High rates: HYSAs often have APYs 10 times higher (or more) than the national FDIC average of 0.46%.They pass these savings on to customers through competitive APYs and other perks. Many HYSAs are offered by online-only banks, many of which have lower overhead costs than traditional banks with physical locations to maintain. High-yield savings accounts typically offer higher APYs than traditional savings accounts. Top reasons you should open a high-yield savings account right now Here’s where they stand compared to last week: CNET Average Savings APY* But it has held rates steady at its last two meetings, leaving savings rates high. The Fed has raised rates 11 times since March 2022 to fight inflation. Banks also raise savings rates to remain competitive and attract new customers to boost their cash flow. When the federal funds rate increases, banks tend to pass along this increase to customers in the form of higher interest rates on consumer products like credit cards, loans and savings accounts. This is a rate set by the Fed that determines how much banks charge each other to borrow and lend money. Savings rates remain high leading up to next week’s Fed meetingīanks typically base their savings rates on the federal funds rate.
5, 2023, based on the banks we track at CNET. Here are some of the top savings account APYs available right now: Bank
