![CollegeInvestor_1280x720_Types_of_Education_Savings_Accounts Savings account with 5% interest](https://cdn.thecollegeinvestor.com/wp-content/uploads/2014/09/CollegeInvestor_1280x720_Types_of_Education_Savings_Accounts.jpg)
I used to have to work hard to find a way to earn close to 5% interest on my savings account. But today, many online banks and savings accounts pay him 5% (or more) interest, often without having to go through fees or “hoops.”
Statistics show that given that the national average savings rate is only 0.40%, FDIC, If you get more than 5%, you win big. Remember, the more interest you earn, the more unearned income you’ll need to grow your wealth.
Let’s take a closer look at the 5% interest savings accounts and banks that are best for your money.
Best 5% Interest Savings Account
Here are the best 5% interest savings accounts to open today.
1. Western Alliance Bank – 5.05% Ape
Western Alliance Bank is one of the largest commercial banks in the United States and currently offers an impressive range of personal savings accounts. In partnership with SaveBetter, you can open a Western Alliance Bank high yield savings account online.
There is only a $1 minimum deposit to open this account and no monthly maintenance fee.
Earn now 5.05% Ape on your deposit. Yes, FDIC insurance applies.
![Western_Alliance_Bank_Logo_SB_alt_draft Best 5% Savings Account: Western Alliance Bank](https://cdn.thecollegeinvestor.com/wp-content/uploads/2023/02/Western_Alliance_Bank_Logo_SB_alt_draft.png)
2. Ponce Bank – 5.05% Ape
Ponce Bank is a New York bank that has been around since the 1960s. It has 14 branches in New York and New Jersey.
We have partnered with SaveBetter to bring you this amazing money market account that requires a minimum deposit of $1 to open.
Earn now 5.05% Ape Overall balance! Yes, FDIC insurance applies.
Read the full Ponce Bank review here.
Click here to open an account >>
![Ponce bank logo Best 5% interest bank: Bank of Ponce](https://cdn.thecollegeinvestor.com/wp-content/uploads/2021/01/Ponce-Bank-Logo.png)
3. America First Credit Union – 5.03% Ape
American First CU Money Market Accounts are a solid option with national credit unions. Check this out if you are looking for a reliable credit union to deposit your savings.
Currently available are 5.03% Ape With just a $1 minimum starting deposit.
Read the full American First Credit Union review here.
Click here to open an account >>
![America's first credit union logo Best 5% Savings Account: America's First Credit Union](https://cdn.thecollegeinvestor.com/wp-content/uploads/2022/11/american-first-credit-union-logo.png)
4. Patriot Bank – 5.02% Ape
For almost 30 years, Patriot Bank has had physical branches throughout New York and Connecticut.
We have partnered with SaveBetter to bring you this amazing money market account that requires a minimum deposit of $1 to open.
Earn now 5.02% Ape Overall balance! Yes, FDIC insurance applies.
Read the full Patriot Bank review here.
Click here to open an account >>
![patriot bank logo 5% savings account: Patriot Bank](https://cdn.thecollegeinvestor.com/wp-content/uploads/2021/12/patriot-bank-logo.jpg)
5. Green State Credit Union – 5.01% Ape
green state credit union was founded in 1938 and has grown to be one of the largest credit unions in the United States. This account is offered in partnership with SaveBetter so you can open a nationwide digital savings account.
There is only a $1 minimum deposit to open this account and no monthly maintenance fee.
Earn now 5.01% Ape on your deposit. Yes, NCUA insurance applies.
Click here to open an account >>
![greenstate save a better logo 5% Credit Union: Green State](https://cdn.thecollegeinvestor.com/wp-content/uploads/2023/04/greenstate-save-better-logo.png)
6. Atlantic Credit Union – 5.01% Ape
The Atlantic Federal Credit Union Money Market Account is a solid option at one of the oldest credit unions in the United States. Check this out if you are looking for a reliable credit union to deposit your savings. Their goal is to provide superior financial products at the lowest possible cost.
Currently available are 5.01% Ape With just a $1 minimum starting deposit.
Click here to open an account >>
![1200x1200 - Atlantic Federation (1) Best 5 Percent Accounts: Atlantic Credit Union](https://cdn.thecollegeinvestor.com/wp-content/uploads/2023/02/1200x1200-Atlantic-Federal-1.png)
7. FVC Bank – 5.00% Ape
FVC Bank is a community bank founded in 2007 in the Washington, DC and Virginia area. The bank is technology-driven and strives to provide its customers with better tools. We have now partnered with SaveBetter to offer you this excellent online money market deposit account.
Currently available are 5.00% Ape With just a $1 minimum starting deposit. There are no monthly maintenance fees or other balance requirements.
This account is FDIC insured.
Click here to open an account >>
![fvcbank logo Best 5% Savings Account: FVC Bank](https://cdn.thecollegeinvestor.com/wp-content/uploads/2023/03/fvcbank-logo.png)
8. Cloud Bank 24/7 – 5.00% Ape
Cloudbank is open 24/7 is a digital bank provided by Third Coast Bank SBB. They are FDIC insured and focus on cybersecurity. This account is offered in partnership with SaveBetter so you can open a digital savings account.
There is only a $1 minimum deposit to open this account and no monthly maintenance fee.
Earn now 5.00% Ape on your deposit. Yes, FDIC insurance applies.
![cloud bank 247 logo Best 5 Percent Savings Account: Cloud Bank](https://cdn.thecollegeinvestor.com/wp-content/uploads/2023/03/cloudbank247-logo.png)
Other 5% Interest Accounts (CDs and Checking Accounts)
There are several other accounts that offer 5% interest, but they all have their ‘gotchas’. Some of these are Certificates of Transfer (CD). These are term deposits. This means that you must keep money in your account or you may be fined.
Another popular option here is a high interest checking account. This is a special checking account that offers promotional high interest rates if you meet certain terms and conditions (such as certain balances and transaction amounts).
Finally, there is a ‘Pay to Earn’ option where you can get a higher rate if you sign up for a promotional or Gold level type account. These aren’t great options, so I won’t list them here.
Crescent Bank 12 months CD – 5.15% Ape
Crescent Bank is a New Orleans-based bank that offers both local and national banking options. They currently offer some of the most competitive online certificates of deposit available. We also run regular CD promotions at attractive prices.
Now you can get 5.15% APY’s 12 Month CD Option! Minimum $1,000 required to open 1 CD.
Read the full Crescent Bank review here.
Check out the Crescent Bank CD here >>
![crescent bank logo Best 5% CD: Mikazuki Bank](https://cdn.thecollegeinvestor.com/wp-content/uploads/2022/11/crescent-bank-logo.webp)
Consumer Credit Union Rewards Check – Up to 5%
Consumers Credit Union is our top choice because they have a great Rewards checking account that offers amazing interest rates on their checking account. It is also on the list of the best credit unions.
What you can do right now is Earn up to 5.00% APY The first $10,000 will be credited to your checking account. This account has no fees, no minimum balance, and ATM fees will be refunded.
However, it must meet some criteria.
Earn 3.00% APY
- Receive e-documents.
- Complete at least 12 debit card purchases totaling $100 or more each month. Debit card transactions can be made with or without a personal identification number (PIN).
- A total of $500 or more in direct deposits or ACH credits must be posted to your account each month.
Earn 4.00% APY
Meet the 3.00% requirement plus:
- Spend $500 or more each month on purchase transactions with your CCU Visa credit card. There is no minimum number of transactions.
Earn 5.00% APY
Meet the 4.00% requirement plus:
- Spend $1,000 or more each month on purchase transactions with your CCU Visa credit card. There is no minimum number of transactions.
- There is no minimum balance to open a free checking account. CCU has over 30,000 ATMs with unlimited ATM fee refunds. There is also no limit to the number of checks that can be written.
If you don’t meet the tier requirements above, your checks are free, but your APY drops to 0.01%. Also, you cannot get a refund at an ATM.
Read the full Consumers Credit Union review here.
Learn more about Consumers Credit Union Rewards Checking >>
![consumer credit union logo 5% check: consumer credit union](https://cdn.thecollegeinvestor.com/wp-content/uploads/2019/09/Consumers-Credit-Union-Logo.png)
What should I know when choosing these 5% interest rate accounts?
The biggest factor in choosing a savings account is simply the interest rate. The higher the annual yield (APY), the better.
For example, if you have $10,000 in savings, you can earn $100 a year at just 1% interest. However, a 5% rate would make him 5 times $500 a year. That’s a big difference!
Other important factors to consider are:
monthly fee
Avoid accounts with monthly fees. Fees put pressure on revenue. The higher the fees, the lower the overall earnings. Most savings accounts have no monthly fees.
Is your money safe and insured?
You want to make sure your bank is FDIC insured and your credit union is NCUA insured. These government safety nets provide insurance up to $250,000 per individual or $500,000 jointly. This means that even if the bank fails, you won’t lose your money as long as you’re within those limits.
Minimum balance requirement
You should also understand the minimum balance requirements for opening an account and earning interest. Many accounts on our list have a simple $1 requirement. However, others (particularly CDs) have a minimum price of $1,000 or more.
In some cases, your bank will allow you to open an account for $0, but you will not earn interest until you reach another level (such as $10,000). Please be sure to check.
Minimum transaction requirements
This is especially true for high-interest checks, but make sure you understand if any kind of deal is required to get the best interest.
final thoughts
There are also 5% interest accounts, which are becoming more and more popular as Federal Funds interest rates rise. It may sound too good to be true, but it is legal.
It’s also important to remember that this has happened before. In the 1980s savings account interest rates reached 10%. So it could happen again as governments try to fight inflation.
Always look for a savings account with the highest interest rate. That way you get the most interest on your money.