Best High Interest & High-Yield Savings Accounts of 2020

If you’re looking to get a higher interest rate on your savings account, you’ll need a high-yield account. The interest rates offered by high-yield accounts is referred to as an annual percentage yield (APY) and the increase in earnings on these accounts is significant when compared to traditional savings accounts.

In fact, high-yield accounts typically offer an interest rate that is 20-25 times higher than the national average for traditional savings accounts. You can find high-yield accounts at both online and brick and mortar finance institutions, but it’s best to shop around to make sure you get the best type of account possible.  Below is a list of 10 of the best high-yield savings accounts of 2020.

Vio Bank High-Yield Online Savings Account  

APY: 0.83%, 

Monthly fee: none

Minimum ongoing balance: $0

Minimum initial deposit: $100

Checking accounts available: No

American Express High-Yield Savings Account

APY: 0.60%

Monthly fee: none

Minimum ongoing balance: none

Minimum initial deposit: none

Checking accounts available: No

Marcus by Goldman Sachs High-Yield Online Savings

APY: 0.60%

Monthly fee: none

Minimum ongoing balance: none

Minimum initial deposit: none (but accounts that are opened but not funded within 60 days will be closed).

Checking accounts available: No

Ally Bank Online Savings Account

APY: 0.80%

Monthly fee: none

Minimum ongoing balance: none

Minimum initial deposit: none

Checking accounts available: No

Synchrony Bank High-Yield Savings

APY: 0.75%

Monthly fee: none

Minimum ongoing balance: none

Minimum initial deposit: none

Checking accounts available: No

Varo Savings Account

APY: 0.81%

Monthly fee: none

Minimum ongoing balance: $0.01

Minimum initial deposit: any amount

Checking accounts available: yes

City Bank Accelerate Savings Account

APY: 0.90%

Monthly fee: $4.50/month unless you maintain a minimum balance of $500

Minimum ongoing balance: $0

Minimum initial deposit: $0

Checking accounts available: yes

Popular Direct Select Savings Account

APY: 0.75%

Monthly fee: none

Minimum ongoing balance: $0.01

Minimum initial deposit: $5,000

Checking accounts available: no

Chime High-Yield Savings Bank

APY: 1.00%

Monthly fee: None

Minimum ongoing balance: $0

Minimum initial deposit: Any amount

Checking accounts available: yes (and it comes with a complimentary Visa debit card)

Capital One Performance Savings Account

APY: 0.65%

Monthly fee: none

Minimum ongoing balance: none

Minimum initial deposit: none

Checking accounts available: yes

A final note

While well worth it, you should be aware that there are some disadvantages to high-yield accounts such as fluctuating interest rates, limitations on the yearly number of allowable withdrawals, and longer wait times for fund transfers. In addition, most banks that offer high-yield savings accounts do not have a physical location, although there are some that do, and the majority don’t have ATM networks.  Nonetheless, high-yield accounts are an excellent way to maximize the return on your savings.