High-Yield Savings Accounts Surge to 5% APY

As of March 5, 2025, consumers can find high-yield savings accounts offering annual percentage yields (APYs) of up to 5%. This competitive rate provides an attractive option for those looking to grow their savings.

Recent data indicates a steady increase in the average APY for high-yield savings accounts, with some institutions offering rates as high as 6.35% for minimum deposits of $10,000. This trend is expected to continue as banks and credit unions vie for customers by offering higher interest rates.

Certificates of Deposit (CDs) are also presenting appealing returns, with some institutions offering APYs up to 5% for terms ranging from six months to 18 months. These rates are significantly higher than the national average for CD rates, which has been around 0.5% for several years.

Money market accounts are another option for consumers seeking to earn interest on their savings. As of March 4, 2025, money market account interest rates are well above historical norms, with some accounts offering APYs of up to 4.86%. These accounts typically require a higher minimum balance than traditional savings accounts but offer additional features such as check-writing privileges.

Financial experts recommend shopping around and comparing interest rates, fees, and other features when selecting a high-yield savings account or CD. Consumers should also consider the financial institution's reputation and customer service when making a decision.