Written by Sophia Acevedo, CEPF; edited by Laura Grace Tarpley
2024-03-20T23:25:36Z
- Savings accounts with at least 5% interest
- Compare 5% savings accounts
- What to look for in a 5% interest savings account
- FAQs
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The best high-yield savings accounts pay well above the average savings account rate of 0.47% APY (Annual Percentage Yield). In fact, 5% savings accounts are now available at numerous financial institutions. This means a savings account paying 5% APYallows you to earn 5% on money kept in the account over the course of a year.
We've compiled a list of banks and credit unions where you can find savings accounts that pay at least 5% APY.
Savings accounts with at least 5% interest
The following list includes 26 online banks, credit unions, and investing platforms with savings accounts offering at least 5% interest. However, be mindful of specific opening requirements at select financial institutions.
Digital FCU is limited to people who live in select areas of Massachusetts, live in a New Hampshire participating condominium community, work for a Select Employer Group, or belong to a local participating organization. Ivy Bank is available to anyone in the United States except California residents.
All accounts listed are federally insured by the FDIC or NCUA for up to $250,000 per depositor. Federal insurance protects consumer's insured deposits if a bank fails.
| Savings Account | APY |
6.17% APY on up to $1,000; 0.15% APY on balances above $1,000 | |
5.50% APY for new customers' first three months, then 4.75% APY | |
5.35% APY | |
My Banking Direct High Yield Savings Account | 5.35% APY |
5.30% APY on balances of $2,500 or more; 0.05% APY on balances under $2,500 | |
5.27% APY | |
5.26% APY | |
5.25% APY | |
5.25% APY | |
5.20% APY | |
| EverBank Performance Savings | 5.15% APY |
5.15% APY | |
5.10% APY | |
5.10% APY | |
5.10% APY | |
5.07% APY | |
5.05% APY on balances of $5,000 or more; 0.25% APY on balances under $5,000 | |
5.01% APY | |
5.00%APY | |
5.00% APY | |
M1 High Yield Savings Account | 5.00% APY for M1 Plus members; 1.50% APY for M1 users who do not have an M1 Plus membership* |
5.00% APY on savings balances up to $250,000 when you receive $500 per month in eligible direct deposits or have a daily balance totaling $5,000 or more | |
5.00% APY on balances up to $5,000 if you receive direct deposits totaling $1,000 per month and maintain a positive account balance; 3.00% APY on the remaining balance |
*M1 Plus Membership has a $10 monthly or $95 annual fee. This is the only savings account on the list with monthly fees.
What to look for in a 5% interest savings account
When comparing 5% interest savings accounts, think about which features you prioritize most. Consider the following factors to help determine the right option for you:
- Opening requirements:See how much money you need to open an account. If you're looking at credit unions, check if you're eligible for membership.
- Interest rate requirements: Some savings accounts have certain requirements to qualify for the highest interest rate, or have a tiered interest rate system where the rate will change for various account balances. Review the criteria for earning interest.
- Fees: Common fees for savings accounts include monthly bank maintenance fees, bank paper statement fees, and excess withdrawal fees. View the schedule of fees if available online, or call a bank to learn about fees.
- Online/mobile banking:Find out if the bank has mobile or online banking services. Also, review mobile app ratings in the Google Play or Apple Store.
- Additional features offered:Some savings accounts come with unique features, like ATM cards or savings goal features. If these matter to you, prioritize a savings account with these perks.
- Other banking options:If you're considering opening other bank accounts with the same company, you might prefer an online bank or a credit union. Investing platforms typically do not offer many bank account options.
5% interest savings FAQs
Can I get 5% APY on savings?
Yes, you can get 5% or more on a savings account.
What bank offers 5% interest on savings accounts?
Multiple banks offer 5% on a savings account, such as Varo Bank and CIT Bank. Investing platforms like Betterment and Wealthfront also have 5% savings accounts for new customers.
Where can I get 5% interest on my savings?
You can earn 5% or more with several savings accounts, including the Milli Savings Account, Betterment Cash Reserve, Newtek Bank High Yield Savings Account, and more. You can also earn above 5% with several accounts through Raisin, an online savings marketplace that sets you up with high rates from partner banks.
How much interest will $10,000 earn in a 5% savings account?
If you deposit $10,000 into a savings account paying 5% APY, you'd earn a little over $500 in interest after one year.
Sophia Acevedo, CEPF
Banking Editor
Sophia Acevedo is a banking editor at Business Insider. She edits and writes bank reviews, banking guides, and banking and savings articles for the Personal Finance Insider team. She is also a Certified Educator in Personal Finance (CEPF).Sophia joined Business Insider in July 2021. Sophia is an alumna of California State University Fullerton, where she studied journalism and minored in political science. She is based in Southern California.You can reach out to her on Twitter at @sophieacvdo or email sacevedo@businessinsider.com.Read more about how Personal Finance Insider chooses, rates, and covers financial products and services >>Below are links to some of her most popular stories:
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