From Yahoo Finance: 2025-04-18 06:00:00

The Federal Reserve has cut the federal funds rate three times in late 2024, causing deposit interest rates to fall. Despite this, some high-yield savings accounts are offering over 4% APY. The national average for savings accounts is just 0.41%, but top accounts provide more than 10 times that rate. Vio Bank is currently offering the highest rate of 4.41% APY with no minimum deposit required.

Online banks are known for offering high deposit rates and low fees due to reduced overhead costs. Many of the best high-yield savings accounts have zero monthly fees and no minimum deposit requirements. Credit unions also offer competitive rates, but some have membership requirements. Savings accounts are insured by the FDIC or NCUA up to $250,000.

While savings accounts are safe, they may not offer the same returns as market investments for long-term goals like retirement. Short-term goals like a down payment or emergency fund benefit from high-yield savings accounts. These accounts provide easy access to funds, unlike money market accounts or CDs which have withdrawal restrictions.



Read more at Yahoo Finance: Best savings interest rates today, April 18, 2025 (up to 4.41% APY return)