Summary: Highest savings interest rate is 4.44% APY, much higher than national average of 0.41%.
From Yahoo Finance: 2025-05-17 06:00:00
Savings interest rates are falling after the Federal Reserve cut its target rate three times in late 2024. The national average savings account rate is currently at 0.41%, up from just 0.06% three years ago. However, some of the best savings rates available today are as high as 4% APY and above.
The highest savings account rate available today is 4.44% APY, offered by Peak Bank with no minimum opening deposit required. The amount of interest you can earn from a savings account depends on the annual percentage rate (APY), which factors in the base interest rate and how often interest compounds.
For example, with $1,000 in a savings account at 0.41% interest with daily compounding, your balance would grow to $1,004.11 after one year. Choosing a high-yield savings account with 4% APY instead would result in a balance of $1,040.81 after one year, including $40.81 in interest.
The more you deposit in a high-yield savings account, the more you stand to earn. For instance, depositing $10,000 in a 4% APY account would yield a total balance of $10,408.08 after one year, with $408.08 in interest.
Read more at Yahoo Finance: Best high-yield savings interest rates today, May 17, 2025 (earn up to 4.44% APY)