- 1 Savings Vs. Money Market Accounts
- 2 Where To Get The Best Interest Rates?
- 3 Best Savings Accounts By Category
- 4 All The Best High Yield Savings Account Rates
- 5 Best Money Market Accounts By Category
- 6 Best Money Market Account Rates
Do you need to find out which bank has the best Savings Account rates? Or, how about which has the best Money Market interest rates? Do you actually need to find out what a Money Market Account in the first place?
I’ll go over all of these questions and help find the best interest rates available.
Our other top bank guides:
Savings Vs. Money Market Accounts
First things first, let’s go over what a Money Market account is (MMA for short). Most people have a pretty good idea of what a traditional Savings Account is.
The two are VERY similar, and most banks will offer both types of accounts. The table below will summarize the key similarities and differences.
|Both are simple and straightforward to open.||Money Market accounts typically have more Checking-like features, such as electronic funds transfers, checks, debit cards and ATM withdrawals.|
|Both will be FDIC insured, keeping your deposits safe.||Savings accounts generally only allow access to fund via electronic funds transfers, telephone withdrawals, or in-person withdrawals at a branch.|
|Both accounts will be limited on certain types of withdrawals per billing cycle (6 is the limit for these certain types by law).||As you’ll notice below, Money Market accounts often require higher minimum balances for earn the rate.|
While the minimum balance requirements may vary, most of the banks with the best rates keep the rates fairly competitive between their High Yield Savings and Money Market accounts. Also, it isn’t always the case that the Money Market account from the same bank will have better rates than its Savings account.
Aside from the interest rates, the other main deciding factor will be how you’ll need access to your funds (you’ll have more options with Money Market Accounts). A lot of people consider MMAs more a hybrid Checking/Savings account, with its limited Checking capabilities. Keep in mind, many banks limit you on the amount of check writing per month. Both a Savings and Money Market account are limited by the Federal Reserve on the total number of transactions a month.
Most consumers will choose a Money Market account for the flexibility of an emergency fund, and a Savings account for longer-term earnings. If all you’re looking for is an account to hold your savings and earn interest, simply choose the account with the best rates (assuming you can meet any minimum balance requirement).
Where To Get The Best Interest Rates?
I’ve searched through all the best rates from credit unions, local/national traditional banks, and online banks. Credit unions and traditional banks operate via brick-and-mortar locations and accumulate more overhead costs. They simply can not compete with the rates provided by online banks.
Online banking is trending up and more consumers are taking advantage of the benefits. Most people just haven’t learned about the higher rates, or are just more comfortable with big local banks. In terms of deposit security concerns, remember that your deposits are FDIC insured from all the banks listed on this page. Most of these online banks have been around for years or decades, and many are actually just the online division of a bigger, established banking group. Once you start looking at the rates provided by internet-only banks, you’ll find they’re better with all accounts – Checking, CDs, IRAs, etc.
Even when taking into account the rates provided by credit unions and traditional banks, all the best rates available nationwide are from online banks.
Best Savings Accounts By Category
Besides the interest rates, there may be other factors that can influence your choice of Savings account. I’ll discuss below how certain banks specialize in certain areas.
Best Rate: Northpointe Bank UltimateSavings
Northpointe Bank currently has one of the highest Savings account rates (1.12% APY) in the United States with their UltimateSavings account. The promotional rate is guaranteed for at least 12 months and applies to balances from $10,000, up to $500,000.
You can pair this great Savings account with their Checking account (the UltimateAccount), which also has a promotion where you can earn a $50 sign-up bonus, along with getting a 5.00% APY rate on balances up to $5,000. Both the Savings and Checking accounts from Northpointe Bank are available to everyone nationwide.
Best Features: Discover Online Savings
The Discover Online Savings account is popular for its high interest rate (0.95% APY) that applies to ALL balances (rather than rates that are tiered). The minimum opening balance is only $500, but realistically you’ll probably want to deposit much more to see favorable earnings. Discover is a reputable bank, well-known for its great customer service.
There are no Monthly Fees and no minimum balance requirements. Interest is also compounded Daily (more earnings) and paid Monthly. The mobile app is feature rich and let’s you deposit checks, transfer funds, and view your account activity using your smartphone.
Best Bonus: Chase SavingsSM
While the APY rate isn’t great, the Chase SavingsSM account usually has a great sign-up bonus that is very popular. Plus, they are the second biggest bank in the nation and offer a full range of services. There’s typically a $100+ offer, where you’ll have to deposit a sum of money and maintain that balance for a specified amount of time required for the bonus. Get all the details with my review here.
Other Savings Account Bonuses Worth Mentioning
CIT Bank is offering up to a $200 bonus for their online High Yield Savings account. You’ll earn a $95 bonus with a $25,000 deposit, a $125 bonus with a $50,000 deposit, and a $200 bonus with a $100,000 deposit. See all the details on the offer page.
You may also be interested in a $50 bonus from Amboy Direct Savings. Open a new Savings account and maintain a $3,000 average balance for 90 days for the offer. The minimum opening deposit is $100, and there’s no monthly fee or minimum balance requirement. This is also an online-only FDIC insured bank, but the APY rate isn’t one of the best.
*We keep an updated list of Savings Account bonuses here
Best High Yield Savings With ATM Access
Synchrony Bank consistently offers one of the highest rates with their Savings account, and it comes with the convenience of an ATM card. Get all the benefits on an online-only bank, with no monthly fee or minimum balance requirements. There’s also a rewards program where you can earn discounts on car rental, hotels, spas, etc.
All The Best High Yield Savings Account Rates
*Accounts below are all available nationwide
Best Money Market Accounts By Category
Simply use our list above to find the best rates, but I’ll go over a few Money Market accounts that stand out in certain particular areas.
Best For High Balances: BBVA Compass
Some Money Market accounts have maximum account limits for earning the highest APY rate. The one from BBVA Compass is a good fit if you’re planning to maintain a very high balance. You can earn their highest interest rate with balances from $10,000, up to $5 million, with their BBVA Compass ClearChoice MMA. Be sure that you can maintain a minimum $10,000 balance to waive the Monthly Fee. You can also set up a recurring $25 monthly transfer from a BBVA Compass Checking account to waive the fee also.
Best Bonus Rate: EverBank
The Money Market account from EverBank may be exactly what you’re looking for if you’re only planning to put some money away up to a year. With the 1.11% introductory APY rate, it sits on top of the list for rates. After the one year intro period, other accounts are going to be a better option for you. You can earn the bonus rate for balances up to $250,000. To take advantage of 100% ATM fee reimbursements from out-of-network ATMs nationwide, be sure to keep a minimum $5,000 balance.
Lowest Minimum Deposit Required: Ally Bank
Most Money Market Accounts with the best interest rates require a minimum opening deposit. Ally Bank doesn’t require a minimum deposit and it still earns a respectable 0.85% APY. There are no monthly service fees, and you’ll get unlimited deposits and ATM withdrawals with the debit card.
Best Money Market Account Rates
*Accounts below are all available nationwide
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