Best High-Yield Savings Accounts in the USA Explained

High-yield savings accounts (HYSAs) are transforming how Americans save money. While traditional savings accounts at major banks offer rates around 0.39% APY, the best high-yield savings accounts today deliver returns up to 5.00% APY—more than 10 times higher^[1]. For anyone serious about growing their savings without taking investment risk, understanding your HYSA options is essential. This guide breaks down what you need to know to choose the right account for your financial goals.

What Is a High-Yield Savings Account?

A high-yield savings account is an FDIC-insured deposit account offered primarily by online banks that pays significantly more interest than traditional savings accounts. These accounts maintain the same safety protections as conventional bank accounts—your deposits are insured up to $250,000 for individual accounts and $500,000 for joint accounts^[1]—but without the overhead costs of physical branches. That cost savings gets passed to you through higher interest rates.

The difference in earnings is substantial. On a $5,000 deposit, a traditional savings account earning 0.40% APY would generate about $22 in annual interest, while a high-yield savings account earning 5.00% APY would earn approximately $256^[3]. That's a difference of $234 per year on a modest deposit.

Current High-Yield Savings Account Rates (February 2026)

As of mid-February 2026, the highest-paying HYSAs offer the following rates:

• Varo Money: Up to 5.00% APY^[1]
• Axos Bank: Up to 4.21% APY^[1]
• Newtek Bank: Up to 4.20% APY^[1]
• Openbank: 4.09% APY^[5]
• Vio Bank: 4.03% APY^[5]
• Peak Bank: 4.02% APY^[5]
• Marcus by Goldman Sachs: 3.65% APY^[2]
• EverBank Performance® Savings: 3.90% APY^[2]
• CIT Bank Platinum Savings: 3.75% APY^[2]

Rates fluctuate based on Federal Reserve policy and market conditions, so it's important to check current rates before opening an account.

What Qualifies as a Good HYSA Rate in 2026?

Financial experts consider a good high-yield savings account interest rate in 2026 to be around 4% or higher^[6]. While this is lower than rates available in recent years, it still represents meaningful returns compared to traditional savings accounts. If your local bank offers rates around 2.5% to 3%, you should look elsewhere for more competitive online options^[6].

Don't hold out for rates closer to 5%, as 4% represents about the best you'll realistically find in today's market^[6].

Top High-Yield Savings Accounts to Consider

Varo Money

Varo Money leads the market with the highest current rate at up to 5.00% APY^[1]. The account requires a $1,000 minimum opening deposit and is available only to new customers. There's no need to visit a branch or lock away your money—you can add to or withdraw from your account as needed^[1].

Axos Bank

Axos Bank offers up to 4.21% APY with a competitive feature set^[1]. The account comes with access to a network of over 95,000 fee-free ATMs, and deposit accounts are FDIC insured up to $250,000 for individual accounts and $500,000 for joint accounts^[1]. Note that Axos Bank uses tiered variable APY, meaning your rate may depend on your balance and account activity^[1].

Openbank

Openbank, a digital subsidiary of Santander Bank, offers 4.09% APY with just a $500 minimum deposit to open^[5]. The account has no monthly fees, which is typical of online banks, and requires only a $0.01 minimum balance to earn the advertised rate^[5].

Marcus by Goldman Sachs

Marcus by Goldman Sachs is known for maintaining a great track record of strong rates^[2]. Currently offering 3.65% APY, Marcus appeals to savers who value the stability and reputation of a major financial institution^[2].

Key Factors to Consider When Choosing an HYSA

Interest Rate

While interest rate is important, remember that rates change frequently. A difference of 0.5% APY matters more on larger balances. Compare rates across several providers before deciding^[1].

Minimum Deposit Requirements

Opening deposit minimums vary widely. Some accounts require $1,000 (like Varo Money), while others ask for just $100 or even $0^[1][5]. Choose an account with a minimum you can comfortably meet.

FDIC Insurance Protection

All legitimate HYSAs should be FDIC-insured. This protects your deposits up to $250,000 per account holder at each bank^[1]. If you have more than $250,000 to save, you can open accounts at multiple banks to maintain full coverage.

Accessibility and Convenience

Look for accounts offering online access, mobile apps, and ATM networks. Some accounts provide fee reimbursements for out-of-network ATM usage^[2]. Consider whether you need customer service available by phone or chat.

No Hidden Fees

Quality HYSAs typically have no monthly maintenance fees^[1]. Avoid accounts with hidden charges that could eat into your earnings.

Account Features

Some providers offer combination accounts. For example, SoFi offers both checking and savings in one account earning 3.30% APY, which may appeal to those wanting to consolidate their banking^[2]. American Express offers a high-yield savings account combined with credit card and rewards checking options^[2].

How to Open a High-Yield Savings Account

Opening an HYSA is straightforward and typically takes just 10-15 minutes online:

1. Choose your bank and visit their website
2. Select the high-yield savings account option
3. Provide personal information (name, address, Social Security number, employment details)
4. Verify your identity (most banks do this instantly online)
5. Link your external bank account for transfers
6. Make your initial deposit (meeting the minimum requirement)
7. Start earning interest immediately

No branch visit is required, and account approval typically happens within 24 hours.

Common Questions About High-Yield Savings Accounts

Are high-yield savings accounts safe?

Yes, as long as you choose FDIC-insured accounts. Your deposits are protected up to $250,000 per account holder, per bank^[1]. This same protection applies whether you bank at a major national bank or an online-only institution.

Can I withdraw money anytime from an HYSA?

Yes. Unlike certificates of deposit (CDs) or money market accounts with withdrawal restrictions, HYSAs allow you to add to or withdraw from your account as needed without penalties^[1].

Why do online banks offer higher rates?

Online banks have lower operating costs because they don't maintain physical branch networks. They pass these savings to customers through higher interest rates^[1].

How often does interest compound?

Most HYSAs compound interest daily, meaning you earn interest on your interest. This can significantly boost returns over time, especially on larger balances.

What happens if my bank fails?

Your FDIC insurance protects you. If a bank fails, the FDIC reimburses depositors up to $250,000 per account holder. This has happened only a handful of times in recent decades.

Should I move my money from a traditional savings account?

If your current bank offers rates significantly below 4%, moving to an HYSA could earn you hundreds of dollars annually with no additional effort or risk. The only downside is the minimal time required to set up a new account.

Next Steps: Start Earning More on Your Savings

The gap between traditional savings rates and high-yield savings rates is too significant to ignore. Whether you're saving for an emergency fund, a down payment, or simply want your money to work harder, an HYSA should be part of your financial strategy.

Start by comparing current rates at the banks mentioned above. Check which offers the best combination of rate, minimum deposit, and features for your situation. Remember that a 4% rate is considered excellent in today's market, so don't wait for rates that may never come^[6].

Opening an account takes minutes, and you'll start earning interest immediately. For Americans serious about growing their savings safely and efficiently, high-yield savings accounts remain one of the easiest financial moves you can make.

Sources & References

1. Fortune: Today's top high-yield savings rates: Up to 5.00% on Feb. 18, 2026 — fortune.com
2. NerdWallet: Best High-Yield Savings Accounts for February 2026 — nerdwallet.com
3. Fortune: The top high-yield savings rates: Up to 5.00% on Feb. 16, 2026 — fortune.com
4. YouTube: These are the Best HYSAs of 2026 (Not Sponsored, My...) — youtube.com
5. Bankrate: Best High-Yield Savings Accounts Of February 2026 - Up to 4.09% — bankrate.com
6. CBS News: What's a good high-yield savings account interest rate in 2026? — cbsnews.com