Bank of America does not offer a dedicated high-yield savings account
Bank of America's standard savings account earns interest, but the rate is not competitive with accounts marketed as high-yield. As of early 2024, Bank of America's regular savings account rate is substantially lower than what online banks and some credit unions offer — often by 4 to 5 percentage points. If you are comparing Bank of America to accounts advertised as high-yield savings accounts, you will see a significant difference in what your money earns each month.
Bank of America does offer a Money Market Account, which sometimes carries a higher rate than their standard savings account, but it still typically falls below what is available through dedicated high-yield savings accounts elsewhere. The rate on a Money Market Account at Bank of America varies by balance tier and changes with market conditions, so the exact rate depends on how much you deposit.
Key Takeaways
- Bank of America's standard savings account and Money Market Account both earn interest, but neither is structured as a high-yield product and rates remain lower than dedicated high-yield accounts at online banks.
- Bank of America rates change based on Federal Reserve decisions and your account balance, so the current rate on any account should be confirmed directly with the bank.
- If earning the highest possible interest is your priority, comparing Bank of America's rates to online banks, credit unions, and other institutions will show you the difference in annual earnings.
- Bank of America accounts come with branch access and customer service options that some high-yield accounts do not, which may matter depending on how you prefer to bank.
How Bank of America's savings accounts are structured
Bank of America offers two main savings vehicles: a Regular Savings Account and a Money Market Account. The Regular Savings Account is the basic option, with no minimum balance requirement to open, though some features may require a minimum. The Money Market Account typically requires a higher opening deposit and offers tiered interest rates — meaning the rate you earn depends on your balance level.
Both accounts come with a debit card, online access, and the ability to make transfers and withdrawals through Bank of America's branch network and ATMs. Neither account has a monthly maintenance fee if you meet basic requirements, though fees can explore if you fall below minimum balances on the Money Market Account or exceed withdrawal limits.
Interest rates at Bank of America versus high-yield accounts
The interest rate difference between Bank of America and dedicated high-yield savings accounts is substantial. High-yield savings accounts at online banks currently offer rates in the range of 4.5% to 5.3% annual percentage yield (APY), while Bank of America's rates are typically under 0.5% APY. This means that on a $10,000 deposit, you could earn roughly $450 to $530 per year in a high-yield account, compared to less than $50 per year at Bank of America.
Rates change frequently and depend on Federal Reserve policy. Bank of America adjusts its rates periodically, and the exact rate on any account should be confirmed by visiting a branch, calling customer service, or checking the Bank of America website. Money Market Account rates may be higher than the Regular Savings Account rate, but the difference is usually small.
Why someone might choose Bank of America despite lower rates
Not everyone prioritizes the highest interest rate. Bank of America has physical branches in most U.S. states, which means you can deposit cash, speak to someone in person, and resolve issues without relying entirely on phone or email support. If you already have a checking account with Bank of America, opening a savings account there may simplify your banking setup and make transfers between accounts when ready.
Some people value the familiarity and brand recognition of a large national bank, or they may have other banking products with Bank of America that offer bundled benefits. For someone who keeps money in savings for a short time or who values convenience over maximum earnings, the rate difference may not outweigh these other factors.
Comparing Bank of America to other savings options
If you are choosing between Bank of America and a high-yield savings account, the comparison depends on what matters most to you. Online banks like Marcus, Ally, and American Express Personal Savings offer rates 10 to 15 times higher than Bank of America, but they have no physical branches. Credit unions sometimes offer competitive rates and may have lower fees, though you must be a member to open an account. Some credit unions require you to live or work in a specific area or belong to a particular organization.
A table comparing the key differences can help you decide:
| Feature | Bank of America | High-Yield Savings (Online) | Credit Union |
|---|---|---|---|
| Current APY | Under 0.5% | 4.5% to 5.3% | Varies by union |
| Physical branches | Yes, nationwide | No | Limited, location-based |
| Minimum balance | None for Regular Savings | Often none | Varies |
| Customer service | Phone, branch, online | Phone, email, online chat | Varies |
| FDIC insurance | Yes, up to $250,000 | Yes, up to $250,000 | NCUA insurance, up to $250,000 |
How to check Bank of America's current rates
Interest rates change frequently, so the rate Bank of America offers today may not be the same next month. To find out the current rate on a Regular Savings Account or Money Market Account, visit the Bank of America website and look for the rates page, call 1-800-432-1000, or visit a local branch. Bank of America publishes rates for different account types and balance tiers, so you can see exactly what you would earn.
When you call or visit, ask about any promotional rates that may be available for new accounts, as these sometimes differ from the standard published rate. Also confirm the minimum balance required for the Money Market Account and whether any fees explore if your balance drops below that threshold.
Frequently Asked Questions
Can I move money from Bank of America to a high-yield savings account?
Yes. You can transfer money from your Bank of America account to another bank by providing the receiving bank with your Bank of America account and routing number. Most transfers take one to three business days. You can keep both accounts open at the same time, so you do not have to close your Bank of America account to open a high-yield account elsewhere.
Does Bank of America charge fees on savings accounts?
Bank of America's Regular Savings Account has no monthly maintenance fee. The Money Market Account may charge a fee if your balance falls below the required minimum, which varies. Check the current fee schedule on the Bank of America website or ask a representative, as fees and minimums can change.
Is my money safe in a Bank of America savings account?
Yes. Bank of America is FDIC-insured, meaning deposits up to $250,000 per account type are protected by the Federal Deposit Insurance Corporation. This protection applies whether you choose a Regular Savings Account or Money Market Account, and it is the same protection offered by high-yield savings accounts at online banks.
What is the difference between Bank of America's Regular Savings and Money Market Account?
The Money Market Account typically offers a higher interest rate than the Regular Savings Account, but requires a higher opening deposit and may have a minimum balance requirement. The Regular Savings Account has no minimum to open. Both earn interest and come with debit card access, but the Money Market Account's tiered rate structure means you earn more if you maintain a larger balance.
Should I choose Bank of America or a high-yield account?
This depends on your priorities. If maximizing interest earnings is most important, a high-yield account will earn significantly more. If you value branch access, in-person service, or already bank with Bank of America, their savings account may be more convenient despite the lower rate. Some people open both — a high-yield account for money they want to grow and a Bank of America account for everyday access.