Highest Savings Account Interest Rates (February 2024) | Freo (2024)

FAQs

How high will savings interest rates go in 2024? ›

According to the Summary of Economic Projections, the Fed may implement up to three 25-basis point interest rate cuts in 2024—bringing the federal funds rate closer to 4.60%. If this happens, it won't be surprising to see banks following suit and decreasing their savings account rates.

As of May 2024, no banks are offering 7% interest rates on savings accounts. Two credit unions have high-interest checking accounts: Landmark Credit Union Premium Checking with 7.50% APY and OnPath Credit Union High Yield Checking with 7.00% APY.

The Best CDs in Each Term Pay 4.82% to 5.75%

Rates shown are APY for the highest nationally available CD per term, current as of Feb. 8, 2024. Below you'll find featured rates available from our partners, followed by details from our complete ranking of the best CDs available nationwide.

Key takeaways. The national average rate for one-year CD rates will be at 1.15 percent APY by the end of 2024, McBride forecasts, while predicting top-yielding one-year CDs to pay a significantly higher rate of 4.25 percent APY at that time.

The BoE expects a sharp slowdown in inflation in 2024. If inflation continues to fall, the BoE will be able to start cutting interest rates, likely leading to lower savings interest rates.

Competition between banks and building societies to attract current account holders is growing more fierce, as the best savings rate in a decade has been announced. Nationwide Building Society is launching a linked savings account paying 8 per cent interest plus a £200 switching bonus.

Which Bank Gives 7% Interest Rate? Currently, no banks are offering 7% interest on savings accounts, but some do offer a 7% APY on other products. For example, OnPath Federal Credit Union currently offers a 7% APY on average daily checking account balances up to and under $10,000.

Where can I get 6% on my savings? ›

Another alternative to 6% CDs is Digitial Federal Credit Union's Primary Savings Account, which currently offers a 6.17% APY on the first $1,000 in the account. DCU is open to anyone in the U.S. who donates at least $10 to one of five organizations.

Mortgage rates are expected to go down in 2024 once inflation slows and the Fed is able to start cutting its benchmark rate, which has an impact on all types of consumer borrowing costs.

Goldman Sachs Bank USA is an FDIC member, which means that funds deposited in Marcus savings accounts are insured up to the maximum allowed by law, which is currently $250,000 for all your individually-owned accounts combined, $250,000 per owner for all your jointly-owned accounts, and $250,000 per beneficiary for ...

"As many analysts predict, the Fed is likely to start cutting rates later in 2024 and continue in 2025. If we see an overall 1% decrease in rates, we can expect to see top savings rates fall by 1-2%, depending on the institution," says Aaron Cirksena, founder and CEO at MDRN Capital.

Projections suggest that we may see no rate increases in 2024, and that the Fed might start dropping its rate later this year, according to the CME FedWatch Tool on April 30. If the Fed rate drops, CD rates will likely follow suit, though it's up to each bank and credit union if and when that occurs.

As recently as their last meeting on March 20, the officials had projected three rate reductions in 2024, likely starting in June. But given the persistence of elevated inflation, financial markets now expect just one rate cut this year, in November, according to futures prices tracked by CME FedWatch.

The average 30-year fixed mortgage rate as of Thursday was 6.99%. By the final quarter of 2025, Fannie Mae expects that to slide to 6.0%.