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
FAQ: Bank of America Savings Account Rate
Why is Bank of America savings account interest rate so low? ›
Large national banks tend to have savings accounts with low interest rates, in part because the institutions spend a lot of money on physical bank branches. You can find higher rates at online banks. They tend to have savings accounts with high yields, often with no monthly fees or minimum balance requirements.
Which bank is giving 7% interest in savings accounts? ›
Which Bank Gives 7% Interest Rate? 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? ›
How much can you earn with a Bank of America Savings Account?
| TIER | DEPOSIT AMOUNT | APY |
|---|
| Standard | $10,000 | 0.01% |
| Gold | $10,000 | 0.02% |
| Platinum | $10,000 | 0.03% |
| Platinum Honors and above | $10,000 | 0.04% |
May 9, 2024
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.
Is Bank of America good for savings accounts? ›
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.
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 5/16/2024 | Minimum Account Opening Balance |
|---|
| CIT Bank Platinum Savings | 5.00% (with $5,000 minimum balance) | $100 |
| Wealthfront Cash Account | 5.00% | $1 |
| Barclays Online Savings Account | 4.35% | $0 |
3 more rowsMay 10, 2024
Competition among financial firms for a slice of the nation's savings is intensifying, with Nationwide launching an account paying a “market-leading” 8% interest. A string of Bank of England interest rate rises since late 2021 have pushed up savings rates across the board.
Where can I make 7% interest on my money? ›
7% Interest Savings Accounts: What You Need To Know
- As of May 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.
Best High-Yield Savings Account Rates
- My Banking Direct – 5.55% APY.
- Poppy Bank – 5.50% APY.
- BrioDirect – 5.35% APY.
- Vio Bank – 5.30% APY.
- Ivy Bank – 5.30% APY.
- TAB Bank – 5.27% APY.
- TotalDirectBank – 5.26% APY.
- Jenius Bank – 5.25% APY.
Bank of America could be good for personal banking if you want to manage accounts such as checking, savings, CDs and investments in one place. It could also be a good choice for you if you value online and mobile banking, as its mobile app has high reviews.
What is the CD rate at Bank of America? ›
Bank of America's current CD rates range from 0.03% APY for most fixed-term CDs to 4.75% APY for its seven-month featured CD. The bank also offers a one-year flexible CD with penalty-free access to your money at 4.00% APY.
What bank should I open a savings account with? ›
10 best savings accounts of May 2024
| Account type | Best for: | APY |
|---|
| Varo High-Yield Savings Account | Balances below $5,000 | 5.00% |
| Credit Karma Money Save | Increased FDIC coverage | 5.10% |
| TAB Bank: TAB Save | Multiple account types with great rates | 5.27% |
| Newtek Bank High-Yield Savings | Those who want a well-established industry name | 5.25% |
6 more rowsBank of America Advantage Relationship
The Advantage Relationship checking account is an interest-bearing account that offers tiered rates on all balances, though the APYs offered are relatively low. The account allows you to pay for purchases with a debit card, Zelle, check, or mobile and online banking.
How many times can I withdraw from my Bank of America savings account? ›
Online and Mobile Banking transfers or payments • Automatic or pre-authorized transfers (includes an automatic payment to a merchant or bank) • Telephone transfers • Checks, drafts or debit card transactions Certain types of withdrawals and transfers from savings accounts are limited to a total of 6 per monthly cycle.
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.
Does Bank of America negotiate interest rates? ›
When it comes to credit card interest rates, you may think you're at the mercy of the credit card companies — but you have more negotiating power than you think. Major 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.
Why are people ditching their bank accounts? ›
The typical checking account pays so little interest that more people are moving their day-to-day banking into their brokerage accounts to get a better return on their cash.
