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- High-yield savings accounts have hit a new record high rate: 5.50% APY.
- The highest rate is offered by banking app Milli.
- Other online institutions have high-yield savings accounts paying over 5% APY, too.
High-yield savings accounts are now paying up to 5.50% APY.
Milli, a division of First National Bank of Omaha, is offering 5.50% APY on its Savings Account. There is no minimum balance requirement to earn interest. You just need to download the Milli app.
Milli is a mobile-only platform with a Spending and Savings Account. The Spending Account comes with a debit card and is primarily for managing your expenses. This account doesn't pay interest, though.
Meanwhile, the Savings Account pays a high rate and has a savings tool called Jars. Jars help you save and track up to five specific financial goals, and you'll earn 5.50% for the balance in each Jar.
Milli Spending and Savings Accounts are provided by First National Bank of Omaha, an FDIC-insured institution. Up to $250,000 for an individual account.
Other financial institutions offering over 5% APY
Savings interest rates have gone up over the last few years as a result of decisions made by the Federal Reserve. The Federal Reserve has raised interest rates several times in 2022 and 2023 to combat inflation.
The average savings account pays 0.46% APY, according to the FDIC. However, many online banks pay significantly more than this. While Milli pays the highest savings rate right now, other banks aren't far behind:
- Customers Bank, powered by Raisin: 5.32% APY
- UFB Direct Secure Savings Account: 5.25% APY
If you're looking for a savings account from a popular online bank, you can still find savings rates that are well above the national average. Here are some institutions that offer competitive rates:
- CIT Bank Platinum Savings: 5.05% APY (with $5,000 minimum balance)
- Betterment Savings Account: 4.75% APY — new users can earn 5.50% (variable) APY for the first three months with a qualifying deposit
Note that there is, in fact, a higher rate available than the 5.50% APY offered by Milli: Digital Federal Credit Union is offering 6.17% APY on $1,000 and 0.15% APY on the remaining balance. However, terms are restrictive. You must become a member of the credit union to open this account, and membership is limited. You also only earn the 6.17% APY on your first $1,000, unlike Milli or similar banks that will pay the high rate on your entire balance.
When choosing a high-yield savings account, you'll want to pay attention to more than the interest rate. Minimum balance requirements, monthly service fees, and accessibility to the account may also impact your decision. Furthermore, make sure that your account is federally insured by the FDIC or NCUA. These federal agencies protect up $250,000 per depositor for bank accounts.
Milli Savings Account Start saving Milli, FDIC Insured Account
Insider’s Rating A five pointed star A five pointed star A five pointed star A five pointed star A five pointed star Icon of check mark inside a promo stamp It indicates a confirmed selection. PerksFeesno monthly service fee
Annual Percentage Yield (APY)5.50%
Minimum Deposit Amount$0
Pros- Check mark icon A check mark. It indicates a confirmation of your intended interaction. High APY on Savings Account and Jar Accounts
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No minimum opening deposit
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No monthly service fees
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No overdraft fees
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No ATM fees
- con icon Two crossed lines that form an 'X'. Does not reimburse out-of-network ATM Fees
- con icon Two crossed lines that form an 'X'. Does not accept cash deposits
- con icon Two crossed lines that form an 'X'. No weekend customer support
Milli is a solid choice if you're comfortable with a mobile-only banking experience and want to keep your checking and savings all in one place. Milli offers a Spending and Savings Account.
Milli Savings Account Product Details- Mobile-only banking platform and division of National Bank of Omaha
- Earn 5.50% APY on Savings Account and Jar Account
- Access to over 55,000 ATMs through AllPoint network
- Interest compounded daily and credited monthly
- FDIC insured
Insider’s Rating A five pointed star A five pointed star A five pointed star A five pointed star A five pointed star Icon of check mark inside a promo stamp It indicates a confirmed selection. PerksFeesno monthly service fee
Annual Percentage Yield (APY)5.32%
Minimum Deposit Amount$1
Pros- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Accounts pay high interest rates
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No fees
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Open accounts you might not be able access outside of Raisin
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Minimum opening requirements are often lower than if you opened an account directly with a bank
- con icon Two crossed lines that form an 'X'. No checking accounts or business accounts
- con icon Two crossed lines that form an 'X'. Only way to deposit or withdraw money is by connecting to an external account
- con icon Two crossed lines that form an 'X'. Can’t connect to third-party budgeting apps
Raisin is a great option if your ultimate goal is to earn the best savings account, money market account, and CD rates out there. It's a marketplace that connects you with accounts you might not be able to access otherwise, including ones at community-driven and minority-owned institutions.
Customers Bank High Yield Savings Account, powered by Raisin Product Details- Raisin is an online marketplace that partners with banks to offer competitive rates
- Offers high-yield savings accounts, money market accounts, CDs, and no-penalty CDs
- Filter your search by institution, or by type of institution (e.g., minority-led, family-owned, or supports small business)
- Interest is compounded daily and paid monthly
- Deposits are federally insured by the FDIC or NCUA
Insider’s Rating A five pointed star A five pointed star A five pointed star A five pointed star A five pointed star Icon of check mark inside a promo stamp It indicates a confirmed selection. Perks Info icon The Annual Percentage Yield (APY) is accurate as of 11/16/2023. The interest rate and corresponding APY for savings is variable and is set at UFB's discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.Feesno monthly service fee
Annual Percentage Yield (APY)5.25% (as of 11/16/23)
Minimum Deposit Amount$0
Pros- Check mark icon A check mark. It indicates a confirmation of your intended interaction. High interest rate
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No monthly service fee
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No minimum opening deposit
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. ATM card included
- con icon Two crossed lines that form an 'X'. May not be easy to deposit cash (Only cash accepting ATMs)
UFB Direct is an excellent option if you're searching for a competitive interest rate on a money market account or savings account. If you'd also like a checking account or CD, you might consider other institutions because UFB Direct doesn't have these accounts.
UFB Secure Savings Product Details- Earn up to 5.25% APY*.
- No monthly maintenance fees.
- No minimum deposit required to open an account.
- Access your funds 24/7 with easy-to-use digital banking tools.
- Enjoy peace of mind with FDIC insurance up to the maximum allowance limit ® Certificate #35546.
- * The Annual Percentage Yield (APY) is accurate as of 11/16/2023. The interest rate and corresponding APY for savings is variable and is set at UFB's discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.
Insider’s Rating A five pointed star A five pointed star A five pointed star A five pointed star A five pointed star Icon of check mark inside a promo stamp It indicates a confirmed selection. Perks Info icon Rates as of 12/04/2023. CIT Bank is a division of First-Citizens Bank & Trust Company, a member of the Federal Deposit Insurance Corporation (FDIC), which means your deposit accounts are insured up to $250,000 per depositor, for each account ownership category. Deposits held under the names First Citizens Bank & Trust Company and CIT Bank are not separately insured but must be combined for purposes of determining whether a depositor has exceeded the federal insurance deposit limit.Fees$0 monthly service fees
Annual Percentage Yield (APY) Info icon 0.25% APY on balances under $5,0005.05% (with $5,000 minimum balance)
Minimum Deposit Amount$100
Pros- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Competitive APY
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No monthly service fees
- con icon Two crossed lines that form an 'X'. $100 minimum opening deposit
The CIT Bank Platinum Savings and CIT Bank Savings Connect Account pay great interest rates that are on par with what best high-yield savings accounts offer right now. The CIT Bank Savings Builder Account and CIT Bank Money Market Account pay above-average rates, but they aren't nearly as competitive.
CIT Bank Platinum Savings Product Details- No monthly fees
- $100 to open an account, however must maintain $5,000 daily balance to receive top tier
- Member FDIC
Insider’s Rating A five pointed star A five pointed star A five pointed star A five pointed star A five pointed star Icon of check mark inside a promo stamp It indicates a confirmed selection. PerksFeesno monthly service fee
Annual Percentage Yield (APY)5.50% APY for new customers' first three months, then 4.75% APY
Minimum Deposit Amount$10
Pros- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Competitive APY
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. $10 minimum deposit
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No minimum balance requirements
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No monthly service fees
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. No transaction limits
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. FDIC insured for up to $4 million
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. Create savings goals
- Check mark icon A check mark. It indicates a confirmation of your intended interaction. The "two-way sweep" moves extra money from checking to cash reserve to help you save
- con icon Two crossed lines that form an 'X'. No physical branch locations
- con icon Two crossed lines that form an 'X'. Mobile check deposit is limited to certain customers
- con icon Two crossed lines that form an 'X'. You can only deposit up to $1,500 in paper checks per day
- con icon Two crossed lines that form an 'X'. No way to deposit cash
Betterment has strong checking and cash reserve accounts. However, Betterment won't be a good fit if you need to deposit cash, or need to deposit checks but don't qualify.
Betterment Cash Reserve Account Product Details- By linking to a Betterment Checking Account (Member FDIC), you can set up the "two-way sweep," which helps you save automatically, earn more interest, and set up overdraft protection
- You can use mobile check deposit if a) you've been a Betterment customer for at least 30 days, and b) you have received at least $500 in direct deposits in the last month
- Interest compounds daily, pays monthly
- FDIC insured through partner banks
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Betterment Cash Reserve Account New Customer Offer: Earn 5.50% APY when you open your first cash account with $10 deposit. Terms apply. A tooltip *Current promotional rate; annual percentage yield (variable) is 4.75% as of 7/31/23, plus a .75% boost available as a special offer with qualifying deposit. Terms apply; if the base APY increases or decreases, you'll get the .75% boost on the updated rate. Cash Reserve is only available to clients of Betterment LLC, which is not a bank, and cash transfers to program banks are conducted through clients’ brokerage accounts at Betterment Securities. **The national average savings account interest rate is reported by the FDIC (7/17/23) as the average annual percentage yield (APY) for savings accounts with deposits under $100,000. Start SavingWatch: A finance expert shares advice on whether you should save for retirement or pay off your student loans
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