Interest rates on savings accounts are dropping, so it’s crucial to find the best rate available. The national average rate is 0.39%, up from 0.06% three years ago. However, some accounts offer 4% APY or higher. SoFi currently offers the highest rate at 4% APY.
The key to earning more from a savings account lies in the annual percentage rate (APY) and compounding frequency. For example, a $1,000 deposit at 0.39% interest would yield $3.91 after a year, while a 4% APY account would earn $40.81 on the same deposit.
Depositing more money means earning more interest. With a $10,000 deposit in a 4% APY account, you could earn $408.08 in one year. The amount you can earn depends on the interest rate and your initial deposit. Make sure to compare rates to maximize your savings potential.
Read more at Yahoo Finance: Best high-yield savings interest rates today, December 27, 2025 (Earn up to 4% APY)