Which Savings Account will Earn you the Least Money?

 

Which savings account will earn you the least money?

Savings account

A savings account with a lower interest rate or APY (Annual Percentage Yield) will typically earn you less money over time compared to accounts with higher rates. Look for accounts with minimal or no interest, as they offer the least potential for earnings. Always check and compare rates to make informed decisions about your savings.

CBBC Selected found that the brick-and-mortar Savings accounts offering the lowest return on your money are those with just 0.01% APY — earning savers just 1 cent per $100 a year. Plus, these accounts often have extra fees, such as monthly maintenance fees, that could reduce your returns further.

This includes basic savings accounts from traditional banks like Bank of America and Chase.

Which savings account will earn you the most money?

The savings account that earns you the most money typically has a higher interest rate. Consider looking for accounts with competitive interest rates and favorable terms, such as online banks or credit unions. Always compare options to find the best fit for your financial goals and preferences.

Now that we've pointed out the savings accounts with the lowest APYs, let's talk about the ones with the highest. Typically, online-only, high-yield Savings accounts offer the best returns on your cash. Since they have less overhead costs from not having to operate physical branches, they can pass these savings onto their customers in the form of better interest rates.

High-yield savings accounts are just as accessible as your brick-and-mortar savings accounts and also offer FDIC insurance so your deposits up to $250,000 are safe. Best of all, many high-yield savings accounts stand out for having no Hidden dees — think zero monthly maintenance fees, zero excessive transactions fees, zero overdraft fees and zero or low minimum balance requirements.

Some of the top high-yield Savings accounts offer APYs above 5% (some even around 6% APY):

Where to open a savings account with high interest rate

The best savings account

To find a savings account with a high interest rate, consider online banks or credit unions, as they often offer better rates than traditional brick-and-mortar banks. Check websites, compare rates, and look for account features that align with your financial goals. Popular online banks include Ally Bank, Marcus by Goldman Sachs, and Discover Bank. Always verify current rates and terms before making a decision.

Where to open a savings account with the least Interest rate

If you're looking for a savings account with the least interest rate, traditional brick-and-mortar banks may be an option. These often offer lower rates compared to online banks. Consider checking with local branches of well-known banks in your area. Keep in mind that interest rates can vary, so it's essential to compare options and choose based on your specific financial needs.