This review was updated January 17th, 2018.
Barclays Online Savings checks many of the boxes for what we think is essential for a savings account, including a high annual percentage yield (APY), a focus on cutting fees, and exceptional convenience. This is why we picked it as one of our favorites (read our full list of the best high-yield savings accounts to uncover the rest). Let's dive in so you can learn whether Barclays Online Savings checks all the boxes for you.
|Bank Name||APY||Min. Opening Deposit||Key Features|
Barclays Online Savings
-$0 monthly maintenance fee
-Mobile app and deposit
What we like about Barclays Online Savings
- High APY -- Yield-hungry savers should seek an APY of at least 1%, and Barclays Online Savings Account delivers at 1.30%. It's worth mentioning that the stated rate applies to all balances, whereas some competitors will reduce the rate as balances increase.
- $0 minimum deposit -- Waiving the minimum deposit adds convenience that customers may find valuable.
- $0 monthly maintenance fee -- Low to no fees are the norm for high-yield online savings accounts. We believe this is one of the most important features for a prospective savings account, given that fees can quickly wipe out interest earnings.
- Mobile convenience -- Mobile convenience is a must-have for an online savings account, and savers will likely value making mobile check deposits and free electronic transfers. The app receives high marks from users as well: The iOS version has 4.5 out of 5 stars, while the Android app has 4.4 out of 5 stars.
What could be improved for Barclays Online Savings
- Withdrawal limit fees -- The fee for surpassing six withdrawals during a statement cycle is $5 per transaction. If you expect to make a lot of withdrawals, consider an alternative savings account with no withdrawal fees (though you may also want to consider a different kind of account altogether, given that all savings accounts are limited to six withdrawals each month, whether or not they charge account holders for overages).
WANT YOUR SAVINGS TO EARN MORE? >> Check out current CD rates
How to fund a Barclays Online Savings account
Customers can fund their accounts via the standard means, including free electronic transfer from an external account, mobile check deposit, payroll or Social Security direct deposit, and mailing a physical check.
How to withdraw funds
Funds can be withdrawn via electronic transfers to an external account or by mailing a physical check.
Other high-yield savings accounts to consider
Barclays Online Savings Account has nearly all the features we covet, but you may have a different set of needs that make a different account a better fit. We'd suggest visiting our banking center to compare hundreds of high-yield savings accounts or reviewing our other picks of the best high-yield savings accounts below, especially if a cash bonus is important.
|Feature||Barclays Online Savings||Discover Savings||CIT Bank Premier High Yield Savings|
|Min. opening deposit||$0||
|Bonus||$0||Up to $200 using code FOOL1217 with qualifying deposit*||$0|
|Monthly maintenance fee||$0||No monthly maintenance fees||$0|
|Withdrawal limit fee||$5||$15||$0|
|Next steps||APPLY NOW||APPLY NOW||APPLY NOW|
|Bank review||--||Discover Savings full review||CIT Bank Premier Savings full review|
A high yield and low fees are savings account essentials, and the online savings account market is too competitive to waver on either. The Motley Fool has long advocated for cutting fees, be it when investing or when banking. This mantra is perhaps even more important for a savings account, where fees can quickly wipe out interest earned. Barclays Online Savings fits the bill, which is why we're enthusiastic about it as a high-yield online savings account.
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