Your $20,000 at Wells Fargo Isn't Making You Any Richer. How to Make $800 More
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Wells Fargo was the only bank I'd ever saved with -- until recently, when I realized I was earning just 0.01% annual percentage yield (APY) on my cash.
That means I was getting exactly $2 a year in interest on a $20,000 balance. Not great.
I dumped Wells Fargo a few months ago for a high-yield savings account (HYSA), and I highly recommend you do the same. Right now, top HYSAs are earning 4.00% or higher, which means you can earn $800 a year in interest on $20,000 in savings -- all without lifting a finger.
Here's how easy it is to switch accounts and supercharge your savings.
Wells Fargo vs. HYSAs: There's no contest
With a top HYSA, you can earn literally 400 times more in interest than you are with Wells Fargo. Here's how much you'd make with different balance amounts:
| Balance | HYSA Earnings (4.00%) | Wells Fargo Earnings (0.01%) |
|---|---|---|
| $20,000 | $800 | $2 |
| $10,000 | $400 | $1 |
| $5,000 | $200 | $0.50 |
As you can see, there's no comparison. and even if interest rates keep falling as expected, the difference will still be massive.
Some of the best HYSAs also come with perks like:
- No account fees or minimum deposit requirements
- No-fee overdraft coverage
- Early paycheck access
- FDIC insurance up to $250,000, just like Wells Fargo
Ready to earn hundreds more on your savings? Check out our full list of the best high-yield savings accounts today.
Opening an HYSA is a breeze, too
Moving your money to a high-yield savings account is quick and easy. It took me less than half an hour to open mine -- and I did it without leaving my couch.
Here's how you can get started:
- Compare top options. Look for HYSAs with a high APY and no fees.
- Apply online. Applications are usually quick and easy.
- Transfer your funds to your new account.
- Move direct deposits and other automatic transfers to your new account, too.
Once you're all set up, you can even close your old account if it no longer serves a purpose.
That was the last step for me -- calling Wells Fargo and closing up shop. To be honest, it felt like the end of an era -- and the start of an exciting, more profitable one.
For an easy way to earn more on your cash, I highly recommend you do the same.
Want to earn 4.00% APY or more on your money? See our full list of the best high-yield savings accounts available now.
Our Research Expert
Ryan Wilcox is a full-time Personal Finance Writer at Motley Fool Money, covering credit cards, bank accounts, investing, auto insurance, and other personal finance topics. Ryan has been writing about credit cards and savings since 2022. Before joining Motley Fool Money, he was a full-time writer at The Points Guy, where he focused on maximizing credit card rewards and travel strategies. He holds a bachelor’s degree in English and American History from the University of North Carolina at Chapel Hill, where he also spent four years reporting for The Daily Tar Heel. With a background in both journalism and consumer finance, he brings a clear and thoughtful voice to money topics. Outside of work, Ryan is likely reading, writing, or updating his Letterboxd account.