Looking for a savings account without fees is important. Why give up your hard-earned cash and reduce your compounded earnings?
Fortunately, many high-yield savings accounts pay 8 to 10 times the national rate and don’t charge fees.
I’ve rounded up a list of all of the best no-fee savings accounts below and included what you need to know about each to decide to open one.
9 Best No-Fee Savings Accounts for December 2024
Here are the best no-fee savings accounts you can open today:
- Discover® Online Savings Account
- Synchrony Bank High Yield Savings
- Western Alliance Bank High-Yield Savings Premier
- Varo Online Savings Account
- Customers Bank High Yield Savings Account
- Sallie Mae HYSA
- CloudBank 24/7 Savings Account
- Marcus by Goldman Sachs High-Yield Savings
- GreenState Credit Union HYSA
1. Discover® Online Savings Account
- Minimum Deposit Requirement: $0
- Monthly Maintenance Fee: $0
Discover’s online high-yield savings account is the most transparent account out of the banks on our list. Like their credit card structure, Discover charges very few fees, making it easy to grow your savings faster.
Some of the fees Discover pledges not to charge include excessive withdrawals, expedited check delivery, stop payment, deposited item returned, insufficient funds, and account closure fees.
Plus, there’s no monthly maintenance fee to waive, and no minimum balance is required. They are unlike many other savings accounts that limit the number of monthly transactions before charging a fee or closing your account; they don’t have a limit.
2. Synchrony Bank High Yield Savings
- Minimum Deposit Requirement: $0
- Monthly Maintenance Fee: $0
Synchrony Bank offers a high-yield savings account online with no fees or minimum balance requirement. The Synchrony app makes it easy to bank from anywhere, and the account includes an ATM card for easy access to your funds, with ATMs showing the Plus or Accel logo.
Synchrony doesn’t charge a fee to use the ATM; however, the ATM owns it right, so always check.
You can deposit funds via external electronic transfer, internal transfer from a Synchrony account, mailed check, or direct deposit.
FDIC deposits are insured, and the APY is the same, no matter how much you deposit.
3. Western Alliance Bank High-Yield Savings Premier
- Minimum Opening Deposit Requirement: $500
- Account Activity or Maintenance Fees: $0
Western Alliance Bank, Member FDIC, has one of the most competitive high-yield savings accounts on the market, and it doesn’t have any account activity or maintenance fees.
The High-Yield Savings Premier is available through Western Alliance’s website.
You can easily link an external bank account to fund your savings account. Once you add your minimum opening deposit of $500, you’ll start earning the full APY on all your funds. The minimum balance required to earn APY is $0.01.
4. Varo Online Savings Account
- Minimum Deposit Requirement: None
- Monthly Maintenance Fee: $0
Varo Bank is one of the first fintech companies to obtain a national bank charter. This allows them to offer FDIC insurance and more robust banking services, including a no-fee savings account.
Varo Bank makes it easy to save money by not charging any monthly fees or requiring minimum deposits. Better yet, your deposits are FDIC insured up to $250,000 to protect your money further.
Earn up to 5.00% APY on the first $5,000 saved if you have $1,000 qualifying direct deposits monthly and have an average daily balance of $5,000. Any balance above $5,000 earns 2.50% APY.
Open a No-Fee Savings Account with Varo
5. Customers Bank High Yield Savings Account
- Minimum Deposit Requirement: $1
- Monthly Maintenance Fee: $0
Customers Bank has been in business since 2009, offering a variety of personal and business bank accounts.
It’s another solid choice if you’re looking for competitive interest rates and no monthly fees. The high-yield savings account from Customers Bank pays 11 times the national average savings rate.
You can apply for an account on the Raisin platform and link an external bank account to fund your savings account. Once you deposit $1, you’ll start earning interest, with no additional balance requirements or account tiers to worry about.
Currently, the account has no transaction limits or account fees, and your funds are FDIC-insured for up to $250,000.
6. Sallie Mae HYSA
- Minimum Deposit Requirement: $0
- Monthly Maintenance Fee: $0
Sallie Mae believes in helping young adults build their future, and not just with education loans. They offer robust savings programs to help your money grow with little to no fees.
The Sallie Mae High Yield Savings Account pays a high APY with interest compounded daily and paid monthly to help your money grow faster.
Sallie Mae HYSA funds are FDIC-insured, and no minimum balance is required.
The downside is they don’t have any physical branches, and customer service is only available during business hours, Monday to Friday, but online account management is always available.
7. CloudBank 24/7 High Yield Savings Account
- Minimum Deposit Requirement: $1
- Monthly Maintenance Fee: $0
CloudBank 24/7 should also be on your list if you’re looking for a fee-free high-yield savings account.
CloudBank 24/7 is the digital arm of Third Coast Bank, SSB, and it partners with Raisin to offer a truly fee-free savings account.
There are no requirements to earn the full interest rate beyond making a $1 minimum deposit. You can also make unlimited deposits and withdrawals from the account, which are processed in one to three business days.
8. Marcus by Goldman Sachs HYSA
- Minimum Deposit Requirement: $0
- Monthly Maintenance Fee: $0
Marcus by Goldman Sachs offers a high-yield savings account with no fees or no minimum deposit. They pay an APY 8 times the national rate and allow same-day transfers on amounts up to $100,000.
The Marcus app is intuitive and user-friendly, allowing you to make important financial decisions quickly. It takes only minutes to open an account, and you can link external accounts to transfer money.
Plus, their customer service center is available 24/7.
9. GreenState Credit Union HYSA
- Minimum Deposit Requirement: $1
- Monthly Maintenance Fee: $0
GreenState Credit Union is one of the country’s largest credit unions, and it’s open to members in all 50 states.
The High Yield Savings Account is one of its most popular products, with a competitive APY and a $1 minimum deposit. There are no monthly account fees or ongoing minimum requirements to earn the high-interest rate.
Rather than FDIC insurance, the account is insured by the National Credit Union Administration (NCUA) for up to $250,000.
What Is a No-Fee Savings Account?
No-fee savings accounts don’t charge monthly maintenance fees and offer high APYs with no monthly minimum balance requirements.
In other words, no-fee savings accounts allow you to make the most of your compounded earnings rather than giving them right back to the bank in the form of unnecessary fees.
How Do No-Fee Savings Accounts Work?
Most no-fee savings accounts are online, so you don’t have a brick-and-mortar bank to visit. But that doesn’t mean you must give up banking features to earn higher rates.
Online banks have just as many features as traditional banks, including robust mobile apps and the ability to use local ATMs to conduct some transactions.
Savings Compared to Common Account Fees
Online savings accounts typically don’t charge monthly maintenance fees, saving you up to $15 monthly, depending on the bank’s fees.
Most online banks also don’t charge other fees, such as non-network ATMs, overdrafts, or other miscellaneous fees.
The best thing about free online savings accounts is you don’t have to worry about dipping below a minimum balance. This is where most banks earn their money.
When customers’ bank account balances dip below the threshold, they charge a monthly maintenance fee. Even the most careful saver could forget or miscalculate, slip a few dollars below the threshold, and pay the fee.
How to Choose a No-Fee Savings Account
So how do you choose a no-fee savings account? A quick search online will turn up hundreds of options, but they aren’t all created equal.
Here are the top factors to consider when choosing a no-fee savings account.
Required Opening Deposit
Some banks require a specific opening deposit when applying for an account. The minimum may be low, like $5, but sometimes they are $250 or even $1,000. The higher the minimum opening deposit, the higher the bank’s APY.
If not, they may offer other unique services or benefits that other banks don’t offer. When choosing your bank, pay close attention to the requirements and what you get.
APY – Tiered or Regular?
One way some banks get you is with tiered interest rates. In other words, they advertise a high APY, but after you open an account, you realize you don’t meet the threshold to earn the higher APY and make much less interest.
Tiered APYs aren’t bad, but you must be able to meet and keep the minimum requirements to earn a higher rate. If you’re unsure of your ability to meet the threshold regularly, consider looking for an account with the same rate for all balances.
No Monthly Maintenance Fees
The point of a no-fee savings account is to avoid monthly maintenance fees. Some savings accounts may waive the monthly fee with a minimum balance, but it defeats the purpose of a free savings account.
Rather than worrying about minimum monthly balances, you can focus on growing your savings by avoiding fees altogether.
No Hidden Fees
Some banks that don’t charge monthly maintenance fees compensate for it with other fees. They may include fees for using certain ATMs, statement fees, inactivity fees, or other miscellaneous fees.
Always inquire about the hidden fees by contacting customer service or clicking on the fee disclosure before signing up for an account.
Customer Service Options
Consider what level of customer service you want and what methods you want to be able to use. For example, some banks offer only online support via email or chat, and others offer phone support or even some in-person opportunities.
ATM Availability
If your bank account includes an ATM card, consider the convenience of the ATM network. Locate ATMs near you to avoid any unnecessary ATM fees.
However, if you don’t want access to an ATM card to keep your savings growing, you may look for a bank that doesn’t offer ATM access.
How To Open a No-Fee Savings Account
It’s easy to open a no-fee savings account, especially since they are typically online-only accounts. Each bank may have a slightly different application process.
But in general, here’s what to expect.
- Find the account that meets your banking needs, including a high enough APY, no fees, and the convenience features you desire.
- Find the ‘Open an Account Now button and click on it, following the instructions to complete the application.
- Provide the personal information required, such as name, address, birth date, and Social Security number.
- Upload any necessary documentation to prove your identity, including your government-issued ID.
- Link an external bank account to fund your account and transfer at least the minimum deposit required.
Required Information
A limited amount of information or documentation is needed to open a no-fee savings account. You won’t need any other documentation if you can prove your identity with a government-issued ID, such as a driver’s license, passport, or state ID.
Everything else you must provide is just information that the bank will validate using your ID, such as your name, address, phone number, and birthdate.
Frequently Asked Questions
Do All Banks Charge for Savings Accounts?
Each bank has a different fee structure. Some advertise no monthly fees but charge ‘behind the scenes’ for many other features. Always read the fee disclosure to determine what a bank does and doesn’t charge.
Do Banks Require Any Minimums To Avoid Savings Account Fees?
Some banks require minimums to waive the monthly maintenance fee, but most online high-yield savings accounts don’t have that requirement; they just don’t charge a fee.
Can I Get a High Yield With a Free Savings Account?
You can get a high yield with a free savings account. Some banks that offer exceptionally high APYs may have a minimum balance requirement to obtain the APY, but that doesn’t mean they charge fees.
Are Free Savings Accounts FDIC Insured?
Always confirm that a bank offers FDIC insurance. They are likely insured if you go directly through a bank but always confirm. However, many fintech companies working with banks aren’t FDIC insured, so check first.
¹5.36% annual percentage yield (APY) is accurate as of 1/17/2024 and subject to change at the Bank’s discretion. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.
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