You can get up to 5.00% APY on the best high-yield savings account on July 2, 2025

Rising inflation and economic uncertainty has prompted the Federal Reserve to pause any further rate cuts. While this has mixed implications across the U.S. economy, it suggests that average savings account APYs may remain stable for the time being.

For investors who want to maximize their returns or save for a new financial goal, Fortune has collaborated with Curinos, a team of financial industry experts, to provide an overview of the most competitive high-yield savings account rates available on July 2, 2025.

The best high-yield savings account rates on July 2, 2025: Earn up to 5.00% APY

Varo Money has the best savings account rate on July 2, 2025, offering up to 5.00% APY. As part of our ongoing commitment to help readers optimize their savings, Fortune continuously monitors the top rates offered by leading U.S. financial institutions. Compare the top savings account rates below on July 2, 2025:

FDIC average national deposit rates: January 2020 to present

The rates listed above are significantly higher than the national average of 0.38% that you’ll find on many accounts. And after the Fed’s recent rate cuts this average has been falling, down from a previous high of 0.47% in March 2024.

Savings account news in 2025

The Federal Reserve’s monetary policy decisions play a key role in shaping savings account rates. When the Fed raises its benchmark rate, financial institutions typically follow suit by increasing the APYs offered on savings accounts to remain competitive. Conversely, when the central bank lowers rates, savings account yields generally decrease.

The Fed has left the fed funds rate, its key short-term interest rate, unchanged at 4.25%-4.50% since December 2024. With inflation potentially heating up again, we are unlikely to see more rate cuts any time soon, so it’s logical to believe that the high-yield savings rates we see now could be sticking around for a while longer.

Just bear in mind that the linkage between Fed rates and savings yields isn’t always so direct. Banks adjust their savings rates based on a variety of factors, including their own financial objectives, efforts to attract new customers, and broader market conditions.

Here’s why finding high-yield savings account is important

The key difference between high-yield and traditional savings accounts lies in the interest rate offered; High-yield accounts typically provide rates 10 to 20 times higher than conventional accounts. For example, while the national average savings rate is 0.38%, many of the high-yield accounts on our list offer rates above 4%.

Traditional accounts often come with physical branch access but lower rates, while high-yield accounts are typically offered by online banks. They feature higher rates but no option for in-person services. Just remember that no matter what type of account you have, you’ll owe the IRS a portion of the interest earned.

Substantially higher interest rates aren’t the only perk you get from these accounts, either. They’re often free from minimum balance requirements or monthly fees. Your liquid funds remain easily accessible, making them ideal for emergency funds or short-term savings goals. And these online accounts are still FDIC-insured, providing the same protection as traditional banks.

When comparing savings accounts, keep these factors in mind:

• Interest rates: Look for competitive APYs to maximize your earnings.
• Minimum balance requirements: Many high-yield accounts have no minimums.
• Fee structure: Avoid accounts with monthly maintenance fees.
• Fund accessibility: Ensure easy withdrawals or transfers when needed, preferably without charging foreign ATM fees
• Security: Verify FDIC insurance coverage.

Frequently asked questions

Series on daily savings rates created by former Fortune editor Cassie Bottorff. This edition has been updated by Editor, Evergreen Content Glen Luke Flanagan.