How the Average American Could Earn 10x More Interest on Their Savings

If you're like most people, your savings account isn't doing you many favors.

The national average savings APY is just 0.38%, according to the FDIC. That means with $8,000 in a typical savings account, you're earning about $30 in interest per year -- barely enough to cover a nice dinner.

But there's a simple way to fix that: moving your money to a high-yield savings account (HYSA) that earns 10 times that amount.

These accounts are easy to open, pay far more interest, and can help you grow your money faster, all with minimal fees. Here's how you can open one in 30 minutes or less.

1. Find an HYSA that works for you

The best online banks offer high-yield savings accounts with APYs of about 4.00% or higher. That same $8,000 deposit could be earning $320 a year or more, with almost no extra work.

When comparing options, look for:

• An APY of at least 3.60%
• No monthly fees
• No minimum balance requirements
• FDIC insurance (protects up to $250,000 of your money from bank failure)

2. Open your new account

Once you choose an HYSA, opening it is usually quick and easy.

For most applications, you'll just need to provide basic info like your name, address, and Social Security number. Banks also run a soft credit check, which won't affect your credit score.

In most cases, you can open your new account in under 10 minutes. Some banks may also ask for a small initial deposit to get started. But before you know it, you'll be ready to save.

3. Move your money

After your account is open, you'll want to link your existing bank account and transfer your savings. The first transfer might take a bit to process, but in most cases your money will start earning interest as soon as it lands.

You also don't have to close your old savings account right away. You can leave it open until you're sure you've moved all automatic deposits and withdrawals to your new account. You can even leave it open forever if you want; just make sure you're not paying fees for inactivity or a low balance.

Ready to make the switch? Get up to 4.40% APY with one of our favorite high-yield savings accounts today.

Why do HYSAs pay more?

High-yield savings accounts can pay customers higher interest because they're offered by banks with less overhead than traditional ones.

Most banks offering HYSAs are online-only, so they avoid all the costs that come with physical bank branches. This allows them not only to pay higher interest rates, but to charge low or no fees, too.

Make the switch today

High-yield savings accounts offer a rare combo: strong returns and full flexibility. Unlike something like a certificate of deposit (CD), HYSAs don't lock up your money for months or years. You can deposit or withdraw funds anytime without penalties -- all while earning an APY that's 10X the national average savings rate.

If you want your money to stay safe, accessible, and working hard, an HYSA is one of the best places to keep your savings in 2025.