Online Savings Rates vs. Large Bank Savings Rates

The top online savings rates and money market rates were increased again last week because the Fed increased the fed funds rate. These increases bring the best variable deposit rates to 1.30 percent, up from the prior top rate of 1.25 percent. You won't find these rates from traditional brick and mortar banks, these rates can only be found from Internet banks.

To give you some perspective on how much higher deposit rates are from online banks, we listed the top online rates along with rates from the largest banks. The savings rates offered by the top brick and mortar banks are paltry at best. Even finding rates the brick and mortar banks are offering is difficult - you really have to dig through their websites to find the actual rates they're offering.


Top Online Savings Rates

  • BankPurely 1.30%
  • DollarSavingsDirect 1.30%
  • UFB Direct 1.30%
  • Live Oak Bank 1.25%
  • Goldman Sachs Bank 1.20%

Savings Rates at Largest Banks

  • Chase Plus Savings 0.03%
  • Wells Fargo Way2Save 0.02%
  • Citibank Savings Plus Account 0.01%
  • Bank Of America Regular Savings Account 0.01%

As you can see, there is no comparison. Don't bother opening a savings account with any of the big 4 banks. In addition to their extremely low savings rates, there are also many hidden fees and charges. You can quickly get a negative return on your deposit if some of these fees are charged.

You can search for and compare savings rates and money market rates from dozens of banks and credit unions by searching our deposit rate lists for the best savings rates.

Author: Brian McKay
June 29th, 2017