Bank of America offers several savings account options for parking your money, but its ultra-low rates will do little to help you grow your savings. They are much lower than the national average, and many savings accounts offered by competing banks offer more rewarding rates.
Bank of America earned 3.9 out of 5 stars in Bankrate’s overall review of its deposit accounts. For its savings accounts, the bank scored 2.9 out of 5 stars. One major advantage that Bank of America offers customers is access to a large branch network with around 3,900 financial centers and approximately 15,000 ATMs.
Bank of America savings account interest rates
Here’s a closer look at the rates offered by Bank of America’s savings accounts. The rates are for those living in the New York tri-state area and could vary by state.
| Account name | Interest rate | APY | Minimum deposit |
|---|
| Advantage Savings | 0.01% | 0.01% | $100 |
| Advantage Savings, Gold | 0.02% | 0.02% | $100 |
| Advantage Savings, Platinum | 0.03% | 0.03% | $100 |
| Advantage Savings, Platinum Honors | 0.04% | 0.04% | $100 |
| Advantage Savings, Diamond | 0.04% | 0.04% | $100 |
| Advantage Savings, Diamond Honors | 0.04% | 0.04% | $100 |
Note: Annual percentage yields (APYs) shown are as of April 18, 2024 for the New York City area and may vary by region for some products.
How Bank of America savings accounts compare to top-yielding banks
The tiered rates on the bank’s Advantage Savings account are based on how much money you park in the account: The higher your balance, the more interest you can earn. But with 0.04 percent APY as the highest payout option at Bank of America, many other financial institutions easily beat their savings account rates.
High-yield savings accounts at Ally Bank and Capital One offer much higher rates. Bankrate’s list of institutions offering the highest yields can help you find the best savings account rates.
Bank of America imposes an $8 monthly maintenance fee on its savings accounts. Although it is possible to have this fee waived if you meet certain criteria, such as maintaining a $500 balance, many other banks charge no monthly fees on savings accounts.
Other savings options at Bank of America
Bank of America offers other savings options beyond savings accounts. Its fixed-term certificates of deposit (CDs) range from 28 days to 10 years, and its featured CD account ranges from seven months to 37 months.
While the latter offers a more robust yield depending on the term and the balance, you need at least $1,000 to open the CD, making it less accessible compared to CDs at other banks. Moreover, the yields for the fixed-term CDs are extremely low. You can easily find better rates elsewhere.
FAQs
What is the interest rate on a Bank of America savings account? If you're not a Preferred Rewards member, you earn an APY of just 0.01%. Gold tier Preferred Rewards members earn 0.02%, Platinum tier members earn 0.03% and Platinum Honors tier members earn 0.04%.
Why is Bank of America savings account interest rate so low? ›
Bank of America is the second-largest bank in the country, featuring almost 3,900 branches across 38 states. 78 All of those in-person branch locations are expensive to operate, which is probably one of the factors keeping the rates low and the fees high on Bank of America accounts.
Which bank is giving 7% interest in savings accounts? ›
Currently, no banks are offering 7% interest on savings accounts, but some do offer a 7% APY on other products. For example, OnPath Federal Credit Union currently offers a 7% APY on average daily checking account balances up to and under $10,000.
What is Bank of America best savings account interest rate? ›
Bank of America has just one savings account: Advantage Savings. The base APY is 0.01%, but if you're eligible and enroll in the Preferred Rewards program, you can earn up to 0.04%. The Preferred Rewards tiers are: Advantage Savings Gold Tier, Platinum Tier and Platinum Honors Tier.
Where can I get 7% interest on my money online? ›
As of April 2024, no banks are offering 7% interest rates on savings accounts. Two credit unions have high-interest checking accounts: Landmark Credit Union Premium Checking with 7.50% APY and OnPath Credit Union High Yield Checking with 7.00% APY.
Is a Bank of America savings account worth it? ›
Bank of America offers several savings account options for parking your money, but its ultra-low rates will do little to help you grow your savings. They are much lower than the national average, and many savings accounts offered by competing banks offer more rewarding rates.
Where can I get 5% interest on my savings account? ›
Nationally Available High Interest Account Rates from Our Partners
| Account Name | APY (Annual Percentage Yield) Accurate as of 4/26/2024 |
|---|
| EverBank Performance℠ Savings | 5.15% |
| CIT Bank Platinum Savings | 5.05% (with $5,000 minimum balance) |
| Wealthfront Cash Account | 5.00% |
| Barclays Online Savings Account | 4.35% |
2 more rowsApr 23, 2024
Where can I get 10 percent return on investment?
- Invest in stocks for the short term. ...
- Real estate. ...
- Investing in fine art. ...
- Starting your own business. ...
- Investing in wine. ...
- Peer-to-peer lending. ...
- Invest in REITs. ...
- Invest in gold, silver, and other precious metals.
No financial institutions currently offer 7% interest savings accounts. But some smaller banks and regional credit unions are currently paying more than 6.00% APY on savings accounts and up to 9.00% APY on checking accounts, though these accounts have restrictions and requirements.
Who is paying the highest interest for a savings account? ›
Best High-Yield Savings Account Rates
- Evergreen Bank Group – 5.25% APY.
- CFG Bank – 5.25% APY.
- Upgrade – 5.21% APY.
- EverBank – 5.15% APY.
- RBMAX – 5.15% APY.
- Bread Savings – 5.15% APY.
- Popular Direct – 5.15% APY.
- Western State Bank – 5.15% APY.
Bank of America's annual percentage yield (APY) on its savings account starts at 0.01%. It is a low rate, no matter how you slice it – lower than other major banks and significantly below the best high-yield savings accounts. Bank of America offers a rewards program that helps raise its APY, but only slightly.
Is Bank of America a good Bank? ›
Bank of America is a reputable option for customers who want both in-person and online service, but its deposit accounts generally have low rates. Key Takeaways: We rate Bank of America 4 out of 5 stars, giving it high marks for branch and ATM access but lower scores for its rates on deposit accounts.
Does Bank of America have a money market savings account? ›
An Employee Money Market Savings account is FDIC-insured (up to applicable limits) and features tiered interest rates—so you earn more as your balance grows. Your account comes with these money-saving features: Exclusive national savings rate when combined with a Bank of America checking accountFootnote.
Can you get 7% on a CD? ›
Can You Get a 7% CD Account? There was a lot of excitement in August 2023 about a few credit unions offering 7% APYs on certificates. But those rates were offered for a limited time only and are no longer available. However, the nation's best CD rates are still well above 5%, with some pushing toward 6%.
Can you get 7% interest savings account? ›
While no financial institutions currently offer savings accounts with 7% interest, a few accounts that meet similar criteria are available. These include one high-yield checking account with an APY that exceeds 7.00% and several high-yield savings accounts.
Which bank gives 8% interest? ›
Top 20 Scheduled Banks offering Best FD Rates
| Banks | Highest FD rate (% p.a.) | 3-year FD rate (% p.a.) |
|---|
| DCB Bank | 8.00 | 7.60 |
| IDFC First Bank | 8.00 | 7.25 |
| Bandhan Bank | 7.85 | 7.25 |
| Induslnd Bank | 7.75 | 7.25 |
16 more rowsWith rates ranging from 0.01% to 0.04% APY, Bank of America's savings account doesn't compare to the best savings accounts — or even average savings accounts — when it comes to interest earnings.
Why did Bank of America drop? ›
Bank of America Earnings Drop, Under Pressure From Higher Rates; Stock Falls. Bank of America reported a 18% drop in first-quarter profit, the latest big lender to feel the squeeze of higher interest rates.
Which bank gives better interest on savings accounts? ›
Compare the Best High-Yield Savings Accounts
| Institution | APY | Required Opening Deposit |
|---|
| EverBank | 5.15% | Any amount |
| RBMAX | 5.15% | $10 |
| Bread Savings | 5.15% | $100 |
| Popular Direct | 5.15% | $100 |
14 more rowsMajor credit card issuers such as American Express, Bank of America, Capital One, Chase, and Citi may lower your credit card interest if you ask for it. We'll discuss why it pays to negotiate your credit card's interest rate and how to do it. You might not get a lower interest rate, but it's always worth it to ask.
