Chase does not currently offer a dedicated high yield savings account

Chase, one of the largest banks in the United States, does not have a product specifically branded as a high yield savings account. The bank's standard savings accounts earn interest rates that are significantly lower than what you would find at online banks or credit unions that focus on high yield products. As of now, Chase's regular savings accounts typically earn less than 0.01% annual percentage yield (APY), while high yield savings accounts at other institutions often pay 4% to 5% APY or higher.

If you bank with Chase and want higher interest on your savings, you have two main paths: keep your money at Chase in a lower-earning account, or move some or all of your savings to another bank that specializes in high yield products. Many people maintain a Chase checking account for everyday banking and bill pay while keeping their savings at a separate institution that offers better rates.

Key Takeaways

  • Chase savings accounts earn minimal interest compared to high yield savings accounts at online banks and credit unions.
  • You can open a high yield savings account at a different bank while keeping your Chase checking account for daily banking.
  • Moving money between Chase and another bank typically takes one to three business days through standard transfers.
  • High yield savings accounts at other institutions often require a minimum deposit, but many have no monthly fees.

Why Chase does not offer high yield savings

Large brick-and-mortar banks like Chase have higher operating costs than online-only banks. They maintain thousands of physical branches, employ tellers and loan officers, and run customer service centers. These expenses mean they cannot afford to pay the same interest rates that online banks can offer, because online banks have far lower overhead.

Chase's business model relies on lending money out at higher rates than they pay depositors. With a savings account earning nearly nothing, Chase keeps the difference between what they earn on loans and what they pay you. This spread is how traditional banks make money on deposits. Online banks and credit unions that offer high yield savings have chosen a different model: attract deposits with competitive rates and make money through other means, like lower loan volumes or membership fees.

Chase savings account options and their rates

Chase offers several savings products, but none are positioned as high yield. The Chase Savings Account is the standard option and earns a very low APY. The Chase Premier Savings Account requires a higher minimum balance and earns slightly more interest, but still far below what high yield accounts pay elsewhere. Chase also offers money market accounts, which sometimes pay marginally higher rates than savings accounts, but these are still not competitive with dedicated high yield products.

Interest rates at Chase change over time and may vary slightly based on your account type and balance. You can check current rates on Chase's website or by calling their customer service line. The rates are typically updated when the Federal Reserve changes its benchmark interest rate, though banks do not always pass along the full increase to depositors.

How to compare Chase to high yield savings alternatives

If you are deciding whether to keep your savings at Chase or move to a high yield account elsewhere, compare these factors: the APY offered, any minimum deposit required, monthly fees, and how straightforward it is to move money in and out. Most high yield savings accounts have no monthly maintenance fees and no minimum balance requirements, though some require a small opening deposit of $25 to $100.

Online banks that offer high yield savings include Ally Bank, Marcus by Goldman Sachs, American Express Personal Savings, and Discover Bank, among many others. Credit unions often offer high yield savings to members as well. You can research current rates on financial comparison websites, though rates change frequently and you should verify the current rate directly with the bank before opening an account.

The main trade-off is convenience. Chase branches are everywhere, and you can deposit checks in person or at an ATM. Online banks typically require mobile check deposit or transfers from another account. If you rarely need to deposit cash or checks, this is not a problem. If you deposit cash frequently, you might keep a small amount at Chase for that purpose and move larger savings to a high yield account.

Moving money between Chase and another bank

If you decide to open a high yield savings account at another bank, transferring money from Chase is straightforward. You can set up an external transfer from your Chase account to the new bank, or you can provide the new bank with your Chase account information and have them pull the money over. Both methods typically take one to three business days.

You do not have to close your Chase account to move your savings elsewhere. Many people keep a Chase checking account for bill pay and everyday spending while maintaining a high yield savings account at another institution. This way you get the convenience of Chase's branch network and bill pay system, plus the higher interest rate on savings.

When a Chase savings account might still make sense

Despite the low interest rate, a Chase savings account could be the right choice if you need frequent access to cash and value having a physical location to visit. Some people use a Chase savings account as an emergency fund that they can access when ready, while keeping longer-term savings in a high yield account elsewhere. Others prefer having all their accounts at one bank for simplicity, even if it means earning less interest.

If you have a large balance and the difference in interest adds up to significant money over time, moving to a high yield account is worth the small effort of setting up a transfer. If you have a small balance that you rarely touch, the extra interest might not be worth the hassle of managing accounts at two banks. The math is personal and depends on your balance, how long you plan to keep the money there, and how much you value simplicity.

Frequently Asked Questions

Can I earn high yield interest on a Chase savings account?

No. Chase's savings accounts earn minimal interest, typically less than 0.01% APY. If you want high yield savings, you would need to open an account at a different bank, such as an online bank or credit union.

What is the current interest rate on Chase savings accounts?

Chase's savings account rates are very low and change infrequently. You can see the current rate on Chase's website or by logging into your account. Rates vary slightly by account type and region, so check directly with Chase for your specific rate.

Can I keep my Chase checking account and open a high yield savings account elsewhere?

Yes. Many people do this. You can keep your Chase checking account for bill pay and daily banking while opening a high yield savings account at another bank. Transferring money between them takes one to three business days.

How much more interest would I earn in a high yield account?

The difference depends on the balance and the rate. If you have $10,000 in a high yield account earning 4.5% APY instead of 0.01% at Chase, you would earn roughly $450 per year instead of $1. The larger your balance, the more the difference matters.

Is my money safe in a high yield savings account at another bank?

If the bank is FDIC-insured, your deposits are protected up to $250,000 per account. Most online banks and credit unions that offer high yield savings are FDIC or NCUA-insured. You can verify this on the bank's website or by checking the FDIC or NCUA database.