High-yield savings account rates have been declining, though a number of the best accounts continue to pay annual percentage yields above 4%. To secure the highest possible interest on savings, conducting research to locate competitive offers is essential.
The Federal Deposit Insurance Corporation reports the average interest rate on a traditional savings account stands at just 0.39%. In contrast, high-yield accounts frequently offer significantly higher returns.
As of January 20, 2026, the top savings account rate available from verified partners is 4% APY. This rate is currently provided by SoFi, Valley Bank Direct, and Barclays.
Savings account interest rates have varied considerably over the past ten years. Between 2010 and approximately 2015, rates were extremely low, remaining around 0.06% to 0.10%. This period followed the 2008 financial crisis and the Federal Reserve's move to reduce its target rate nearly to zero to encourage economic expansion.
From 2015 to 2018, interest rates started to rise slowly. They stayed low compared to historical levels. The beginning of the COVID-19 pandemic in 2020 then caused another rapid drop in rates as the Fed cut rates again to boost the economy. By mid-2021, average savings interest rates had reached new lows, roughly 0.05% to 0.06%.
Rates have since improved significantly, largely due to the Fed's interest rate increases in reaction to high inflation. However, the Fed reduced the federal funds rate late in 2024 and through 2025. Deposit rates have consequently been falling steadily.
Even with substantial rises since 2021, the average savings account rate remains relatively low, particularly when measured against market investments. For long-term objectives like funding a child's education or retirement, a savings account likely will not produce sufficient returns to meet those goals.
For an emergency fund, a home down payment, a vacation, or other short-term aims, a high-yield savings account is well-suited, especially if access to funds is needed. Other deposit accounts, such as money markets and certificates of deposit, might provide comparable or higher rates but limit withdrawal frequency. Comparing options to find an account with a competitive rate and minimal fees is crucial.
SoFi offers up to 4.00% Annual Percentage Yield on SoFi Savings with a 0.70% APY Boost added to the 3.30% APY as of December 23, 2025, for a maximum of six months. Opening a new SoFi Checking & Savings account and enrolling in SoFi Plus by January 31, 2026, is required. Rates are variable and may change. Terms apply at sofi.com/banking#2. SoFi Bank, N.A. is a Member FDIC.