Looking for the best high-yield savings accounts for 2023?
Then, you’ve come to the right place.
Here they are.
Best Online High-Yield Savings Account
Best Savings Account Rates 2023
High-Yield Savings Account Rates Updated on: 2/17/2023
Why Choose a High-Yield Savings Account Over a Regular Bank Savings Account?
A high-yield savings account such as CIT Bank typically has a higher APY rate than a regular savings account.
The national average APY for a regular bank account is 0.06% APY versus the average APY for a high-yield savings account, which can vary from 1.3% to 1.51%.
What is a High-Yield Savings Account?
Other than that favorable feature, everything about a high-yield savings account is EXACTLY the same as a regular bank savings account.
It’s a no-brainer and should not cost you any money (if there are fees, you’re looking at the wrong high yielding online savings account institution).
Remember to look for the following defining features when applying for a high yield savings account:
Minimum Deposit Requirements
What’s the Best High-Yield Savings Account for 2023?
Arguably, I have seen many reference CIT Bank as one of the top – if not the top – savings account for 2023.
The Bottom Line:
You'll have more money in your pocket with a high-yield savings account.
How Much Interest Will I Earn With a $1,000 Deposit?
Let’s take a look at these parameters:
- Deposit: $1,000
- Interest rate: 1.51%
Then, you should expect to earn:
- Amount earned: $15.10
- Time Period: 12 months
Compare that $15 with the mere 60 cents you would earn from a regular bank savings account yielding only 0.06%.
When Should I Use a High-Yield Savings Account?
In short: Always.
Especially when you use the high-yield savings account as your emergency savings fund.
An emergency savings fund is designed to be used in the case of an emergency – so your cash will [presumably] sit in the account for a while.
Ideally, the money you set aside in an emergency savings fund should be:
- Readily accessibly
- Only used in the case of an emergency
This account will add more money to your pockets if you literally deposit your emergency savings funds and just let them grow.
Your money will be working for you – and at a higher return.
What is an Emergency Savings Fund?
You only use an emergency savings fund in the case of an emergency (and no, buying a new car or new outfit does not count as an emergency).
Do you have a savings account? What is your rate? Let me know in the comments below.