Savings Interest Rates Today and How to Find the Best Offers
The Federal Reserve's recent rate cuts have led to a decline in savings interest rates. However, competitive rates are still available, with some accounts offering APYs of 4% or higher.
National Average Savings Interest Rate
According to the FDIC, the national average savings account rate is 0.41%. While this may seem low, it's a significant increase from the 0.06% rate three years ago.
Top Savings Rates
The best savings rates currently available exceed the national average, with some accounts offering APYs of 4.75%. The highest rate currently available is 4.75% APY, offered by Openbank with a minimum opening deposit of $500.
Interest Earnings
The interest you earn depends on the APY. For example, a $1,000 deposit in an account with a 0.41% APY would yield $4.11 in interest after one year. In contrast, a deposit in an account with a 4% APY would earn $40.81 over the same period.
Impact of Deposit Amount
The amount you deposit also affects your earnings. A $10,000 deposit in the same 4% APY account would yield $408.08 in interest after one year.
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