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Latest Liquid Bank Account Rates

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Two weeks ago I noted the slowdown of online savings account rate increases. I had hoped it was just due to the holidays. I’m sorry to report that rate hikes haven’t picked up. There were no major online savings accounts that had rate hikes in the last two weeks. Five of the major online banks have kept their online savings account rates at 3.30% APY since before Christmas. These include Ally, American Express, Capital One, Discover and Marcus.

With the Target Federal Funds Rate (TFFR) rising to 4.25%-4.50% more than a month ago, and with the odds being high that the TFFR will be 4.50%-4.75% by next week, you would think we would see more rate hikes at these major online banks. In 2019 when the TFFR was 2.25%-2.50%, these major online savings accounts had APYs that ranged from 2.10% to 2.25%. Based on this history, you would expect these online savings account APYs to be at least 4%.

There are a few major online banks that have been a little more aggressive with their online savings account rates. CIT Bank has been the most aggressive. Its Savings Connect account rate increased from 3.85% to 4.05% APY on January 6th. Synchrony Bank increased its online savings account rate from 3.50% to 3.75% APY on December 22nd. Live Oak Bank increased its online savings account rate from 3.10% to 3.50% APY on January 2nd, and Barclays increased its online savings account rate from 3.00% to 3.40% APY on December 16th. Even these rate increases are disappointing when you consider that the TFFR has been at 4.25%-4.50% for more than a month.

The small/new online banks have been more aggressive with rate hikes. Many of these have increased their savings or money market yields to 4.00% and above. Four of the latest rate hikes occurred at Republic Bank (4.37% APY), Brilliant Bank (4.30% APY), CFG Bank (4.25% APY) and UFB Direct (4.21% APY).

One note regarding these small online banks that are raising their rates to 4%+ is that some of them are playing games. The new rates aren’t automatically being applied to existing accounts. The latest to do this is Brilliant Bank. It just increased its money market yield from 4.01% to 4.30%. However, existing customers need to call if they want this higher rate. Even though the account has the same name and there’s no apparent small print, existing customers won’t automatically receive this higher rate. According to the CSR, this higher rate is for new accounts or existing customers who deposit new money into their money market.

Most banks that play this game will at least change the name of the account. The account with the new name gets the higher rate while the existing account with the old name continues to have the old rate. Only the new account gets promoted to new customers. UFB Direct has done this many times in the last year. However, its latest rate hike to 4.21% APY applied to its existing UFB Best Savings and Money Market accounts.

The average online savings account yield as of January 1st was 3.31%. In December, that average increased about 30 bps from 3.01% to 3.31%. However, this was a large slowdown from November when the average increased about 60 bps. Based on current rates, we will likely see another large slowdown in January. The monthly rate gain for January may be the smallest gain since last March. The online savings account average is based on the Online Savings Account Index. This index tracks the average rate of ten well-established online savings accounts.

I’ve listed the most noteworthy rate changes that have occurred in the last two weeks. There are two lists. The first list includes rate changes from the major online banks or online banks that have a long history. The second includes rate changes from online banks which are generally not well-known names.

All percentages are APYs.

Rate changes from the major online banks:

  • None

Rate changes from the less well-known CUs & online banks:

  • Republic Bank Digital MM (4.28% → 4.37%)
  • Brilliant Bank MM (4.01% → 4.30%)
  • CFG Bank HY MM (4.15% → 4.25%)
  • UFB Direct Best Savings & MM (4.11% → 4.21%)
  • Great Lakes CU MMDA via SaveBetter (4.10% → 4.20%)
  • The Atlantic FCU MMDA via SaveBetter (4.10% → 4.20%)
  • Vio Bank Cornerstone MM (4.01% → 4.17%)
  • LendingClub Bank HY Savings (3.60% → 4.00%)
  • FitnessBank Savings (12.5k+ steps 3.75% → 4.00%)
  • CIBC Bank USA Agility Savings (3.62% → 3.77%)
  • SFGI Direct Savings (3.26% → 3.51%)
  • EmigrantDirect Savings (2.50% → 3.50%)
  • USALLIANCE Financial CU High Dividend Savings (3.25% → 3.50%)
  • American Heritage CU HY Savings ($10k+ 3.05% → 3.20%)
  • Stopped at 3.00%

Current rate leaders

A new rate leader emerged today. Republic Bank of Chicago’s Digital Money Market (DMM) account had another rate hike. The rate increased from 4.28% to 4.37% APY, which just surpassed MySavingsDirect’s savings account rate (4.35% APY). MySavingsDirect had been the rate leader since it increased its rate from 3.90% to 4.35% APY on December 16th.

Republic Bank’s DMM was launched last year. The minimum initial deposit is $2.5k, and a $2.5k balance must be maintained to earn 4.37% APY and to avoid a $25 monthly maintenance fee. Check writing is available. Outgoing ACH transfers initiated by Republic Bank are limited to a low $2.5k per day and $10k per 30 day rolling cycle. Republic Bank places no limits on ACH transfers initiated by an external financial institution. For more details, please refer to my recent Republic Bank Digital Money Market review.

The MySavingsDirect savings account is now in second place, but it remains on top for a no minimum savings account.

Brilliant Bank’s Money Market Account (4.30% APY) is now in third place after last week’s rate hike.

Technically, Republic Bank is not the rate leader. The rate leader position goes to First Internet Bank’s Money Market Savings account. However, probably not too many people will be able to qualify for this top rate. The Money Market Savings is a tiered-rate account that earns 4.39% APY for a minimum balance of $1 million. Balances under $1 million only earn 3.30% APY.

Rate guarantees without withdrawal penalties

No-penalty CDs have less value during rising rates, but if they have a higher rate than your online savings account, you can use the no-penalty CD to boost your overall yield without losing any significant liquidity. You just have to make sure you monitor rates so that you can close the no-penalty CD and move the funds into a higher-rate savings account or new no-penalty CD.

Some banks like CIT Bank and Ally Bank make it easy to open and close the no-penalty CDs. You just lose access to the money in the no-penalty CD for the first six days from account funding. After that, you are free to close the CD without penalty

We have a new no-penalty CD rate leader. Ponce Bank launched a 4-month No Penalty CD on the SaveBetter.com platform with a 4.41% APY. This just surpasses Sallie Mae Bank’s 14-month No Penalty CD on SaveBetter (4.40% APY). Even though this 4-month No Penalty CD has a higher rate, Sallie Mae Bank’s No Penalty CD is still a much better deal. Longer terms are always an advantage for no-penalty CDs. Ponce Bank’s No Penalty CD also has the same withdrawal limitation as the Sallie Mae Bank’s No Penalty CDs. Early withdrawals can only be done 30 days after opening. Other no-penalty CDs only require a wait of 7 days before you can execute an early withdrawal.

Two other significant no-penalty CD rate increases occurred at Marcus and Ally. The rates of Marcus’s 13-month No Penalty CD and Ally’s 11-month No Penalty CD both increased to 3.85% APY. If you have savings accounts at these banks, you can get an easy boost in yield by moving savings that you don’t immediately need into one of these no-penalty CDs.

Money Market Funds

Another option for your cash instead of savings accounts and money market accounts are money market funds from brokerages. These don’t have FDIC coverage, but they can be reasonable alternatives to deposit accounts. Their rates tend to be close to zero when the Fed sets the target federal funds rate to 0%, and they tend to follow the target federal funds rate during a rate-hiking cycle.

Before last March, the four money market funds that I have followed have maintained a 7-day yield of only 0.01%. Now that the Fed has been hiking rates, money market fund yields are rising, and their yields are generally rising faster than online savings account yields from the major online banks.

Vanguard is back with a rate lead over Fidelity. The Vanguard Federal Money Market Fund 7-day yield was 4.29%, up from 4.23% two weeks ago. The Fidelity Money Market Fund 7-day yield was 4.15%, same as two weeks ago.

Municipal money market fund yields have been up and down even as the Fed keeps hiking. After a month of rising yields, the municipal money market fund yields had large declines in the last four weeks. The Vanguard Municipal Money Market Fund 7-day yield is now 1.77%, down from 2.99% two weeks ago and down from 3.63% four weeks ago. The 7-day yield of the Fidelity Municipal Money Market Fund is now 1.70%, down from 2.85% two weeks ago and down from 3.40% four weeks ago.

Reward Checking Accounts

For the nationally-available reward checking accounts, there was just one noteworthy rate increase in the last two weeks. Market USA Federal Credit Union increased the top-tier rate of its High-Rate VIP Free Checking (Platinum Tier) from 3.40% to 4.00% APY. This applies to qualifying balances up to $15k.

Reward checking accounts have a history of being slow to respond to rising rates, especially when compared to online savings accounts.

To find the highest reward checking rates and balance caps in your state or nationwide, please refer to our reward checking rate table. If you're new to reward checking, please refer to my blog post, Overview of Reward Checking and Our Reward Checking Table.

Certificate of Deposit Deals

I publish my CD survey as a separate post. Please refer to my survey of the best CD rates. This recap focuses on liquid accounts, but I’ll include a few of the best CD deals.

CD Deals: For direct CDs that are nationally available (without any membership limitations), there are still 5% CDs available. The term lengths range from six months to 27 months. If you’re waiting for a long-term CD with a 5%+ yield, be aware that it may never come. We are still seeing some banks cutting their long-term CD rates. Today, Capital One lowered its 5-year 360 CD rate from 4.40% to 4.10% APY, and American Express National Bank lowered its 5-year CD rate from 4.25% to 3.75% APY.

Long-dated Treasury yields remain under 4%. At today’s market close, the 3-, 5-, 7- and 10-year yields were 3.84%, 3.54%, 3.51% and 3.46%, respectively (yields are based on Daily Treasury Par Yield Curve Rates..) If these yields remain under 4%, the odds of widespread 5% long-term CDs diminish. It is possible that high loan demand at certain banks and credit unions may spur them into offering 5% long-term CDs. We have been seeing a few 5% CDs (several are not nationally available), but most have been short- or mid-term CDs.

Navy Federal Credit Union began offering a 5% APY 15-month Certificate Special last week. I think many were hoping for a longer-term 5% CD. One very nice feature is that it allows unlimited add-on deposits up to a maximum balance of $250k. The minimum deposit is only $50. So there’s no downside in opening this CD with at least a $50 deposit. That’s especially the case if you’re keeping a lot in savings accounts. If rates do start to fall later this year, you can always move that money into this 5% CD.

The only bank with a nationally available 5% CD continues to be Sallie Mae Bank. It’s still offering a 27-month CD with a 5.00% APY via the SaveBetter.com platform. Unlike most of the CDs on SaveBetter, this one has a more mild early withdrawal penalty (only 180 days of interest).

One important attribute to note regarding SaveBetter CDs is that there is no option to withdraw interest. Interest can only be added back into the CD. To access any of the CD balance requires a closure of the CD with an early withdrawal penalty. SaveBetter’s product term sheets for the CDs don't clearly describe this. Under “transaction limitations”, it only states that “One-time full withdrawal of the Certificate.”

If you see 5%+ CDs at a credit union, they may not last long. On Saturday, I reported on the 18-month CD Special at XCEL Federal Credit Union (5.12% APY). People in any state can join this credit union through an association membership. I just checked XCEL’s website, and it appears that this CD Special has already ended.

The highest-rate CD that I’ve found in this rate cycle is 6.25% APY. It’s an 18-month CD Special from Democracy Federal Credit Union, and it appears to still be available. Unfortunately, it’s not nationally available. The Credit Union’s field of membership is primarily limited to residents in the Washington D.C. metro area. I have more details in this CD review.

A good alternative to short-term CDs continues to be Treasury bills. At today’s market close, the 3-, 6- and 12-month Treasury yields were 4.72%, 4.79% and 4.67%, respectively. If you live in a state with state income tax, these can be a better deal than 5% CDs for many tax brackets. Thanks to DA reader RichardW for explaining the details in this DA Forum thread.

For long-term, nationally available CDs, the top two CD yields are 4.78% APY (5-year Jumbo CD at Lafayette FCU) and 4.75% APY (49-month Certificate Special at NASA FCU). One of the long-term top rates for banks is 4.50% APY (5-year CD at CFG Bank), which is down from 4.60% APY two weeks ago.

Please keep discussions of the Fed and the economy to a minimum in the comments of this post. The focus of the comments should be deposit accounts and rates. If you want to express your opinions on the Fed and the economy, please comment in my Fed meeting preview post.

Rates as of January 25, 2023

Checking/Savings/Money Market Accounts:

InstitutionAPYsNotes
First Internet Bank4.39% ($1m+), 3.35% (up to $1m) Money Market Savings
Republic Bank of Chicago4.37% ($2.5k min opening)Digital Money Market (not available in IL, IN, MI, or WI) - Account review
MySavingsDirect4.35%MySavings Account - Account review
Brilliant Bank4.30% ($1k min)Money Market Account Internet bank, deposits held by Equity Bank - Account review
CFG Bank4.25% ($1k)High Yield Money Market Account - Account review
Western State Bank4.25% ($5k min)High Yield Money Market - Account review
Western Alliance Bank4.23% ($1 min)High Yield Savings via SaveBetter - Account review
UFB Direct4.21%UFB Best Money Market - Account review
UFB Direct4.21% UFB Best Savings - Account review
Great Lakes Credit Union4.20% ($1 min)Money Market Deposit Account via SaveBetter - Account review
The Atlantic Federal Credit Union4.20% ($1 min) Money Market Deposit Account via SaveBetter - Account review
The State Exchange Bank4.20% ($1 min)High Yield Savings via SaveBetter - Account review
My eBanc4.18 ($100k), 2.99% (up to $100k)SuperSaver Money Market Account - Account review
Vio Bank4.17%Cornerstone Money Market
Popular Direct4.16% ($5k min opening) High Rise Savings - Account review
Bask Bank4.15% (no min)Bask Interest Savings Account - Account review
Blue Federal Credit Union4.15% ($1 min)Money Market Deposit Account via SaveBetter - Account review
American First Credit Union4.15% ($1 min) Money Market Deposit Account via SaveBetter - Account review
mph.bank4.15% ($1 min) Money Market Deposit Account via SaveBetter - Account review
Third Coast Bank4.13% ($1 min)High Yield Savings via SaveBetter - Account review
Upgrade4.13% ($1k min)Premier Savings (deposits held by Cross River Bank) Account review
Salem Five Direct4.10% (up to $1m)eOne Savings, new customers only - Account review
Merchants Bank of Indiana4.08% (up to $1m)Money Market Account
MutualOne Bank4.07% ($20k min)Mo Premium Savings - Account review
Customers Bank4.05%High-Yield Digital Savings - Account review
My Banking Direct4.05% ($1 min) High Yield Savings - Account review
Primis Bank4.05% ($1)Primis Savings Account (not offered in AK or HI) - Account review
CIT Bank4.05% ($100 min)Savings Connect - Linked eChecking required Account review
Ivy Bank4.05% ($2.5k), 0.05% ($10)High-Yield Savings - Account review
Ivy Bank4.03% ($2.5k), 0.05% ($10)Indexed Savings - Account review
Connexus Credit Union4.01% ($1m), 3.41% ($500k), 3.01% ($250k), 2.15% ($100k), 2.01% ($20k), 0.25% ($1k)Money Market Account (Active checking requirement has been removed) - Forum post
LendingClub Bank4.00%High-Yield Savings - Account review
First Foundation Bank4.00% Online Savings - Account review
First Foundation Bank4.00% ($5m max) Online Money Market Account - Account review
ValleyDirect4.00%Online Savings - Internet bank, deposits held by Valley Bank
BMO Harris Bank4.00%Online Savings Account (not available in AZ, FL, IL, IN, KS, MN, MO, WI) Account review
FitnessBank4.00% ($250k max) (Requires using step tracker app and averaging 12.5k steps/daily, extra 10 bps with checking and debit card usage) Fitness Savings Account - Account review
Bread Financial (formerly Comenity Direct)4.00% ($100 min)High-Yield Savings - Account review
PNC Bank4.00% ($1 min)High Yield Savings (Not available in all states)
Liberty Savings Bank4.00% ($1 min)High Yield Savings via SaveBetter - Account review
ConnectOne Bank4.00% ($2.5k min)OneConnection Savings - Account review
ConnectOne Bank4.00% ($250k+), 3.90% ($2.5k)Connection Plus Savings - Account review
Lemmata Savings Bank3.95% ($1 min) Money Market Deposit Account via SaveBetter - Account review
Lafayette Federal Credit Union3.95% ($250k), 3.80%-3.95% ($50k-$250k), 3.95%-4.38% ($250k-$1m) Premier Savings (blended APYs)
Lafayette Federal Credit Union3.80% ($20k), 3.34% ($50)Preferred Savings
CIBC Bank USA 3.77%Agility Savings Account - Account review
Synchrony Bank3.75%High Yield Savings - Account review
SkyOne Credit Union3.75% ($1 min)Money Market Deposit Account via SaveBetter - Account review
SoFi Bank, N.A.3.75% (w/direct deposit), 1.20% (w/o direct deposit)SoFi Checking and Savings
Citizens Access3.75% ($5k min)Online Savings Account - Account review
Prime Alliance Bank3.65% ($1 min)Personal Savings - Account review
Prime Alliance Bank3.65% ($1 min)Personal Money Market - Account review
Continental Bank3.65% ($1 min) High Yield Savings Account via SaveBetter - Account review
TAB Bank3.64% ($1 min)High Yield Savings - Account review
State Bank of Texas (SBT)3.56% ($100k min, new money only) Jumbo Money Market
Idabel National Bank3.55% ($1 min) Money Market Deposit Account via SaveBetter - Account review
SFGI Direct3.51%SGFI Direct Savings Account - Account review
EmigrantDirect.com3.50%AmericanDream Savings Account - Account review
Live Oak Bank3.50% ($5 million max)High Yield Savings - Account review
Quontic Bank3.50%High Yield Savings - Account review
Quontic Bank3.50%Personal Money Market (all balances) - Account review
Affirm3.50%Affirm Savings (deposits held by a partner bank)
DollarSavingsDirect3.50%Dollar Savings Account - Account review
CommunityWide Federal Credit Union3.50% (penalty-free withdrawals first 5 days of each month)High Rate Quarterly Funds Account - Account review
E*TRADE from Morgan Stanley3.50%Premium Savings Account (sweeps account) - Account review
TIAA Bank3.50% ($25 min)Basic Savings
USALLIANCE Financial3.50% ($500)High Dividend Savings - Account review
Rising Bank3.50% ($1k min)High Yield Savings - Account review
BankPurely3.50% ($25k min) PurelyMoneyMarket - Account review
iGObanking.com3.50% ($25k min) iGOmoneymarket, new accounts and new money only - Account review
Sallie Mae Bank3.40%Money Market Account - Account review
Barclays3.40%Online Savings - Account review
Citi3.40%Citi Accelerate Savings Account (Not available in all states)
TIAA Bank3.35% ($100k), 3.00% ($50k), 2.65% ($25k), 2.35% ($10k), 1.60% (up to $10k)Yield Pledge Money Market - Account review
Ally Bank3.30%Online Savings - Account review
Ally Bank3.30%Money Market Account - Account review
Discover Bank3.30%Online Savings - Account review
Virtual Bank3.30% eMoney Market Special - Account review
Capital One3.30%360 Performance Savings - Account review
American Express National Bank3.00%High Yield Savings - Account review
M1 Finance3.30% (all balances, $125 annual fee) M1 Plus Checking (deposits held by a partner bank)
Marcus by Goldman Sachs3.30% ($500 min)High-Yield Online Savings Account (additional 10 bps for AARP members) - Account review
Ponce Bank3.25% ($1 min) Money Market Deposit Account via SaveBetter - Account review
Northern Bank Direct3.25% ($5k min)Money Market - Account review
Northpointe Bank3.25% ($25k), 0.35% ($5k), 0.25% ($2.5k min)Ultimate Money Market - Account review
Discover Bank3.25% ($100k min), 3.20% ($2.5k) Money Market - Account review
Sallie Mae Bank3.20%High Yield Savings - Account review
American Heritage Credit Union3.20% ($10k min)High Yield Savings
Smarty Pig3.10%SmartyPig Savings - Account review
ConnectOne Bank3.10% ($25k), 3.00% (up to $25k)Connect Money Market - Account review
Langley Federal Credit Union3.10% ($1m), 2.75% ($500k), 2.00% ($250k min), 1.50% ($100k), 1.25% ($25k)Platinum Money Market Savings - Account review
CFSB (Colorado Federal Savings Bank)3.05% ($50k min) Premier Savings (New customers) - Account review
CBN Bank Direct3.04% ($25k min/$2m max)Premium Money Market - Account review
CFSB (Colorado Federal Savings Bank)3.00%High Yield Savings - Account review
Quorum Federal Credit Union3.00%HighQ Savings Account
Laurel Road (a brand of KeyBank, N.A.)3.00% ($2m max)Laurel Road High Yield Savings Account (NTS) - Account review
FNBO Direct3.00%Online Savings
TotalDirectBank3.00% ($5k min)Direct Money Market Deposit Account (not available in CA or FL) - Account review
Paramount Bank3.00% (up to $100k), 0.10% APY ($100k+) ($100 min deposit) Interest Checking (non-reward checking) - Account review, $100k cap only applies to accounts opened after 3/24/21
Spectrum Credit Union3.00% ($100k), 2.90% ($50k), 2.80% ($25k), 2.75% ($2.5k), 0.75% (<$2.5)MarketEdge Money Market - Account review
Luana Savings Bank3.00% ($750k), 2.89% ($250k), 2.79% ($100k), 2.68% ($50k), 2.58% ($2.5k)Money Market
CBN Bank Direct2.94% ($1 min)High Yield Savings - Account review
Alliant Credit Union2.70% ($100 min)High-Rate Savings - Account review
Sun East Federal Credit Union2.60% ($5k min)MAX-Yield Money Market Account Special (13 month introductory rate), free withdrawals can only be done once per quarter - Account review
The Federal Savings Bank2.50% ($2k min)Online Money Market Promo - Account review
Revolut2.50% Savings Vault - subscription rate (deposits held by Metropolitan Commercial Bank) - Account review
Bellco Credit Union2.50% ($50k) 1.95% ($10k)Premier Money Market Account
T-Mobile Money2.50% (4.00% up to $3k w/checking requirements)Checking Account (deposits held by a partner bank) (1.50% effective July 15, 2022) - Account review
Veridian Credit Union2.35% ($1m) 2.15% ($500k), 1.95% (%250k), 1.70% ($100k), 1.50% ($50k), 1.30% ($25k), 1.15% ($10k), 1.00% ($2.5k) Premier Money Market - Account review
PenFed Credit Union2.30%Premium Online Savings Account review
Synchrony Bank2.25%Money Market - Account review
Dow Credit Union2.22% ($500k), 2.06% ($100k), 1.87% ($50k), 1.46% (up to $50k)Premium High Yield Deposit - Account review
Security State Bank (KS)2.09% ($110k), 2.00%-2.09% ($100k+), 0.75% (under $100k)Investment Savings Account (linked Investment Checking required), APY is average of Savings and Checking, 0.60%+ APY assumes Savings balance of at least $100k - Account review
Amalgamated Bank2.00%Online Savings - Account review
Chime2.00% (no min/max, active checking required)Chime Savings Account (deposits held by a partner bank) - Account review
Bethpage Federal Credit Union2.00% ($500 min)Money Market
Varo2.00% (5.00% up to $5k w/chk requirements)Varo Savings - Account review
MapleMark Bank2.00% ($25k min opening)Platinum Money Market - Account review
MainStreet Bank2.00% ($50k) 1.00% ($25k), 0.50% ($0.01)Personal Super Savings Money Market ($2.5k min opening) - Account review
CIT Bank1.55% ($100 min)Money Market - Account review
Bank5 Connect1.50% ($100 min)High Interest Savings - Account review
Freedom Northwest Credit Union1.50% ($15k+), 0.75% ($10k+), 0.50% ($5k+), 035% (up to $5k) Rise Money Market (checking account w/$15k min balance required, no online application, small credit union) - Account review
Customers Bank1.50% ($25k min)Ascent Money Market Savings
Banesco USA1.35% ($100 min)BanesGrow Savings Account Account review
Banesco USA1.35% ($2.5k-$1m)BanesFlex Money Market Account - Account review
NASA Federal Credit Union1.35% ($100k), 1.25% ($50k), 1.05% (up to $50k)Premier Advantage Money Market - Account review
ZYNLO Bank1.25% (up to $250k) 0.10% ($250k+)Money Market - Account review
Vibrant Credit Union1.15% ($200k), 0.50% ($100k), 0.25% ($25k), 0.10% ($10k), 0.05% (up to $10k) Yellow Money Market (promotional rate)
Andrews Federal Credit Union1.15% ($200k+), 0.85% (<$200k) Prestige Money Market
Vio Bank1.10% Online High Yield Savings - Account review
State Department Federal Credit Union1.06% ($100k), 1.00% ($50k), 0.95 ($25k)Premier Money Management Shares - Account review
Bank Onward1.00% ($250 opening deposit)Bo Savings - Account review
SkyOne Credit Union1.00% ($1k min)Sky-high Savings
State Bank of India (IL)1.00% ($5k min) Money Market
CIT Bank1.00% ($25k min)Savings Builder - Account review
U.S. Postal Federal Credit Union0.85% (0.95% with relationship rewards) IRA Savings - See review
State Bank of India (IL)0.60% ($500 min) Savings Account
PurePoint Financial0.40 ($10k min)Online Savings - Account review

No-Penalty CDs

InstitutionAPYsNotes
Ponce Bank4.41% ($1 min)4-month No Penalty CD via SaveBetter (*NTS)- Account review
Sallie Mae Bank4.40% ($1 min)14-month No Penalty CD via SaveBetter - Account review
Sallie Mae Bank4.25% ($1 min)10-month No Penalty CD via SaveBetter - Account review
CIT Bank4.10% ($1k min)11-month No-Penalty CD - Account review
Citi4.05% ($500 min)12-month No Penalty CD
USALLIANCE Financial4.00% ($500)11-month No Penalty CD Special - Account review
Marcus by Goldman Sachs3.85% ($500)13-month No Penalty CD - Account review
Ally Bank3.85% (no min)No-Penalty 11-month CD - Account review
Marcus by Goldman Sachs3.85% ($500)8-month No Penalty CD (AARP members only) - Account review
Synchrony Bank3.50% (no min)11-month No Penalty CD - Account review
Bellco Credit Union3.40% ($2.5k min)18-month Smart Move CD (*NTS) - Account review
Bellco Credit Union3.40% ($2.5k min)24-month Smart Move CD (*NTS) - Account review
My eBanc3.20% ($100k), 3.10% ($10k)11-month Online Flex Time Deposit - Account review
Bellco Credit Union3.15% ($2.5k min)36-month Smart Move CD - Account review
MainStreet Bank2.75% ($500 min)1-year No Penalty CD (early closure only) - Account review
CFSB (Colorado Federal Savings Bank)2.75% ($5k min)11-month No Penalty CD - Account review
Chartway Federal Credit Union1.50% ($500 min)12-month No Penalty CD (early closure only) - Account review
Marcus by Goldman Sachs0.45% ($500 min)7-month No Penalty CD - Account review
Marcus by Goldman Sachs0.35% ($500 min)11-month No Penalty CD - Account review
PurePoint Financial0.15% ($10k)11-month No-Penalty CD - Account review
PurePoint Financial0.10% ($10k)13-month No-Penalty CD - Account review
PurePoint Financial0.10% ($10k)14-month No-Penalty CD - Account review

*New to Summary

Reverse Tier Savings/Money Market Accounts/Checking:

InstitutionAPYsNotes
Blue Federal Credit Union5.00% ($25-$1k), 1.00% ($1k-$5k), 0.50% ($5k-10k), 0.25% ($10k-$50k), 0.15% ($50k+)Accelerated Savings - Account review
All America Bank4.25% (up to $75k), 0.50% ($50k+)Mega Money Market Account - Account review
Redneck Bank4.25% (up to $75k), 0.50% ($50k+)Mega Money Market Account
La Capitol Federal Credit Union4.25% (up to $3k), 2.00% ($3k-10k), 0.10% ($10k+)Choice Checking
NuVision Federal Credit Union4.00% (up to $1k), 2.00% ($1k-5k), 1.00% ($5k-$10k), 0.50% ($10k-$25k), 0.20% ($25k+)Advantage Choice Money Market
Workers Credit Union3.56% (up to $1k), 0.55% ($1k-$2k), 0.60% ($2k-$3k), plus 13 more rate tiers (0.65%-1.26% in 5 bps increments)SaveUp Savings - Account review
Affinity Plus Federal Credit Union3.50% (up to $5k), 1.00% ($5k+)SmartStart Savings - Account review
SafeAmerica Credit Union3.10% (up to $2k), 1.10% ($2k-$5k), 0.60% ($5k-$10k), 0.55% ($10k+)Blended Rate Money Market
Porte3.00% (up to $15k), 0.20% ($15k+)Savings Account, Checking with one-time direct deposit required (deposits held by a partner bank) - Account review
Michigan State University Credit Union2.50% (up to $1k), 1.67% ($1k-$2k), 0.80% ($2k+)Savings Builder - Account review
Dover Federal Credit Union2.00% (up to $50k), 1.50% ($50k+), 1.25% ($100k+), 0.50% ($250k+)High Yield Savings
Affinity Plus Federal Credit Union2.00% (up to $25k), 1.50% ($25k+)Superior Money Market (min $500 direct deposit into any account)
Patelco Credit Union2.00% (up to $2k), 1.50% ($2k-$5k), 1.00% ($5k-$10k), 0.25% ($10k-$50k), 0.20% ($50k-$100k), 0.10% ($100k-$100m)Money Market Select Account - Account review
Axos Bank0.61% (up to $25k), 0.25% ($25k to $100k), 0.15% ($100k+)High Yield Savings - Account review

Reward Checking Accounts:

  • Noteworthy Accounts Available Nationwide:
InstitutionAPYsNotes
Pelican State Credit Union5.11% (up to $10k), 1.00% ($10k+) Kasasa Cash Account review
Consumers Credit Union5.00% (up to $10k), 0.20% ($10k-$25k), 0.10% ($25k+) Rewards Checking Tier A- debit card and $1k credit card requirements (Changes effective May 2020)
All America Bank4.50% (up to $15k), 0.50% ($15k+)Ultimate Rewards Checking
Redneck Bank4.50% (up to $15k), 0.50% ($15k+)Redneck Rewards Checking
Garden Savings Federal Credit Union4.07% (up to $15k), 0.15% ($15k+)Platinum Checking
Genisys Credit Union4.07% (up to $7.5k), 0.05% ($7.5k+) Genius Checking Account review
Presidential Bank4.00% (up to $25k), 3.00% ($25k+)Advantage Checking - Account review
Ideal Credit Union4.00% (up to $20k), 0.05% ($20k+)High Yield Checking - Account review
Market USA Federal Credit Union4.00% (up to $15k), 0.05% ($15k+)VIP Checking Platinum Tier - Account review
Orion Federal Credit Union4.00% (up to $10k), 0.25% ($10k-$100k), 0.05% ($100k-$250k), 0.01% ($250k+)Premium Checking - Account review
Consumers Credit Union4.00% (up to $10k), 0.20% ($10k-$25k), 0.10% ($25k+)Rewards Checking Tier B- debit card and $500 credit card requirements (Changes effective May 2020)
Department of Commerce Federal Credit Union3.50% (up to $20k), 0% ($20k+)Performance Checking Account review
Signature Federal Credit Union3.50% (up to $20k), 0% ($20k+)High-Yield Checking
Liberty Federal Credit Union3.45% (up to $20k), 0.00% ($20k+)Vertical Checking - Account review
Wings Financial Credit Union3.04% (up to $25k), 0.10% ($25k+)High Yield Checking - Account review
First Bank3.04% (up to $25k), 0.10% ($25k+)First Performance Checking (available in CA, IL, MO) - Account review
TruStone Financial Credit Union3.04% (up to $20k), 0.10% ($20k+)TruRate Checking - Account review
EFCU Financial3.01% (up to $10k), 0.05% ($10k+)Rewards Checking - Account review
Keesler Federal Credit Union3.00% (up to $25k), 0.40% ($25k+)Kasasa Cash (easy membership in AL, LA, MS) - Account review
INOVA Federal Credit Union3.00% (up to $15k), 0.07% ($15k+)Shield Checking - Account review
Western Vista Federal Credit Union3.00% (up to $15k), 0.03% ($15k+)Panorama Checking - Account review
Lake Michigan Credit Union3.00% (up to $15k), 0.00% ($15k+)Max Checking
Sullivan Bank3.00% (up to $10k), 0.30% ($10k+)Cash Rewards Checking (available in AR, IA, IL, KS, KY, MO, NE, OK, TN) - Account review
Consumers Credit Union3.00% (up to $10k), 0.20% ($10k-$25k), 0.10% ($25k+)Rewards Checking Tier C - debit card with NO credit card requirements (Changes effective May 2020)
Finex2.53% (up to $25k), 0.10% ($25k+)Axcess Rewards Checking, Premier Account
Great Lakes Credit Union2.50% (up to $10k), 0.05% ($10k+)Free Checking
Bellco Credit Union2.25% (up to $25k), 0.25% ($25k+)Boost Interest Checking - Account review
Community Bank (TN)2.08% (up to $20k), 0.25% ($20k+)Community Advantage Checking Account review
Union Bank2.07% (blended APY up to $25k), 0.03% ($25k+)1-2-3 Rewards Checking Account review
Heritage Bank2.02% (up to $25k), 0.14% ($25k+)eCentive Checking Account
Hiway Credit Union2.02% ($1k-$25k), 0.01% ($25k+)Hi Yield Checking - Account review
Expedition Credit Union (formerly United Educators Credit Union)2.02% (up to $20k), 0.10% ($20k+)High Yield Checking
Elements Financial2.00% (up to $20k), 0.10% ($20k+)High Interest Checking - Account review
Cap Ed Federal Credit Union2.00% (up to $10k), 0.10% ($10k+)High Yield Checking
Connexus Credit Union1.75% (up to $25k), 0.25% ($25k+)Xtraordinary Checking
First Tech Federal Credit Union1.50% (up to $15k), 0.10% ($15k+)First Tech Rewards Checking
Industrial Bank1.47% (up to $15k), 0.20% ($15k+)Kasasa Cash
Axos Bank1.25% (up to $50k), 0.00% ($50k+)Rewards Checking
BankFirst1.25% (up to $15k), 0.15% ($15k+)Interest Checking
Quontic Bank1.10% (all balances)High Interest Checking - Account review
FitnessBank1.00% (up to $25k), 0.25% ($25k+) (requires using step tracker app and averaging 10k steps/daily) Fitness Checking Account - Account review
Northwest Federal Credit Union1.00% (up to $15k), 0.25% ($25k+)Kasasa Cash - Account review
Blue Federal Credit Union1.00% (up to $15k), 0.10% ($15k+)Extreme Checking (up to 3.00% w/account relationships) - Account review
Hanscom Federal Credit Union1.00% (up to $15k), 0.10% ($15k+)Kasasa Cash Checking - Account review
First Security Bank & Trust0.80% (up to $15k), 0.10% ($15k+)Kasasa Cash - Account review
Bay State Savings Bank0.50% (up to $20k), 0.05% ($20k+)Interest Checking - Account review

Certificates of Deposit:

Bank Account Alternatives - May Not Be FDIC Insured

InstitutionAPYsNotes
GM Financial Right Notes4.50% ($500+)
Vanguard Federal Money Market Fund4.29% 7-day yield
Ford Interest Advantage4.25% (all balances)Ford Interest Advantage review
Duke Energy PremierNotes4.25% ($50k+), 4.10% ($10k+), 4.05% (less than $10k)Duke Energy PremierNotes review
Fidelity Money Market Fund4.15% 7-day yield
Wealthfront3.80% Cash Account Cash Management Account
Vanguard Municipal Money Market Fund1.77% 7-day yield
Fidelity Municipal Money Market Fund1.70% 7-day yield

Accounts No Longer Available

CFBank3.65% ($25k min)Money Market, 6 month rate guarantee - Account review
Campus Federal2.01% (up to $10k), 0.05% ($10k+)Lagniappe Checking ONLY AVAILABLE IN LOUISIANA
First State Bank (OH)3.00% (up to $15k), 0.25% ($15k+)Kasasa Cash ONLY AVAILABLE IN OHIO- Account review

Post Publication Edits

1/25/2022: Citi 12-month No Penalty CD rate has been increased.

Related Pages: savings accounts, money market accounts, reward checking accounts, 1-year CD rates, nationwide deals, Internet banks
Comments
buckeye61
  |     |   Comment #1
Could it be that these banks are satisfied with their current funding levels and don't need new deposits? Since the FED started raising FFR last year, all of the large online banks have been behind the curve and slow to raise liquid savings rates.
P_D
  |     |   Comment #2
Could be a factor since investors are holding near record levels of cash. But most of that money is probably in money market funds not banks. Another implication of that is that at some point a lot of that money will likely flow back into the stock market. And you want to be there when they pull that trigger.

On the other side of that though is that personal savings, which are more likely to be held at banks and credit unions are cratering. Individuals are getting poorer because of their increased cost of living and reduction in real wages over the past two years due to the record inflation, so fewer are able to save. I would guess that this would be the overriding factor.

Also, banks and credit unions need for cash depends on loan demand. While mortgage loan demand is up over the past few weeks due to falling long term interest rates, it is much lower than last year. So that reduces bank/cu lenders need for cash to fund those loans. Credit card, auto and other loans are also a factor.

So it's primarily the relative demand for loans compared to the supply of deposits that affects the price they are willing to pay for your deposit (i.e. the rate).
Mikey1
  |     |   Comment #3
I hate to sound like a broken record.

But… consider buying yourself a month’s time by purchasing a 4 week T-bill which beats all of these banks with no state tax to boot. Then revisit the issue at the end of February.
Buckeyes
  |     |   Comment #14
i agree. ive been fooling around with 3 month treasuries myself paying minimum 4.5%. I'm not fooling around with the market because history says an inverted yield curve is trouble indeed.
Mikey1
  |     |   Comment #15
I got 4.579% in today’s 4 week T-bill auction for $50K which will go out Tuesday and will then be returned to me 2/28 (if I don’t schedule a reinvestment). Perfect place for the time being for the ALLY funds which just became available.Didn’t want to go longer with the Fed meeting coming up from which a few droplets of the expected .25% increase may trickle down into T-bill/bank rates for us common folk.
lou
  |     |   Comment #4
If you can tolerate a tiny amount of risk, then just put your liquid money in a Fidelity or Vanguard money market fund. Then you don't have to play these games with these banks and credit unions, which are keeping their rates far lower than the FFR.
55Chevy
  |     |   Comment #6
Lou… do you suggest using Vanguard/Fidelity while waiting for those 5.5/6% yields on the 5 year CD’s you talked about in 2022? Or have you given up on your prediction that long term rates will significantly rise in 2023?
sams1985
  |     |   Comment #11
A bunch of forum members have been able to jump on the Mobility CU 5 year @ 5.59%. Not saying these rates are widely available but they do "exist", technically speaking.
55Chevy
  |     |   Comment #12
It is common knowledge that some regional CU’s may offer select short/long term CD rates at or above 5%..it also happened in 2022.10 yr. @ 3.46%
jack12
  |     |   Comment #5
SPRXX & FZDXX are inching up slightly with their 1 day yields two ticks up from their 7 day
4.17% and 4.29%
remmymo
  |     |   Comment #7
More about brilliant bank. For some reason they fail to send me any of the alerts I set up. I complained about this several times and they have not fixed the problem.
Sanger
  |     |   Comment #8
Hi, I open an account with brilliant bank Tuesday they were fantastic easy to  communicate. With they even called me Wednesday to see how everything went great rate great people there just call them they are easy to get on the phone very fast do not have to wait long to get a real person on the phone .
w00d00w
  |     |   Comment #9
After a month of rising yields, the municipal money market fund yields had large declines in the last four weeks.

I haven't "looked under the hood" to see what's going on here, but I'm curious. 7 day yields on these funds have dropped by half (from 3.4% to 1.7%) in the last month? seems like a big move for a "sleepy" investment in a rising rate environment.
P_D
  |     |   Comment #10
If true, and it sounds right, it is curious indeed since I can see very little reason to hold assets in such a fund at this time for most investors. These funds are risker than other funds that yield a higher after tax return for the vast majority of investors even when these funds were paying the higher rates. So you would expect relative demand for these funds to have fallen. But lower yields suggests it has in fact risen.

I suspect possibly some kind of institutional reason why there is this apparent market inefficiency. For example, large institutions need to keep their investments in this kind of fund to fulfill some commitment.

I also note that money market funds in aggregate are experiencing a near all time record level of assets so I would expect these funds to be flush with cash just like the other types of funds.  But that still doesn't explain the apparent anomaly in the relative yields.

The other possible explanations I can think of are not as flattering.

But its an interesting observation and I'd be interested in knowing more about what is going on in that market.
w00d00w
  |     |   Comment #17
looking at this a bit further the 7 day yield on the Vanguard muni money market fund started to rise from 1.7% on Dec 8th, peaked at 3.6% around Dec 21, then began falling on Dec 30 and now back to 1.7%. the price of the fund remained at $1.00 throughout. there was a steady negative cash flow in the fund from Nov 7th through Dec 16th, after which the flow reversed and turned strongly positive.
P_D
  |     |   Comment #18
Sounds like the whipsaw cash flows may have had to do with institutional end of year portfolio antics. A lot of mutual funds do their window dressing at the end of the year to make it look like they were in the right assets when the financial reporting comes out. So assets get moved around from one fund to another. I have a large position in one legacy equity fund that unfortunately I cannot get rid of that generated enormous taxable capital gains at the end of 2022 while the value of the fund fell substantially for the year. Very aggravating.  My 4 year old niece could have done a better job than them.
w00d00w
  |     |   Comment #19
according to Vanguard, their muni money market fund is only open to individuals or custodial accounts whose beneficiaries are individuals. rather than institutional actions moving the rate around, maybe it was robo-advisor activity on behalf of individuals, but that's just a guess
Scotsaver
  |     |   Comment #13
If past behavior is a pattern, Vanguard money market fund will step up by about the same as the Fed rate increase within a week.So I'd expect them to be at least 4.55 within a week

Also been tracking Barclays for a few quarters and they move savings rate a few days after Fed meeting, normally on a Thursday or Friday. Recently its always increase by less than the Fed increase so my guess is 3.6% maximum.
#20 - This comment has been removed for violating our comment policy.
deplorable_1
  |     |   Comment #21
Pretty disappointing that no online banks hit the 4.5% FED rate yet. This isn't the norm there are usually a few banks who would be hitting that rate this close to the next FED meeting. This is why I have GM Right notes and Dominion Energy(DERI) both of which have been at 4.5% APR 4.6% APY since the last FED hike. Still not much of a risk premium for no FDIC but for a while there there was no risk premium a few FDIC banks were matching or beating them. I would expect the risk premium to increase as the FED winds down and stops rate hikes.
User
  |     |   Comment #22
Thank you, Deposit Accounts for a very comprehensive review. Does anyone know if there is a list of no penalty and ad-on CDs with updated rates to date? If this information is not available, it would be nice if Deposit Accounts would provide it. Thank you.
Investor101
  |     |   Comment #24
Scroll up to see a listing of no-penalty CDs.
Investor101
  |     |   Comment #23
Merchants Bank of Indiana is offering a "Flex Index CD" with terms of 12 months, 24 months and 36 months and a rate of 5.13%. Interest rate is based on a Prime Rate index minus a margin of 2.75%, with a floor of 0%
Interest rate may change at any time based on changes in the index
Minimum balance to open CD is $1000

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