I Analyze Bank Accounts for a Living -- Here's What I'd Do With $5,000
Image source: Getty Images
You can do a lot of things with $5,000.
You could book a spontaneous vacation, buy your partner a special gift, or hit Vegas and let it all ride on black.
But if you want to put that $5,000 in a safe place and earn a solid return, here are a few smart moves that can stretch your money even further -- without any of the risk.
For accessibility: Put it in an HYSA
If this $5,000 is your emergency fund (or money you might need at the drop of a hat), accessibility matters more than squeezing out every last penny in interest.
That's why I'd park it in a high-yield savings account (HYSA). Right now, top HYSAs are paying around 4.00% APY, and your money stays fully liquid. You can transfer it out whenever you need it, and it's held safe within an FDIC-protected account.
One of my go-to picks is LendingClub. Its HYSA offers a really high yield of 4.20% APY with $250+ in monthly deposits, no monthly fees, and a smooth mobile experience that makes managing savings easy. Read our full LendingClub LevelUp Savings review here to see if it's a good fit for you.
2025 Award Winner
LendingClub LevelUp Savings
On LendingClub's Secure Website.
= Best
= Excellent
= Good
= Fair
= Poor
= Best
= Excellent
= Good
= Fair
= PoorOn LendingClub's Secure Website.
- Competitive APY
- No fees
- Easy ATM access
- Unlimited number of external transfers (up to daily transaction limits)
- Requires you to make monthly deposits to earn the best APY
- ACH outbound transfers limited to $10,000 per day for some accounts
- No branch access; online only
The LendingClub LevelUp Savings account has a lot to offer. At the top of the list is its high APY, though you must deposit monthly to earn the best rate. Next is zero account fees, a strong and straightforward perk. Finally, you get a free ATM card, which you can use to withdraw from thousands of ATMs nationwide. Interested? You can open an account with $0.
For higher yield: Lock it in a CD
If you don't need the money for at least 6 to 18 months, a certificate of deposit (CD) can earn you even more -- with zero risk.
CDs have a fixed interest rate for a set period of time. But you must leave your money untouched until the term ends, or you'll pay an early withdrawal penalty.
Right now, some of the top short-term CD rates are around 4.00% APY. This is a great rate to lock in, especially since interest rates are expected to fall pretty quickly in the last few months of 2025.
CDs are one of the best low-risk options out there. They're perfect for a future home down payment, next year's travel fund, or any savings you won't need right away..
For flexibility: Split it across both
A split strategy gives you the best of both worlds. Some of your cash stays quickly accessible, while the rest gets locked up earning the highest rate for a longer time.
Here's one simple way to divide up $5,000 in savings:
- $3,000 in an HYSA -- fully liquid and earning a great rate
- $2,000 in a short-term CD -- locked in at a higher yield
This way, you've got quick access to some cash if life throws you a curveball -- but you're still earning above-average interest on the rest.
Don't let $5,000 sit around doing nothing
No matter what your financial goals are, one thing's for sure -- your $5,000 deserves better than collecting dust in a checking account earning 0.01% APY.
Right now, HYSAs and CDs are offering some of the best rates we've seen in years. But with interest rates expected to fall soon, this window won't stay open forever.
Just one small money move -- like opening a new bank account -- could mean an extra $200 or more in passive income over the next year. No investing, no risk, and no flying to Vegas to take your chances.
Don't wait until rates drop or your money loses value to inflation.
Compare today's top HYSAs and start earning more on your savings.
Our Research Expert
Joel O’Leary is a full-time Personal Finance Writer at Motley Fool Money, covering credit cards, bank accounts, investing, mortgages, and other personal finance topics. Joel has been writing about personal finance since 2018, previously leading editorial content for the How To Money podcast and serving as a resident writer at Budgets Are Sexy. He bought his first rental property at age 18, funding the down payment with savings from his high school job at McDonald’s -- a testament to his lifelong passion for smart money decisions. His work aims to make personal finance accessible and actionable for everyday readers. When he’s not writing, Joel enjoys surfing and spending time with his family.