightforward:

1. Add items to your checkout and select pay later with Affirm (you can also download the mobile app or use affirm.com).
2. If you don’t already have an account, you must sign up.
3. Await Affirm’s approval of the transaction.
4. Choose between the Pay in 4 or the monthly installment methods.
5. Set up automatic repayment or manage the payback schedule through Affirms app or at affirm.com.

Pros:

• Affirm offers a solid high-yield savings account and access to credit solutions without using your credit card.
• You can invest your money without having to enter into any credit agreements.

Cons:

• The firm doesn’t have any branches or physical locations.

Who is the account best suited for?

• Affirm is different from a mobile bank, offering installment loans and buy-now-pay-later options.
• However, applying for a personal loan is usually a better option.

The impact of COVID-19:

With savings account interest rates closely linked to the overnight lending rate set by the Fed, Affirm’s disclosures noted a reduced APY during the pandemic. However, with the Fed poised to raise interest rates in 2022, all companies on our list should promote higher APYs later in the year.

Axos High-Yield Savings

APY:	0.61%
Min. Balance Required:	$250
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

If you can meet the opening minimum of $250, an Axos High-Yield Savings Account is a reliable option. In addition, there are no minimum monthly balance requirements once your application is approved. As a result, the $250 threshold is essentially a placeholder for setting up your account. And after that, you’re free to maintain the balance of your choosing.

For example, an Axos High-Yield Savings Account has a 0.61% APY on balances from $0 to $24,999.99. After that, balances from $25,000 to $99,999.99 earn 0.25% interest, and balances that exceed $100,000 earn 0.15% interest. However, with Axos Bank offering one of the highest annual interest rates among the institutions in our study, investing your short-term savings up to the $24,999.99 limit is a prudent option. Furthermore, Axos High-Yield Savings Accounts are FDIC-insured up to $250,000 per person, per account. In addition, the account doesn’t incur monthly maintenance fees, and you can start saving in as little as 15 minutes. All you need is valid identification and your Social Security Number.

Also noteworthy, Axos Bank is a full-service financial firm that offers checking and savings accounts and CDs. Moreover, you can also apply for mortgages, personal and auto loans, and its managed portfolios and self-directed brokerage services help you purchase stocks, bonds, and other financial market assets.

On top of that, Axos Bank is serious about security. For example, two-step identification keeps your account safe by asking you a personal question or sending a verification code to your device. In addition, SSL encryption keeps your data secure, while antivirus and malware protection keeps your account from suffering unwanted attacks.

Finally, Axos Bank’s blog is rich with content to help you make smarter money decisions. For example, you’ll find advice on how to streamline your spending habits, as well as how to navigate the mortgage and auto loan markets.

Pros:

• Axos Bank offers a competitive APY.
• The group’s security suite keeps your account protected from hackers.
• You can obtain a free ATM card by contacting a representative.

Cons:

• Balances of $25,000 or more earn much lower APYs.
• The firm doesn’t have any branches or physical locations.

Who is the account best suited for?

• Axos Bank is a reliable firm that offers several financial products.
• If your savings balance is $5,000 or less, GO2bank offers a higher APY (1%).
• If your savings balance is more than $5,000, Varo Bank’s APY (up to 3%) is more attractive.

The impact of COVID-19:

As another digital nomad, Axos Bank helped consumers navigate their way through the pandemic. However, with the bank enhancing the digital revolution since 2000, the firm has been around longer than many of its competitors.

LendingClub Bank High Yield-Savings

APY:	0.60%
Min. Balance Required:	$2,500
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

At LendingClub Bank, a high-end APY of 0.60% is yours for the taking. However, the only downside is that your need a minimum of $2,500 to qualify. And for balances of less than $2,500, you only earn a 0.05% APY. Conversely, there are no monthly maintenance fees, and you’re free to deposit any amount you wish. However, please note that you need to deposit $100 when opening the account. Moreover, your deposits are FDIC-insured up to $250,000 per person, per account. As mentioned, though, you need a relatively high balance if you want a worthwhile interest rate.

However, mirroring Axos Bank, Synchrony, Alliant Credit Union, and First Foundation Bank, a LendingClub Bank High-Yield Savings Account can process ATM withdrawals. As such, a free ATM card is available upon request. Likewise, you can also link an external bank account to streamline transfers to and from other institutions. However, please note that LendingClub Bank only lists two branches as of March 2021. Thus, the primarily online institution won’t provide you with the same in-person service as traditional banks. As a result, it’s prudent to consider the deposit requirements and your comfort level with online banking before making your final decision.

Pros:

• LendingClub Bank offers one of the best APYs in the industry and there are no account fees.
• You can obtain a free ATM card by contacting a representative.

Cons:

• You need at least $2,500 to earn the 0.60% APY.

Who is the account best suited for?

• If you have a high savings balance, LendingClub Bank is a solid choice.
• If you live in Utah or Massachusetts, you should be able to obtain in-person service.

The impact of COVID-19:

With pandemic-induced stimulus flooding the system with cash, LendingClub Bank’s deposit division should have basked in the glory. Moreover, product fees should have been robust with its institutional division providing cash management services and assisting governments and municipalities.

Alliant Credit Union High-Rate Savings

APY:	0.55%
Min. Balance Required:	$100
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

Alliant Credit Union’s High-Rate Savings Account has a 0.55% APY, and the minimum balance to maintain your account is $5. However, please note that you must maintain a $100 minimum daily average to qualify for interest payments. As a result, we referenced the $100 minimum in our table since it’s more relevant to potential savers. On the flip side, there are no maximum balance limits, and account fees are waived if you opt for e-statements. For context, paper statements cost $1. However, you can sleep safely knowing that your deposits are FDIC-insured up to $250,000 per person, per account.

Also noteworthy, Alliant Credit Union’s High-Rate Savings Account is one of the few out there that have ATM withdrawal capabilities. For example, if you don’t have an Alliant checking account, the credit union will issue an EMV chip card (which helps protect you from fraud) to make ATM withdrawals. However, please consider that the savings ATM card can only process deposits, withdrawals, and transfers, and you can’t use it to purchase items in-store or online. Despite that, there is no fee to obtain a savings ATM card, and Alliant Credit Union’s fee disclosures show that replacing a lost card is also free. However, the credit union may charge you $10 if you misplace your card several times.

Also beneficial, Alliant Credit Union has more than 80,000 fee-free ATMs located across the U.S. As a result, there are plenty of options to choose from, and withdrawing money from your savings account won’t cost you a dime. However, Alliant Credit Union does note that withdrawals from third-party ATMs may incur a surcharge, though it doesn’t list the exact cost. In any event, comparable out-of-network ATM fees are roughly $2.50 to $3.50 per transaction.

Finally, with Alliant Credit Union and Suze Orman’s The Ultimate Opportunity Savings Account promotion offering a $100 bonus for new clients, it’s one of the best deals out there. For example, the $100 is yours if you deposit $100 in your savings account each month for the next 12 months. In total, this works out to a $100 bonus on a $1,200 deposit. And with a bonus yield of 8.33%, the reward is much higher than the interest rate offered by online and traditional banks.

Pros:

• Alliant Credit Union has a competitive APY, and there are no account fees if you opt for online statements.
• You can obtain a free ATM card and make free withdrawals at more than 80,000 locations.

Cons:

• The firm doesn’t have any branches or physical locations.

Who is the account best suited for?

• Alliant Credit Union is a solid option if you value the ability to make ATM withdrawals from your savings account.
• Its mobile app allows you to monitor your savings account and execute transactions 24/7.

The impact of COVID-19:

As a digital-only institution, Alliant Credit Union was a pandemic beneficiary. With in-person banking substituted mainly for the online experience, Alliant Credit Union’s digital infrastructure was up to the task. As a result, clients were able to manage their accounts without disruption.

Comenity Direct High-Yield Savings

APY:	0.55%
Min. Balance Required:	$100
Monthly Service Fee:	$0
FDIC/NCUA Insured:	Yes
Learn More

As another solid choice, a Comenity Direct High-Yield Savings Account offers the fourth-highest APY on our list and requires a minimum balance of $100. Moreover, deposits are FDIC-insured up to $250,000 per person, per account. In addition, you avoid monthly maintenance fees, and ACH transfers, incoming wire transfers, and online statements are also free. Likewise, you have unlimited access to free mobile check deposits. However, there is a $25 fee for outgoing wire transfers and a $5 fee if you opt for paper account statements.

In addition, you can manage your Comenity Direct High-Yield Savings Account by downloading its Apple and Andriod apps. You can also make deposits, withdrawals and contact a customer care representative there. And currently, there are no fees to use mobile banking.

However, Comenity Direct offers high-yield savings accounts and CDs, unlike other online banks. For context, the minimum balance for a CD is $1,500, and Comenity Direct’s APYs range from 0,65% (1-year CD) to 1.10% (5-year CD). However, please note that early withdrawal penalties apply: for CDs with maturities that range from one year to three years, the early withdrawal penalty is 180 days worth of simple interest. Similarly, for CDs with maturities of four and five years, the early withdrawal penalty is 365 days worth of simple interest. However, there are no monthly maintenance fees.

Also, if you’re considering a CD, remember that your investment automatically rolls over after it matures. For context, this means that Comenity Direct (and nearly all CD providers) will reinvest your funds once again for the identical duration. However, the APY may not be exact. For example, if the Fed lowers interest rates, the CD’s APY may follow suit. Thus, it’s essential to monitor your maturity date.

Despite that, Comenity Direct notifies you “days in advance” before your CD matures. And after the maturity date has arrived, you have ten calendar days to withdraw your money without incurring a penalty.

Pros:

• Comenity Direct offers a competitive APY and has been in business since 1986.
• More than 50 million customers trust the firm’s credit card services.

Cons:

• The firm doesn’t have any branches or physical locations.

Who is the account best suited for?

• Comenity Direct offers the security and reliability similar to traditional banks.
• The firm’s best-in-class customer service may be worth settling for a lower APY.

The impact of COVID-19:

Like the other savings accounts on our list, the Fed’s reduction of interest rates in early 2020 placed downward pressure on Comenity Direct’s APY.

Pentagon Federal Premium Online Savings

APY:	0.55%
Min. Balance Required:	$5
Monthly Service Fee:	$0