What Are the Highest Yield Savings Rates in 2020?

Savings accounts have long been a safe, reliable way for people to save their money. With low risk and often higher-than-average returns, a good savings account can help you make the most of your hard-earned money. While most banks usually pay a low interest rate on deposits, there are still several online savings accounts with higher rates that you may find attractive. In this article, we will discuss some of the top savings accounts with the highest yield savings rates in 2020.

First and foremost, you should look for an online-only bank, such as CapitalOne360 or Ally Bank. Although they are still FDIC insured, they offer higher yields than most traditional banks. These digital banks typically offer up to 24x the National Average APY on their savings accounts which can really help you grow your savings. Additionally, they typically have low or no maintenance fees and out-of-network ATM fees.

Next, you should consider high yield savings accounts with credit unions. Credit unions are nonprofit financial institutions, providing higher rates on savings and other services. Coventry Credit Union offers some of the highest savings yield with their "Premier High Yield Savings" account, offering up to 20x the national average APY as of this writing. Unlike banks, they don’t have a long list of restrictions or requirements that make accessing your money difficult.

Certificates of Deposit (CDs) may be another option if you are looking for higher yields. CD accounts are insured by the FDIC and offer a fixed rate of interest in exchange for the account holder keeping the money in the account for a predetermined amount of time. That said, this means that if you need to access the funds prior to the CD’s maturation date, you will be penalized.

Finally, consider investing in high yield money-market accounts. A money-market account is an investment account that requires a minimum balance but pays higher yields than regular savings accounts. As with other higher-yield savings accounts, you should be sure to check the fees and restrictions associated with the account before you sign up.

When it comes to saving money, it pays to shop around for the highest yield savings rates. Online and credit union banks often have higher yields and fewer restrictions than their traditional counterparts. Additionally, Certificate of Deposit and money-market accounts can provide even higher yield rates for individuals willing to abide by the corresponding rules and restrictions. With the right approach, you can make the most of your money and achieve higher yields.