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New York Savings Rates

If you have your savings dollars in a big bank or a bank with low savings rates, then you are losing money. We've found FDIC insured banks that will pay you more. Take a few minutes to explore the options below and see how you can boost your savings by more than 6X the national average rate. There is competition for your money. Take advantage of it!

NY - May 24, 2016

Savings Account National Average Rate: 0.12% ?

BANKS APY Vs. Nat'l Av. MIN MILES ?
Capital One, National Association 1.10% 9.09x $10,001 -
Evans Bank, National Association 1.01% 8.35x $10,000 -
NorthEast Community Bank 1.00% 8.26x $5,000 -
MERCANTIL COMMERCEBANK, NATIONAL ASSOCIATION 0.90% 7.44x $25,000 -
Spring Bank 0.85% 7.06x $1,000 -
MERCANTIL COMMERCEBANK, NATIONAL ASSOCIATION 0.85% 7.02x $10,000 -
Spring Bank 0.85% 7.02x $1 -
First Central Savings Bank 0.80% 6.61x $25,000 -
Massena Savings and Loan 0.76% 6.28x $25,001 -
Apple Bank for Savings 0.75% 6.20x $25,000 -
The Westchester Bank 0.75% 6.20x $1,000 -
Spring Bank 0.75% 6.20x $25,000 -
The North Country Savings Bank 0.60% 4.96x $25,000 -
First Central Savings Bank 0.60% 4.96x $10,000 -
Greater Hudson Bank 0.60% 4.96x $1 -
Amerasia Bank 0.51% 4.21x $25,000 -
Capital One, National Association 0.50% 4.13x $1,000,001 -
Hamlin Bank and Trust Company 0.50% 4.13x $25 -
MERCANTIL COMMERCEBANK, NATIONAL ASSOCIATION 0.50% 4.13x $50 -
Customers Bank 0.50% 4.13x $10,000 -
Indus American Bank 0.50% 4.13x $5,000 -
The North Country Savings Bank 0.45% 3.72x $10,000 -
Victory State Bank 0.45% 3.72x $25,001 -
NewBank 0.45% 3.72x $25,000 -
Emigrant Bank 0.40% 3.31x $100 -
Bank of Utica 0.40% 3.31x $250 -
BNB Hana Bank, National Association 0.40% 3.31x $2,500 -
NorthEast Community Bank 0.40% 3.31x $1 -
Carver Federal Savings Bank 0.40% 3.31x $10,000 -
TrustCo Bank 0.40% 3.31x $15,000 -
Customers Bank 0.40% 3.31x $50 -
Alma Bank 0.40% 3.31x $100 -
Savoy Bank 0.40% 3.31x $25 -
Bank of Utica 0.35% 2.89x $1,000 -
The Bank of Greene County 0.35% 2.89x $25,000 -
Empire State Bank 0.35% 2.89x $25,000 -
Alma Bank 0.35% 2.89x $25,000 -
The Delaware National Bank of Delhi 0.30% 2.48x $25,000 -
The Upstate National Bank 0.30% 2.48x $10,000 -
The Citizens National Bank of Hammond 0.30% 2.48x $50 -
Ridgewood Savings Bank 0.30% 2.48x $25,000 -
Apple Bank for Savings 0.30% 2.48x $25,000 -
Eastbank, National Association 0.30% 2.48x $10,000 -
BNB Hana Bank, National Association 0.30% 2.48x $25,000 -
Amerasia Bank 0.30% 2.48x $200 -
Medina Savings and Loan Association 0.30% 2.48x $2,500 -
Gouverneur Savings and Loan Association 0.30% 2.48x $10,001 -
Catskill Hudson Bank 0.30% 2.48x $25,000 -
ConnectOne Bank 0.30% 2.48x $2,501 -
NewBank 0.30% 2.48x $300 -
Alma Bank 0.30% 2.48x $10,000 -
Amerasia Bank 0.26% 2.15x $1,000 -
Wallkill Valley Federal Savings and Loan Association 0.26% 2.15x $25,000 -
The Delaware National Bank of Delhi 0.25% 2.07x $10,000 -
First Citizens Community Bank 0.25% 2.07x $25,000 -
Citizens Bank of Cape Vincent 0.25% 2.07x $10 -
Cattaraugus County Bank 0.25% 2.07x $2,500 -
The Upstate National Bank 0.25% 2.07x $1 -
Watertown Savings Bank 0.25% 2.07x $10 -
Apple Bank for Savings 0.25% 2.07x $10,000 -
Berkshire Bank 0.25% 2.07x $50,000 -
Genesee Regional Bank 0.25% 2.07x $25,000 -
BNB Hana Bank, National Association 0.25% 2.07x $200 -
Country Bank 0.25% 2.07x $2,500 -
Northfield Bank 0.25% 2.07x $15,000 -
Kearny Bank 0.25% 2.07x $25,000 -
Carthage Federal Savings and Loan Association 0.25% 2.07x $10,000 -
NorthEast Community Bank 0.25% 2.07x $500 -
Seneca Federal Savings and Loan Association 0.25% 2.07x $25,000 -
Carver Federal Savings Bank 0.25% 2.07x $300 -
Massena Savings and Loan 0.25% 2.07x $1 -
Medina Savings and Loan Association 0.25% 2.07x $200 -
Gouverneur Savings and Loan Association 0.25% 2.07x $10 -
Ponce De Leon Federal Bank 0.25% 2.07x $25,000 -
First American International Bank 0.25% 2.07x $10,000 -
Quontic Bank 0.25% 2.07x $100 -
ConnectOne Bank 0.25% 2.07x $2,500 -
Indus American Bank 0.25% 2.07x $1 -
The Westchester Bank 0.25% 2.07x $100 -
Spring Bank 0.25% 2.07x $1 -
Wallkill Valley Federal Savings and Loan Association 0.21% 1.74x $10,000 -
Bank of the Ozarks 0.20% 1.65x $25,000 -
Chemung Canal Trust Company 0.20% 1.65x $25,000 -
Cayuga Lake National Bank 0.20% 1.65x $10 -
Community Bank, National Association 0.20% 1.65x $25,000 -
The Delaware National Bank of Delhi 0.20% 1.65x $5 -
Jeff Bank 0.20% 1.65x $25,000 -
The National Bank of Delaware County 0.20% 1.65x $2,500 -
Rondout Savings Bank 0.20% 1.65x $10 -
Watertown Savings Bank 0.20% 1.65x $100 -
Putnam County Savings Bank 0.20% 1.65x $2,501 -
Ridgewood Savings Bank 0.20% 1.65x $100 -
Sawyer Savings Bank 0.20% 1.65x $25,000 -
TD Bank, National Association 0.20% 1.65x $25,000 -
Cathay Bank 0.20% 1.65x $10,000 -
The Bank of Greene County 0.20% 1.65x $10 -
MERCANTIL COMMERCEBANK, NATIONAL ASSOCIATION 0.20% 1.65x $100 -
United Orient Bank 0.20% 1.65x $100 -
Eastbank, National Association 0.20% 1.65x $250 -
Country Bank 0.20% 1.65x $2,500 -
Astoria Bank 0.20% 1.65x $25,000 -
Carver Federal Savings Bank 0.20% 1.65x $10,000 -
TrustCo Bank 0.20% 1.65x $200 -
Catskill Hudson Bank 0.20% 1.65x $1 -
Victory State Bank 0.20% 1.65x $1 -
Banco Popular North America 0.20% 1.65x $1 -
BCB Community Bank 0.20% 1.65x $10,000 -
Empire State Bank 0.20% 1.65x $2,500 -
Indus American Bank 0.20% 1.65x $1 -
NewBank 0.20% 1.65x $2,000 -
Global Bank 0.20% 1.65x $1 -
Bank of the Ozarks 0.15% 1.24x $10,000 -
Amalgamated Bank 0.15% 1.24x $25,000 -
Five Star Bank 0.15% 1.24x $25,000 -
Glens Falls National Bank and Trust Company 0.15% 1.24x $25,000 -
Valley National Bank 0.15% 1.24x $25,000 -
Bank of Akron 0.15% 1.24x $25,000 -
Savannah Bank National Association 0.15% 1.24x $25 -
Rondout Savings Bank 0.15% 1.24x $2,500 -
Ulster Savings Bank 0.15% 1.24x $2,500 -
PathFinder Bank 0.15% 1.24x $25,000 -
Walden Savings Bank 0.15% 1.24x $2,500 -
First Niagara Bank, National Association 0.15% 1.24x $15,000 -
Generations Bank 0.15% 1.24x $25,000 -
Webster Bank, National Association 0.15% 1.24x $25,000 -
TD Bank, National Association 0.15% 1.24x $10,000 -
Salisbury Bank and Trust Company 0.15% 1.24x $25,000 -
Cathay Bank 0.15% 1.24x $10,000 -
CTBC Bank Corp. (USA) 0.15% 1.24x $10,000 -
SussexBank 0.15% 1.24x $25,000 -
Modern Bank, National Association 0.15% 1.24x $15,000 -
Berkshire Bank 0.15% 1.24x $25 -
Industrial and Commercial Bank of China (USA), National Association 0.15% 1.24x $25,000 -
Genesee Regional Bank 0.15% 1.24x $10,000 -
Saratoga National Bank and Trust 0.15% 1.24x $25,000 -
Northwest Bank 0.15% 1.24x $5,000 -
Hometown Bank of the Hudson Valley 0.15% 1.24x $25,000 -
Northfield Bank 0.15% 1.24x $10,000 -
Kearny Bank 0.15% 1.24x $100 -
Wallkill Valley Federal Savings and Loan Association 0.15% 1.24x $10 -
Seneca Federal Savings and Loan Association 0.15% 1.24x $2,500 -
Fairport Savings Bank 0.15% 1.24x $25,000 -
Carver Federal Savings Bank 0.15% 1.24x $1 -
Geddes Federal Savings and Loan Association 0.15% 1.24x $1,000 -
Gouverneur Savings and Loan Association 0.15% 1.24x $2,501 -
Ponce De Leon Federal Bank 0.15% 1.24x $10,000 -
TrustCo Bank 0.15% 1.24x $15,000 -
Gibraltar Private Bank & Trust Co. 0.15% 1.24x $1 -
Abacus Federal Savings Bank 0.15% 1.24x $500 -
Catskill Hudson Bank 0.15% 1.24x $100 -
Customers Bank 0.15% 1.24x $50 -
Victory State Bank 0.15% 1.24x $2,501 -
Banco Popular North America 0.15% 1.24x $25,000 -
Empire State Bank 0.15% 1.24x $2,500 -
ConnectOne Bank 0.15% 1.24x $1 -
Alma Bank 0.15% 1.24x $1,000 -
USNY Bank 0.15% 1.24x $1 -
Hometown Bank of the Hudson Valley 0.12% 0.99x $250 -
Bank of the Ozarks 0.10% 0.83x $100 -
Chemung Canal Trust Company 0.10% 0.83x $25,000 -
Bank of Millbrook 0.10% 0.83x $5,000 -
Amalgamated Bank 0.10% 0.83x $1 -
Five Star Bank 0.10% 0.83x $10,000 -
The Adirondack Trust Company 0.10% 0.83x $1 -
Capital One, National Association 0.10% 0.83x $1 -
Ballston Spa National Bank 0.10% 0.83x $1 -
The First National Bank of Dryden 0.10% 0.83x $10,000 -
Glens Falls National Bank and Trust Company 0.10% 0.83x $10,000 -
The First National Bank of Groton 0.10% 0.83x $1 -
Jeff Bank 0.10% 0.83x $1 -
The Lyons National Bank 0.10% 0.83x $100 -
Citibank, National Association 0.10% 0.83x $1 -
NBT Bank, National Association 0.10% 0.83x $5,000 -
The Suffolk County National Bank of Riverhead 0.10% 0.83x $100 -
The National Bank of Delaware County 0.10% 0.83x $1 -
Champlain National Bank 0.10% 0.83x $1 -
Peoples Security Bank and Trust Company 0.10% 0.83x $25,000 -
First Citizens Community Bank 0.10% 0.83x $10,000 -
Citizens & Northern Bank 0.10% 0.83x $200 -
Valley National Bank 0.10% 0.83x $5,000 -
Tioga State Bank 0.10% 0.83x $25,000 -
Alden State Bank 0.10% 0.83x $10,000 -
First National Bank of Scotia 0.10% 0.83x $25,000 -
Cattaraugus County Bank 0.10% 0.83x $2,500 -
Bank of Akron 0.10% 0.83x $10,000 -
Savannah Bank National Association 0.10% 0.83x $2,500 -
Ulster Savings Bank 0.10% 0.83x $1 -
PathFinder Bank 0.10% 0.83x $10,000 -
Walden Savings Bank 0.10% 0.83x $50 -
Putnam County Savings Bank 0.10% 0.83x $25 -
First Niagara Bank, National Association 0.10% 0.83x $1 -
New York Community Bank 0.10% 0.83x $1 -
Ridgewood Savings Bank 0.10% 0.83x $10,000 -
Rhinebeck Bank 0.10% 0.83x $10,000 -
Sawyer Savings Bank 0.10% 0.83x $1,000 -
Generations Bank 0.10% 0.83x $10,000 -
Apple Bank for Savings 0.10% 0.83x $1 -
Webster Bank, National Association 0.10% 0.83x $10,000 -
Salisbury Bank and Trust Company 0.10% 0.83x $1 -
Cathay Bank 0.10% 0.83x $1 -
CTBC Bank Corp. (USA) 0.10% 0.83x $1 -
Pioneer Savings Bank 0.10% 0.83x $2,500 -
City National Bank of New Jersey 0.10% 0.83x $25 -
The Bank of Greene County 0.10% 0.83x $1 -
SussexBank 0.10% 0.83x $10,000 -
Berkshire Bank 0.10% 0.83x $10 -
Industrial and Commercial Bank of China (USA), National Association 0.10% 0.83x $2,500 -
Genesee Regional Bank 0.10% 0.83x $25 -
BBCN Bank 0.10% 0.83x $1 -
Saratoga National Bank and Trust 0.10% 0.83x $10,000 -
The Berkshire Bank 0.10% 0.83x $300 -
Northwest Bank 0.10% 0.83x $1 -
Hometown Bank of the Hudson Valley 0.10% 0.83x $2,500 -
Adirondack Bank 0.10% 0.83x $25,000 -
Maple City Savings Bank, FSB 0.10% 0.83x $10 -
Northfield Bank 0.10% 0.83x $300 -
Kearny Bank 0.10% 0.83x $2,500 -
Wallkill Valley Federal Savings and Loan Association 0.10% 0.83x $2,500 -
Investors Bank 0.10% 0.83x $15,000 -
Carthage Federal Savings and Loan Association 0.10% 0.83x $10 -
Astoria Bank 0.10% 0.83x $10,000 -
Fairport Savings Bank 0.10% 0.83x $10,000 -
Sterling National Bank 0.10% 0.83x $2,500 -
Geddes Federal Savings and Loan Association 0.10% 0.83x $25 -
Ponce De Leon Federal Bank 0.10% 0.83x $500 -
East West Bank 0.10% 0.83x $10,000 -
TrustCo Bank 0.10% 0.83x $1 -
Banco Popular North America 0.10% 0.83x $10,000 -
First Central Savings Bank 0.10% 0.83x $250 -
BCB Community Bank 0.10% 0.83x $100 -
USNY Bank 0.10% 0.83x $1 -
Tompkins Trust Company 0.08% 0.66x $2,500 -
Tioga State Bank 0.08% 0.66x $25,000 -
Orange County Trust Company 0.08% 0.66x $2,500 -
Solvay Bank 0.08% 0.66x $1 -
Berkshire Bank 0.08% 0.66x $25 -
Community Bank, National Association 0.07% 0.58x $25,000 -
City National Bank 0.07% 0.58x $25,000 -
Berkshire Bank 0.06% 0.50x $10 -
Manufacturers and Traders Trust Company 0.05% 0.41x $25,000 -
Chemung Canal Trust Company 0.05% 0.41x $250 -
Tompkins Trust Company 0.05% 0.41x $25,000 -
Bank of Millbrook 0.05% 0.41x $150 -
Five Star Bank 0.05% 0.41x $1 -
Evans Bank, National Association 0.05% 0.41x $100 -
The Bridgehampton National Bank 0.05% 0.41x $1 -
Community Bank, National Association 0.05% 0.41x $1 -
The First National Bank of Dryden 0.05% 0.41x $50 -
Glens Falls National Bank and Trust Company 0.05% 0.41x $1,000 -
Jeff Bank 0.05% 0.41x $2,500 -
NBT Bank, National Association 0.05% 0.41x $25 -
Champlain National Bank 0.05% 0.41x $1 -
Peoples Security Bank and Trust Company 0.05% 0.41x $100 -
First Citizens Community Bank 0.05% 0.41x $1 -
Citizens & Northern Bank 0.05% 0.41x $1 -
Valley National Bank 0.05% 0.41x $1,000 -
Alden State Bank 0.05% 0.41x $100 -
First National Bank of Scotia 0.05% 0.41x $50 -
Orange County Trust Company 0.05% 0.41x $20,000 -
Bank of Akron 0.05% 0.41x $1 -
Fulton Savings Bank 0.05% 0.41x $100 -
PathFinder Bank 0.05% 0.41x $100 -
First Niagara Bank, National Association 0.05% 0.41x $500 -
New York Community Bank 0.05% 0.41x $200 -
Ridgewood Savings Bank 0.05% 0.41x $1 -
Rhinebeck Bank 0.05% 0.41x $1 -
Sawyer Savings Bank 0.05% 0.41x $2,500 -
Generations Bank 0.05% 0.41x $100 -
City National Bank 0.05% 0.41x $25,000 -
KeyBank National Association 0.05% 0.41x $2,500 -
Webster Bank, National Association 0.05% 0.41x $1 -
TD Bank, National Association 0.05% 0.41x $1 -
CTBC Bank Corp. (USA) 0.05% 0.41x $1,000 -
Pioneer Savings Bank 0.05% 0.41x $50 -
SussexBank 0.05% 0.41x $100 -
Modern Bank, National Association 0.05% 0.41x $5,000 -
Woodforest National Bank 0.05% 0.41x $1 -
Industrial and Commercial Bank of China (USA), National Association 0.05% 0.41x $1,000 -
BBCN Bank 0.05% 0.41x $1 -
Saratoga National Bank and Trust 0.05% 0.41x $100 -
Adirondack Bank 0.05% 0.41x $100 -
Northfield Bank 0.05% 0.41x $2,500 -
Investors Bank 0.05% 0.41x $1 -
Seneca Federal Savings and Loan Association 0.05% 0.41x $50 -
Astoria Bank 0.05% 0.41x $1 -
Fairport Savings Bank 0.05% 0.41x $50 -
Lake Shore Savings Bank 0.05% 0.41x $10 -
East West Bank 0.05% 0.41x $1 -
Chinatown Federal Savings Bank 0.05% 0.41x $10,000 -
Abacus Federal Savings Bank 0.05% 0.41x $500 -
New York Commercial Bank 0.05% 0.41x $200 -
First American International Bank 0.05% 0.41x $500 -
Greater Hudson Bank 0.05% 0.41x $25 -
Five Star Bank 0.04% 0.33x $300 -
Manufacturers and Traders Trust Company 0.03% 0.25x $2,500 -
Tompkins Trust Company 0.03% 0.25x $2,500 -
Bank of America, National Association 0.03% 0.25x $1 -
Wells Fargo Bank, National Association 0.03% 0.25x $1 -
The Canandaigua National Bank and Trust Company 0.03% 0.25x $1 -
Community Bank, National Association 0.03% 0.25x $1,000 -
Mahopac Bank 0.03% 0.25x $2,500 -
NBT Bank, National Association 0.03% 0.25x $1,000 -
Valley National Bank 0.03% 0.25x $100 -
Tioga State Bank 0.03% 0.25x $250 -
Orange County Trust Company 0.03% 0.25x $2,500 -
Solvay Bank 0.03% 0.25x $1 -
Elmira Savings Bank 0.03% 0.25x $200 -
New York Community Bank 0.03% 0.25x $5,000 -
Rhinebeck Bank 0.03% 0.25x $1 -
City National Bank 0.03% 0.25x $1 -
Lake Shore Savings Bank 0.03% 0.25x $2,500 -
Chinatown Federal Savings Bank 0.03% 0.25x $100 -
New York Commercial Bank 0.03% 0.25x $5,000 -
Manufacturers and Traders Trust Company 0.02% 0.17x $1 -
Steuben Trust Company 0.02% 0.17x $1 -
New York Community Bank 0.02% 0.17x $2,500 -
KeyBank National Association 0.02% 0.17x $2,500 -
Webster Bank, National Association 0.02% 0.17x $1 -
People's United Bank, National Association 0.02% 0.17x $250 -
Gibraltar Private Bank & Trust Co. 0.02% 0.17x $10,000 -
New York Commercial Bank 0.02% 0.17x $2,500 -
JPMorgan Chase Bank, National Association 0.01% 0.08x $1 -
Bank of America, National Association 0.01% 0.08x $1 -
Wells Fargo Bank, National Association 0.01% 0.08x $2,500 -
Citibank, National Association 0.01% 0.08x $1 -
Steuben Trust Company 0.01% 0.08x $200 -
First Niagara Bank, National Association 0.01% 0.08x $200 -
City National Bank 0.01% 0.08x $500 -
Sterling National Bank 0.01% 0.08x $500 -
Patriot National Bank 0.01% 0.08x $1 -
Banco Popular North America 0.01% 0.08x $1 -
HSBC Bank USA, National Association 0.01% 0.08x $1 -
Citizens Bank, National Association 0.01% 0.08x $2,500 -


BestCashCow strives to maintain the most accurate rates. If you find a rate that is not accurate, please let us know by commenting below so that we can update it. Thank you for your help.

Local Savings Rates

Savings accounts offer depositors flexibility along with the stability of FDIC insurance (when deposit amounts are within FDIC limits). Savings accounts are a good place for money that is needed in the next 6-18 months and that the depositor wants to keep safe. Individuals often use savings accounts for a home downpayment, a vacation, a wedding, a car, an emergency fund, or other near-term expenditures.

While online savings account have grown in popularity over the past ten years, some consumers prefer opening an account in a branch and having a personal relationship with the people who safeguard their money. Physical branches also provide an easy way to get cash instantly, to deposit checks and access to notaries and coffee and donuts.

You will find a map with all banks that are close to you here.

Advantages:

· Higher interest rate than a checking account, usually.

· Personal service and interaction. Unlike an online account you are building a relationship with your banker by opening it in a branch.

· Online access. Often, depending on the size of the bank, good online banking functionality.

· Liquidity. Depositors can withdraw their money at any time.

Disadvantages:

· A variable interest rate. Rates can change at any time. In a falling rate environment, this is a negative. In a rising rate environment, this is a positive.

· A lower rate than an online bank. Branches are expensive and non-online banks often can't afford to pay as much interest as an online bank.

BestCashCow strongly recommends that when depositing money, you stay within FDIC insured limits. If you are considering depositing over $250,000 at a single bank across products (share certificates, time deposits, etc.) or across types of ownership (individual, joint, etc.) you should visit the FDIC's website to determine your coverage limits based on your circumstances.

  • george koshefsky

    April 21, 2015

    Where is the list of the worst online banks to bank with or the States to avoid

  • ctyank January 19, 2015

    January 19, 2015

    Liberty Bank...Hamden, CT...new branch opening...special savings rate, 1.50% up to $100,000.00 through 2016...do not beleive it is available to om-line customer(s)...checking account linked, free...

  • Sol @ Travis

    September 29, 2013

    @ Travis

    In many cases we do provide this information. For example, the Belmont Savings Bank rate you list above comes with a clear disclaimer if you click the Learn more button. We're always trying to improve though and will certainly continue to gather additional information. Thanks for your comment.

  • Travis MacDonald

    September 29, 2013

    I find the numbers decieving. Some of your banks listed with the highest APR have many restrictions and requirements. I feel that these should be listed on your site in the "details" section to avoid any "bait-and-switch" claims. For instance, Belmont Savings Bank in Belmont, MA is listed as having a 1.00% APR, but the savings account requires a companion checking account with a daily average balance of 250,000. Another example is Salen Five cents Bank under the online banks. The account listed is not available on their website. When I inquired about it, they told me that particular savings product was reserved as an add-on for accounts with daily balances in excess of $10,000. It seems alot of research went into the details pages in terms of company financials and whatnot. Seems like a little more research could be done on the savings and checking products themselves.

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Add Your Comment

 

Why do savings rates vary so much?


Even though rates are at levels that are historically very low, there is competition for your money. Like any active marketplace, there are buyers and sellers of goods and services at different prices.

Online banks offer higher savings and CD rates because they have lower expenses from not having to maintain brick-and-mortar locations, but you should also check rates at local banks and credit unions using the tabs above.

What is the difference between a savings account and a money market account?


The differences between a savings account and a money market account are largely arcane. Some money market accounts offer more ways access deposits by issuing checks and debit cards, but prudent consumers will compare the two interchangeably, focusing primarily on rates and service among FDIC-insured banks (or NCUA-insured, for credit unions). Consumers who maximize their use of online savings and money market accounts access these accounts through ACH transfers that are easily set up on the online bank’s website so the additional ways to access deposits that money market accounts offer are rarely valuable.

What does annual percentage yield (APY) mean?


Savings rates are displayed in terms of APY to indicate the effective annual-interest return, including the compounding of interest, of the course of a single year. $100,000 deposited in a savings or CD account with a 1.20% APY will earn $1,200 in the course of the year, but monthly interest in the first few months may be less than $100 a month (this also depends on the number of days in the month). Hence, the APY rate is ordinarily a couple of basis points above the real interest rates. Unlike with a CD, your actual APY in a savings may vary if the rate changes.

How do I choose the right savings account and should I consider CDs?


Begin your search with the table here on BestCashCow.com that you have found. In addition to checking online savings rates, you should also check local bank rates and local credit union rates. If you are unlikely to require access to your cash for some time, you may also consider certificates of deposit (CDs). While CDs have penalties for early withdrawal that may even eat into your principal, the rates on 2, 3, 4 and 5 year CDs are ordinarily significantly higher than savings rates. Several other sections and articles on BestCashCow can also help you to identify your proper cash allocation between savings and CDs. Access these below. You should also familiarize yourself with our Savings Booster Calculator in order to understand the importance of compounding interest at higher rates on your savings over time.