It's Not the End of 4% APYs Yet. Today's Savings Rates for Jan. 9, 2025

Rates for the best high-yield savings accounts are quietly falling from their record highs. Last year, APYs were well over 5%, but many banks now have APYs around 4%. Since savings rates are still favorable, you can reach your goal faster by earning interest on the money you're saving. 

Keeping money in a high-yield savings account for your short-term goals can be helpful. If you need to pull from your emergency fund, for instance, you can quickly transfer money.

APYs will likely continue to fall if the Federal Reserve continues its interest rate cuts this year, but you can still earn 10x more than the annual percentage yield that traditional savings accounts offer. And you'll have the same flexibility to access your money. Here's which banks offer the best rates, plus which factors to weigh when choosing the best account for you. 

Experts recommend comparing rates before opening a savings account to get the best APY possible. Enter your information below to get CNET's partners' best rate for your area.

Should you switch banks to earn a higher savings rate?

Experts recommend comparing rates, offers and fees once a year. If you have a traditional savings account with a 0.01% APY, it's likely worth switching to a high-yield savings account to help grow your money faster. 

But it may not be worth the effort to move your money every time you see a rate slightly higher than your current account.

"If you have a HYSA with a bank or credit union that has worked well for you and don't have much of a reason to switch besides maybe an extra 0.1% increase in HYSA with another bank, it isn't worth it to switch," said Danielle Flores, a CNET Money Expert Review Board member and founder of I Like to Dabble.

For example, let's say you make a one-time deposit of $500 into a HYSA with a 4.2% APY. If the rate stays the same for the next three months, you'll earn $5.17 in interest. If you find a bank with a 4.4% APY and make the same deposit, you'll earn $5.41 -- a 24-cent difference.

What to consider before opening a high-yield savings account

Here are some things to look for when opening a HYSA.

• Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, typically between $25 and $100. Others don't require anything.
• ATM access: Not every bank offers cash deposits and withdrawals. If you need regular ATM access, check to see if your bank offers ATM fee reimbursements or a wide range of in-network ATMs, said Lanesha Mohip, founder of the Polished CFO and another CNET Expert Review Board member.
• Fees: Look out for fees for monthly maintenance, withdrawals and paper statements, said Mohip. The charges can eat into your balance.
• Accessibility: If you prefer in-person assistance, look for a bank with physical branches. If you're comfortable managing your money digitally, consider an online bank.
• Withdrawal limits: Some banks charge an excess withdrawal fee if you make more than six monthly withdrawals. If you may need to make more, consider a bank without this limit.
• Federal deposit insurance: Make sure your bank or credit union is insured with the Federal Deposit Insurance Corporation or the National Credit Union Administration, respectively. This way, your money is protected up to $250,000 per account holder, per category, if the bank fails.
• Customer service: Choose a bank that's responsive and makes it easy to get help with your account if you need it. Read online customer reviews and contact the bank's customer service to get a feel for working with the bank.

Methodology

CNET reviewed savings accounts at more than 50 traditional and online banks, credit unions and financial institutions with nationwide services. Each account received a score between one (lowest) and five (highest). The savings accounts listed here are all insured up to $250,000 per person, per account category, per institution, by the FDIC or NCUA.

CNET evaluates the best savings accounts using a set of established criteria that compares annual percentage yields, monthly fees, minimum deposits or balances and access to physical branches. None of the banks on our list charge monthly maintenance fees. An account will rank higher for offering any of the following perks:

• Account bonuses
• Automated savings features
• Wealth management consulting/coaching services
• Cash deposits
• Extensive ATM networks and/or ATM rebates for out-of-network ATM use

A savings account may be rated lower if it doesn't have an easy-to-navigate website or if it doesn't offer helpful features like an ATM card. Accounts that impose restrictive residency requirements or fees for exceeding monthly transaction limits may also be rated lower.

*APYs as of Jan. 9, 2025, based on the banks we track at CNET. Weekly percentage increase/decrease from Dec. 30, 2024, to Jan. 6, 2025.

**Varo offers 5% APY only on balances of less than $5,000.

More savings advice 

• Going on a Financial Diet? Try One of These Savings Challenges
• My Clients Love My 5% Cash-Back Savings Challenge. Here's How It Works
• You've Worked Hard for Your Savings. Don't Make These 8 Costly Mistakes