4 Ways to Earn More Interest On Your Savings

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You can take several steps to increase your savings, and depending on your situation, you might be able to reduce your spending and expenses. You could pick up a side hustle or ask your employer for a raise. But there's another financial strategy people sometimes overlook when it comes to potential savings growth. Many people focus on increasing the money they put into savings but forget to pay attention to what happens after they deposit that cash. With a little extra effort, you might be able to grow your savings on both sides of the equation—here are four tips on how to earn the highest interest on your savings account. 

1. Comparison Shop

When you deposit cash into a savings account or other type of deposit account with a bank (e.g., a certificate of deposit, money market account or checking account), the bank may loan your money to other borrowers. In exchange, the bank will typically pay you interest.  

The interest a bank pays you on the money you have in savings (or any other type of deposit account) is called the annual percentage yield—aka the APY. Typically, the national average APY lies well below 1.00%, largely due to low rates offered by traditional, brick-and-mortar banks. However, in recent years, online banks have made a splash by offering rates many times higher than the national average.

Consider a few of the top current rates below:

Recommended High-Yield Savings Accounts

Bank Account	APY	Features	Learn More
BrioDirect High-Yield Savings Account Open Account	4.85% More Info *Annual Percentage Yield (APY) is variable and is accurate as of 11/15/2024. Rate is subject to certain terms and conditions. You must deposit at least $5,000 to open your account and maintain $25 to earn the disclosed APY. Rate and APY may change at any time. Fees may reduce earnings.	$5,000 min. deposit No monthly fee	Open Account
Axos ONE® Savings and Checking Bundle Open Account	Up to 4.86% More Info Earn up to 4.86% APY on savings, and 0.51% APY on checking when you meet requirements.	No minimum deposit No monthly fee	Open Account
SoFi Checking and Savings Open Account Member FDIC Member FDIC	0.50% - 4.00% More Info SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either Direct Deposit or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi members with direct deposit are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of 12/3/24. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.	No minimum deposit No monthly fee	Open Account
CIT Bank Platinum Savings Account Open Account	4.55% More Info Earn 4.55% APY on balances over $5,000. Balances of less than $5,000 earn 0.25% APY. Annual Percentage Yield is accurate as of November 13, 2024. Interest rates for the Platinum Savings account are variable and subject to change at any time without notice.	$100 minimum deposit No monthly fee	Open Account

It's also worth pointing out that sometimes earning the highest interest possible means opening accounts at multiple banks. Although this approach might be slightly less convenient, it could pay off in higher earnings if you're willing to put in a little extra effort. You can also check out these tips on how to manage multiple bank accounts and credit cards like a pro. 

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2. Look for Bank Bonuses

Bank account bonuses for new customers aren't the same as earning interest. Nonetheless, they have the potential to put more money into your account. Bank account bonuses can often be worth hundreds of dollars (sometimes more) when you sign up for a new deposit account and qualify for cash or points-based bonus.

Recommended Bank Bonuses

Bank Account	Intro Bonus	Minimum Deposit	Learn More
SoFi Checking and Savings Open Account Member FDIC Member FDIC	$50-$300Expires January 31, 2026 More Info New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/2026. Full terms at sofi.com/banking. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC. SoFi members with Direct Deposit can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the 4.00% APY for savings (including Vaults). Members without Direct Deposit will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 12/3/2024. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.	N/A	Open Account
U.S. Bank Smartly® Checking Account (Member FDIC) Open Account	Up to $450Expires December 30, 2024 More Info Earn up to $450 when you open a new U.S. Bank Smartly® Checking account and complete qualifying activities. Subject to certain terms and limitations. Offer valid through December 30, 2024. Member FDIC. Offer may not be available if you are an existing U.S. Bank customer or live outside of the U.S. Bank footprint.	$25	Open Account
Chase Total Checking® Account Open Account	$300Expires January 22, 2025 More Info New Chase checking customers enjoy a $300 bonus when you open a Chase Total Checking® account with qualifying activities	N/A	Open Account
Key Smart Checking® Open Account	$300Expires May 16, 2025 More Info Earn $300 after qualified activities until 05.16.25 with the no-monthly-maintenance-fee Key Smart Checking®. Geographic restrictions apply and account opening is subject to approval. Offer is available in these states: AK, CO, CT, ID, IN, ME, MA, MI, NY, OH, OR, PA, UT, VT, WA	$10	Open Account
Chase Business Complete Checking® Open Account	$300Expires January 16, 2025 More Info Earn $300 when you open a new Chase Business Complete Checking® account. For new Chase business checking customers with qualifying activities.	N/A	Open Account

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On top of new account bonuses, some banks may offer you the opportunity to earn extra funds when you refer friends or family members. If an eligible referral opens a new account with your bank or credit union, there's a chance you could get rewarded for helping to make that initial connection. 

3. Read the Fine Print

Whether you're trying to earn a high APY, avoid a monthly service fee or qualify for a new bank bonus, it's important to pay close attention to the rules. In other words, you need to understand the terms and conditions of the account you open or the promotional offer for which you're trying to qualify. 

Reading the fine print is important when opening bank accounts (or any other financial product). If you don't understand a bank's terms and conditions, you could be ineligible for a new bank bonus. Or with a different bank account, you might find yourself obligated to pay a monthly maintenance fee or earn a lower interest rate than you anticipated. 

4. Save More

As you increase the funds in your high-yield savings account (or other savings vehicle), the interest you earn on that cash should increase in turn. Here's an example. Imagine you put $1,000 in an emergency fund that earns an APY of 2.00% (with interest that compounds daily). After 12 months those funds could grow to $1,020.20 just by leaving them untouched in your bank (assuming interest rates don't change).

Now, let's imagine you place $10,000 into that same emergency fund. Instead of having an extra $20.20 at the end of the year, the interest you earn would increase your ending balance to $10,202.01 in this hypothetical scenario. You would end the 12-month period with an extra $202.01 in your account thanks to the interest your money earned. As you can see, the more cash you can save, the more interest you have the potential to make in return.  

Bottom Line

Whether you're trying to put together a down payment for a home, building an emergency fund, or saving for a family vacation, a high-yield savings account can be a great place to store your cash. No matter what type of account you decide to use, make sure you're getting the best deal possible when it comes to your interest rate. If you don't take the time to shop around and compare what other banks and credit unions have to offer from time to time, you could be leaving potential earnings on the table.