The Federal Reserve reduced its target interest rate in September. That means high-yield savings account rates, which have recently been upwards of 5% APY, are beginning to fall as well.

In order to get the highest interest rate possible on your savings, it’s important to do your research and find competitive offers. Not sure where to start? Here’s a closer look at savings interest rates today and where you can find the best ones.

Where are the best savings interest rates today?

The average interest rate on a traditional savings account is only 0.43%, according to the FDIC. However, the best savings rates can be found on high-yield accounts, which often pay around 4.5% to 5% APY or even more.

These top rates are generally offered by online banks, though you can also find competitive rates at some credit unions and community banks.

For example, the highest savings account rate available today is 4.75% APY. This rate is offered by Everbank and there is no minimum opening deposit required.

Here is a look at some of the best savings rates available today from our verified partners:

Related: 10 best high-yield savings accounts available today>>

Historical savings account rates

Over the last decade, savings account interest rates have fluctuated quite a bit. From 2010 to about 2015, rates were rock-bottom, hovering at around 0.06% to 0.10%. This was largely due to the 2008 financial crisis​ and the Federal Reserve’s decision to lower it’s target rate to near-zero in order to spur economic growth.

From 2015 to 2018, interest rates began to gradually increase. However, they remained low by historical standards. Then the onset of the COVID-19 pandemic in 2020 led to another sharp decrease in rates as the Fed once again cut rates to stimulate the economy. This brought average savings interest rates down to new lows, around 0.05% to 0.06% by mid-2021​.

Since then, savings account rates have recovered considerably, largely driven by the Fed's interest rate hikes in response to skyrocketing inflation. However, the Fed finally lowered the federal funds rate in September and November 2024, and as a result, deposit rates are beginning to fall as well.

The following is a look at how savings interest rates have changed over the past decade:

Is a high-yield savings account right for you?

Despite the fact that interest rates have risen substantially since 2021, the average savings account rate is still fairly low, especially compared to market investments. If you’re saving for a long-term goal such as a child’s education or retirement, a savings account probably won’t generate the returns needed to reach your goal.

On the other hand, if you’re saving for an emergency fund, home down payment, vacation, or other short-term goal, a high-yield savings account is ideal — especially if you want to access the funds as needed. Other types of deposit accounts, including money markets and CDs, may offer similar or even better rates, but restrict how often you can make withdrawals. The key is to shop around and find an account that provides a competitive rate with low or no fees.