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The best high-yield savings accounts pay well above the average savings account rate of 0.46% APY (Annual Percentage Yield). In fact, 5% savings accounts are now available at numerous financial institutions. This means a savings account paying 5% APY allows you to earn 5% on money kept in the account over the course of a year.
We’ve compiled a list of banks and credit unions where you can find savings accounts that pay at least 5% APY.
Savings accounts with at least 5% interest
The following list includes 26 online banks, credit unions, and investing platforms with savings accounts offering at least 5% interest.
Most of these accounts can be opened from anywhere in the US. However, there are a few exceptions.
Digital FCU is limited to people who live in select areas of Massachusetts, live in a New Hampshire participating condominium community, work for a Select Employer Group, or belong to a local participating organization. Ivy Bank is available to anyone in the United States except California residents.
BluPeak Credit Union is offering the Preferred Savings Account to new customers only, and you must meet certain membership requirements. You may qualify to join if you become a member of KBPS; live in an eligible area in California; work for the State of California; or are a student or alum of the University of San Diego or a school in the California State University or University of California systems.
All accounts listed are federally insured by the FDIC or NCUA for up to $250,000 per depositor. Federal insurance protects consumer’s insured deposits if a bank fails.
*M1 Plus Membership has a $10 monthly or $95 annual fee. This is the only savings account on the list with monthly fees.
What to look for in a 5% interest savings account
When comparing 5% interest savings accounts, think about which features you prioritize most. Consider the following factors to help determine the right option for you:
- Opening requirements: See how much money you need to open an account. If you’re looking at credit unions, check if you’re eligible for membership.
- Interest rate requirements: Some savings accounts have certain requirements to qualify for the highest interest rate, or have a tiered interest rate system where the rate will change for various account balances. Review the criteria for earning interest.
- Fees: Common fees for savings accounts include monthly bank maintenance fees, bank paper statement fees, and excess withdrawal fees. View the schedule of fees if available online, or call a bank to learn about fees.
- Online/mobile banking: Find out if the bank has mobile or online banking services. Also, review mobile app ratings in the Google Play or Apple Store.
- Additional features offered: Some savings accounts come with unique features, like ATM cards or savings goal features. If these matter to you, prioritize a savings account with these perks.
- Other banking options: If you’re considering opening other bank accounts with the same company, you might prefer an online bank or a credit union. Investing platforms typically do not offer many bank account options.
5% interest savings FAQs
Yes, you can get 5% or more on a savings account.
Multiple banks offer 5% on a savings account, such as Varo Bank and CIT Bank. Investing platforms like Betterment also have 5% savings accounts for new customers.
You can earn 5% or more with several savings accounts, including the Milli Savings Account, Betterment Cash Reserve, Newtek Bank High Yield Savings Account, and more. You can also earn above 5% with several accounts through Raisin, an online savings marketplace that sets you up with high rates from partner banks.
If you deposit $10,000 into a savings account paying 5% APY, you’d earn a little over $500 in interest after one year.
Products in this post: Customers Bank High Yield Savings Account, DCU Primary Savings Account, Betterment Cash Reserve Account, Milli Savings Account, Newtek Bank Personal High Yield Savings Account, UFB Secure Savings, , Popular Direct Savings, FNBO Direct Online Savings Account, Bank5 Connect Jumbo Savings Account, Primis Savings Account, CIT Bank Platinum Savings, TAB High-Yield Savings Account, Salem Five Direct eOne Savings, Bask Bank Interest Savings Account, Bread Savings High-Yield Savings Account, First Foundation Bank Online Savings Account, Laurel Road High Yield Savings®, M1 High Yield Savings Account, ONE account, Varo Savings Account, Valley Direct High Yield Savings Account, BrioDirect High-Yield Savings Account, BluPeak Credit Union Preferred Savings Account, Ivy Bank High-Yield Savings Account, EverBank Yield Pledge Online Savings, BMO Alto Online Savings Account, DCU Primary Savings Account, Betterment Cash Reserve Account, Wealthfront Cash Account, Upgrade Premier Savings
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