Interest rates on savings accounts have been declining, prompting consumers to seek the best available offers. The FDIC reports the national average savings account rate currently stands at 0.39%.
This figure represents a significant increase from three years ago, when the average rate was 0.06%. Despite the low average, the highest rates in the market reach 4% APY and above.
As of January 18, 2026, several financial institutions are offering savings accounts with a 4% APY. SoFi, Valley Bank Direct, and Barclays are among the partners providing this top rate.
The interest earned on a savings account depends on the annual percentage yield, which accounts for compounding. With daily compounding at the average 0.39% rate, a $1,000 deposit would grow to $1,003.91 in one year, generating $3.91 in interest.
Choosing a high-yield account at 4% APY produces markedly different results. The same $1,000 deposit would reach $1,040.81 after one year, with $40.81 earned in interest.
Larger deposits yield proportionally greater returns. A $10,000 deposit in a 4% APY account would grow to $10,408.08 in one year, earning $408.08 in interest.
SoFi offers a promotional rate of up to 4.00% APY on its Savings account through a temporary boost. This offer requires opening a new Checking & Savings account and enrolling in SoFi Plus by January 31, 2026. Rates are variable and subject to change, with terms available at sofi.com/banking#2. SoFi Bank, N.A. is a member of the FDIC.