American Express High Yield Savings Review: A No Fuss, High APY Pick

This account matches the criteria we value most when picking the best online savings account. With a high annual percentage yield (APY) and no fees, the American Express® High Yield Savings from American Express National Bank will appeal to many savers. Our in-depth review will help you decide if it's the right tool to maximize your savings.

Here are the pros and cons of opening an American Express® High Yield Savings:

Top perks

2.00% APY as of Sept. 29, 2022. When investing money in a high-yield savings account, APY is one of the most important factors. The American Express® High Yield Savings offers one of the higher APYs we know of.

Ease of use. You can set up and start using your American Express® High Yield Savings in minutes. You can also have multiple linked accounts and move money between them. 

No monthly balance requirements. You don't need a minimum balance to open your account or avoid monthly fees. You will need at least $1 in your account to earn the APY. With no minimum balance requirements, you don't need to worry about having money trapped in your American Express® High Yield Savings.

No maintenance fees. As an online bank, American Express National Bank doesn't have the overhead costs of brick-and-mortar stores. As such, it can offer its High Yield Savings Account for free.

FDIC-insured. American Express National Bank is an FDIC member. This means that, just as with any traditional bank account, you're covered for as much as $250,000 per depositor, per institution, in the event of bank failure.

What could be improved

ATM access. Savings accounts are not meant for everyday spending. ATM cards, debit cards, or checks are not provided. You may make up to nine withdrawals or transfers out of your American Express® High Yield Savings during a monthly statement cycle.

Processing time. How long does it usually take to transfer funds online? The best method for transferring funds – and having them available to you as soon as possible – is by initiating the transfer on the website of the bank where the funds are currently held. By doing this, you are pushing funds to the destination bank.

The funds should appear in 1 to 2 business days (not including the time it takes to link accounts). If you open a American Express® High Yield Savings with American Express Savings, the fastest way to transfer your funds out of your savings account and into a checking account would be by initiating the transfer on the American Express bank site. In many cases, you may qualify for express transfers that can appear as soon as the same day.

However, if you chose to initiate funds transfer with the bank where you want funds to arrive, you would then be pulling funds. Depending on the destination bank's hold policies, this transfer could take three or more business days. If the destination bank is American Express National Bank and you initiated the transfer on the Savings website, the amount will be reflected in your Current Balance and will begin earning interest immediately. Then the funds will be available for withdrawal on the 5th business day.

While American Express National Bank has no physical branches, you still have a wealth of options to access your money easily and quickly -- some of which are fee-free.

Deposit options

There are multiple ways to deposit funds into your American Express® High Yield Savings, including:

• Electronic bank transfer from a linked bank account
• Wire transfer
• Mailing a physical check

You can initiate transfers online or via phone 24/7, but if it's after 7 p.m. Eastern Time, American Express considers the transfer to have occurred on the next business day. You also have the choice of setting up a one-time transfer or recurring transfer. Recurring transfers make it easy to regularly contribute to your savings.

When you transfer funds, they aren't available immediately. Because of a mandatory holding period, money isn't added to your available balance until five business days after you initiate your deposit. Business days are Monday through Friday, not including holidays.

Withdrawal options

You can use the same methods to withdraw money as you would to deposit it:

• Electronic bank transfer
• Wire transfer
• Physical checks

It takes one to three days for the funds to show up in your linked bank account after you make a withdrawal. One of the biggest downsides of the American Express® High Yield Savings is that you can't access your money quickly. But you can work around this by planning ahead and arranging to transfer funds several days before you'll need the money.

Remember, because there's no minimum balance requirement, you can withdraw all the money in your account at any time without worrying about fees or account closure.

The American Express® High Yield Savings is a solid pick, but it may not be suitable for everyone. We suggest comparing the savings account to a handful of other top picks.

If you want the highest possible returns on a savings account and you can plan ahead to deposit and withdraw funds, the American Express® High Yield Savings is a great choice. The absence of fees, ability to maintain multiple accounts, and lack of a minimum balance requirement provide a lot of flexibility. Not to mention the account's high APY: Your savings will earn the maximum interest possible without risk to your deposited funds.

If you think you'll miss out on having a local bank branch to visit or that you'll need immediate access to cash, you should look elsewhere. If a mobile app is important to you, you'll also need to consider another personal savings account.