As we all know, most people don't really shop around much when it comes to financial products. Even for people who do, it can be kind of confusing. Recently, I was helping a friend pick out a high-yield savings account (after they had made a whopping ~$10.00 after having a Wells Fargo savings account for a decade), and put together a list of what exactly is available on the market today. I figured that other people might find it useful. If you have anything to add, feel free, and I'll try to integrate it.
Highly Recommended
These accounts all have APYs over 2%--generally what one wants to be looking at nowadays--have virtually nonexistent requirements to open and earn interest, and have no hoops to jump through. All are also with well-known, established financial institutions, have generally average-to-superior customer service, and easy to use websites and/or apps.
| INSTITUTION | APY | NOTES |
|---|---|---|
| Alliant | 2.10% | $100+ balance to earn interest. Must join credit union, which can be done with a $5 or $10 donation to a charitable organization. |
| Ally | 2.20% | |
| American Express | 2.10% | |
| Barclays | 2.20% | |
| Discover | 2.10% | I have heard rumors that they may be cutting the APY on this account and "making up for it" with some kind of perk--cash back or something, IIRC--but nothing official. |
| FNBO Direct | 2.25% | |
| HSBC | 2.30% | |
| Marcus by Goldman Sachs | 2.25% | |
| Synchrony | 2.25% |
Look Good, But I Don't Know Enough to Recommend Fully
There are a few high-yield savings account that definitely look good on paper, but, because of a combination of things, primarily lack of information (and the fact that some, like Comenity Direct, haven't even been around for a full month), as well as additional hoops to jump through, I cannot fully recommend at this time.
| INSTITUTION | APY | NOTES |
|---|---|---|
| Bank7 | 2.35% | $100+ deposit required to open. $100+ balance to earn interest. $15/month fee if balance < $100. |
| Comenity Direct | 2.48% | $100+ deposit required to open. |
| Live Oak | 2.30% | |
| Salem Five Direct | 2.30% | $100+ deposit required to open. |
| TABbank | 2.40% | |
| Vio | 2.46% | $100+ deposit required to open. $5/month charge "after a year of inactivity." |
Worth Considering
In addition, there are a few other options out there that, based on your particular situation, may be worth considering. Many of these require large deposits to open, large balances to earn a high APY, or have some sort of gimmick (or, in the case of Bank5 Connect, have an APY that's so low that it isn't really worth it unless you have a checking account with them).
| INSTITUTION | APY | NOTES |
|---|---|---|
| Bank5 Connect | 2.05% | $100+ balance to earn interest. |
| CIBC | 2.39% | $1,000+ deposit required to open. |
| CIT | 2.40% | $100+ deposit required to open. Highest rate requires either a balance of $25,000+ or a monthly deposit of $100+; if neither requirement is met, the APY falls to 1.28%. |
| Citizens Access | 2.35% | $5,000+ deposit required to open. Highest rate requires a balance of $5,000+, otherwise it falls to 0.25%. |
| Digital Federal | 6.17% | Highest rate is on up to $1,000; anything above that has an APY of 0.25%. Must join credit union,which can be done with a $10 donation to a charitable organization. |
| Popular Direct | 2.36% | $5,000+ deposit required to open. $4/month fee if balance < $500. |
| PurePoint Financial | 2.35% | $10,000+ deposit required to open. Highest rate requires a balance of $10,000+, otherwise it falls to 0.25%. |
Conclusions
As one can see, there are a lot of different options out there when it comes to high-yield savings accounts. There are a few others that I'm aware of (Banesco USA, Investors eAccess, Rising Bank, UFB Direct, etc) that I can't really find anything about, the information I can find is inconsistent and contradictory, etc.
Regardless, there are plenty of options out there--there's no reason to earn under 2% APY on a savings account.
Submitted May 05, 2019 at 04:53AM by MericaMericaMerica http://bit.ly/2VcXBaN
