Sticking With a Bank of America Savings Account Could Cost You $5,000 Over the Next Decade

There's lazy money, and then there's money sitting in a Bank of America savings account.

I've been writing about personal finance for years, and if there's one thing that still drives me nuts, it's how many people leave thousands of dollars on the table just by parking their cash in the wrong place. And they usually have no idea it's happening.

If you're one of the millions of people with a Bank of America savings account, I've got some bad news: Keeping your money there might quietly drain your long-term earnings. And by "drain," I mean cost you more than $5,000 in lost interest over the next 10 years.

That's not a scare tactic. It's just math.

The BoA problem: 0.01% is barely a rate

Let's say you're a pretty typical saver with around $10,000 stashed away for emergencies or future plans.

If that money is sitting in a standard Bank of America savings account, you're probably earning an APY of just 0.01%. Over the course of a year, that adds up to... $1.

Now compare that to many of the best high-yield savings accounts, which are still offering nearly 4.00% APY or more as of this writing. That same $10,000 would earn you around $400 a year -- and those earnings compound over time.

Here's what that looks like over 10 years:

• Bank of America (0.01% APY): ≈ $10 total
• High-yield savings (4.00% APY): ≈ $5,000 total

This isn't about risk, just awareness

Some people keep their savings with a bank like BoA because they think it's safer. Or they like the idea of having all their accounts under one roof. That's understandable. But FDIC insurance covers you the same way at an online high-yield bank as it does at the biggest brick-and-mortar ones.

The real reason most people stick with a low-rate account? They just don't realize what they're missing.

Online banks like Barclays, Synchrony, and SoFi® don't have the overhead of physical branches, which lets them pass more of that value on to customers through higher rates. They also make opening and managing an account incredibly easy -- we're talking five minutes from your phone easy.

How to stop losing money

If you've got money just sitting in a Bank of America savings account, here's what I'd suggest:

1. Figure out what you're actually earning. Log into your BoA account and look up the APY. Odds are, it's way below 1%.
2. Check out today's top high-yield savings options. There are multiple no-fee accounts offering nearly 4.00% or higher right now.
3. Transfer your emergency fund or other idle cash into a high-yield account and start collecting real interest.

That's it. You don't need to change banks entirely or close your old account if you don't want to. But moving even a portion of your savings can make a big difference over time.

Check out today's best high-yield savings accounts and finally start putting your savings to work.

Don't let your bank get away with this

Big banks like Bank of America are betting you won't notice. They know most customers won't bother shopping around for better savings rates. But now that you do know, don't give them another decade of your money for nothing.

If you had the chance to get paid $5,000 to click a few buttons and move your money, would you take it?

Because that's exactly what this is.