Best Online Savings Account

Whether you are a student, parent, or just looking to have some money put away for a rainy day, a savings account is a necessity.

Do you often find yourself planning a budget but then overspending? 

A savings account will keep your cash separate from your spending account.

Helping you resist spending your savings on things you don’t really need.

You can also have an emergency fund for unexpected expenses. The opportunities for your savings are endless.

Sounds brilliant but don’t know where to set one up? We have the best online savings account on the market for you to choose from.

Start saving your money with ease and watch your fund grow, all from the comfort of your smartphone, laptop, or tablet. 

Best Online Savings Account


Through Comenity Capital Bank, Bread Savings (formerly Comenity Direct) is FDIC-insured.

The Bread Savings high-yield savings account boasts no monthly service fees, a competitive rate, and a low opening deposit of just $100.

Bread Savings offers some of the highest APYs (Annual Percentage Yield) at 2.90%.

This is available in a savings account. And all you need is $100 to start.

You can easily access your savings account through your iOS or Android device, meaning you can check on your savings whenever and wherever you are in the world. 

If you have any questions or if something doesn’t seem right with your savings account, you can easily discuss the matter with the Bread Savings customer care team.

The customer care team is available by telephone Monday - Friday from 7 am to 11 pm. They are even open on weekends from 9 am to 5 pm. 

However, one drawback of Bread Savings is that no ATM or debit card is available for physical withdrawals.

Although, automated clearing house (ACH) transfers can be made with no extra fee.


  • High APYs. With an APY of 2.90%, Bread Savings offers one of the highest APYs on the market. 
  • Low Deposit. With a low deposit of $100, you can begin making deposits and withdrawals from your Bread Savings account. 
  • Customer Support. Whether it's a weekend or a weekday, you can easily contact the customer support team by telephone for any issues or queries.


  • No ATM or debit card. You cannot make physical withdrawals from your Bread Savings account, as no ATM or debit card is provided. However, you can make transfers.  


Savings Connect accounts at CIT Bank can be started with just $100.

The bank doesn't impose a monthly service fee on this account and provides a competitive APY.

Additionally, it provides CDs, a checking account, a money market account, and a Savings Builder account.

CIT Bank offers a range of Saving Accounts. Whether you are looking for something short-term or flexible, or if you require a long-term saving account, CIT Bank has something for everyone.

These types of accounts make it easy to define your saving goal and to achieve it.

The CDs (Certification of Deposit) come with competitive APY rates allowing you to be flexible with your savings and stick to your goals.

However, CIT Bank Savings Accounts will impose a penalty or reduce your earnings if you make an early withdrawal which can be a major factor for those looking to make regular deposits and withdrawals to their savings accounts. 

CIT Bank offers flexible savings with a competitive APY; you only need $100 to get started.


  • Low Deposit. With only $100, you can open a CIT Bank Savings Account. 
  • Range of Accounts. Flexible, short-term, and long-term accounts are all available to help you reach your financial goals.
  • CDs. CDs can offer a higher interest rate and will help your money grow. 
  • Competitive APY. The higher the APY, the better your annual return will be.


  • Early Withdrawal Penalty. Depending on the Savings Account you open, CIT Bank may have a penalty fee or reduce your earnings if you make an early withdrawal from your account. 


The internet banking arm of Citizens Bank is called Citizens. It provides CDs with duration's ranging from six months to five years as well as high-yield online savings accounts.

Although there is no monthly maintenance charge for the online savings account, you must deposit at least $5,000 in order to open your account.

Citizens offer 3 different savings accounts which appeal to a range of people in different financial positions.

Their One Deposit Savings account is similar to a student checking account.

This account has no monthly maintenance fee so long as you make some form of deposit every month. Otherwise you will face a small charge. 

You use your Citizens Savings Account to help pay for your overdrafts with their Savings Overdraft Transfer system.

This is an incredible service if you often find yourself going into your overdraft at the end of each month.

Or are looking to pay off debt with your savings. 

Another benefit of opening a Citizens savings account is that you can get paid 2 days early with their Citizens Paid Early system.

This is completely free of charge and helps you to avoid your overdraft. 


  • 3 Different Savings Accounts. No matter your financial situation, you can open a Citizen Savings account. 
  • Savings Overdraft Transfer. Transfer for your savings to help cover your overdraft costs at the end of the month to keep you from gaining more debt. 
  • Citizens Paid Early. Get paid 2 days early every month with this system to help pay your bills, stay out of overdraft, and better manage your expenses.


  • Service Charge. If you happen to miss a monthly deposit, you will be faced with a small charge for maintaining your account. 


With Barclays savings accounts, you will earn a competitive APY.

However, the main attraction of this savings account is that there is no minimum deposit to be paid in order to open an account. And there is no monthly maintenance fee to be charged. 

Whether you are a multi-millionaire or are on a starting salary, you can open a savings account with Barclays.

With no minimum opening deposit, you can have your account ready for when you have funds to start saving. 

Once you open your Barclays savings account, you will have secure, 24/7 online access to your funds through your smart device.

They also offer a Barclays Savings Assistant, which helps you set defined goals for your savings and provides tools on how to get there. 

Make direct deposits from your spending account to your Barclays Savings Account without any extra fees or steps.

A Barclays Savings Account is perfect for anyone looking for a simple way to save money without any massive fees. 


  • No Minimum Deposit. You can simply open a Barclays savings account without having to make any deposit, to begin with. 
  • No Monthly Fees. Whether you deposit cash or not, there is no monthly maintenance fee. 
  • 24/7 Access. As Barclays savings accounts are online, you have secure access to your account at any time. 
  • Direct Deposits. Move money into your savings account through a direct deposit without any extra fees or steps.


  • No Branches. Barclays does not belong to an ATM network, offer a checking account, or have in-store branches. Everything is done online. 


Tired of having to transfer money from your savings account to your checking account to be able to withdraw money from an ATM?

Then you may want to take a closer look at what Synchrony Bank has to offer. 

Synchrony Bank offers a range of savings accounts, including IRAs, CDs, and High Yield Savings accounts.

Each of these is great, depending on your saving goals. You can use their Savings Goals Calculator to determine how much you will need to save to reach your financial goals. 

While Synchrony has easy online access to your accounts through its app, it also provides an ATM card that allows you to withdraw money easily.

Through the Synchrony Bank app, you can also directly contact the highly-rated customer service team to solve any problems and answer any questions. 

With no minimum deposit, no minimum balance to keep, and no monthly fees, Synchrony Bank Savings Accounts are a great low-cost option to help you reach your financial goals.


  • ATM Card. Withdraw physical money from an ATM without having to make any prior transfers to your checking account. 
  • Savings Goals Calculator. Determine just how much you need to save to reach your financial goals. 
  • Customer Service. Have 24/7 direct contact with the customer service team for any questions of issues. 


  • 60 Days to Make A Deposit. While no minimum deposit is needed to open an account, a deposit must be made within 60 days, or your account will be closed. 

Buyers Guide

Selecting an account to begin saving your money is not something to be taken lightly.

There are different factors to be considered before an account. But understanding what to look for can take time and effort.

We have created this simple guide to ensure you select the best savings to account for you.


Best Online Savings Account

Types Of Savings Accounts

There is only one kind of savings account, generally speaking. Even though certain savings accounts are referred to as high-yield savings accounts, this only sometimes means that they provide greater rates. 

Savings accounts, however, can be identified by the owner(s) of the savings account. Below are the different types of savings accounts:

  • Individual Account. This is an account held by a lone individual. This account is only accessible to you. If the individual account holder has granted someone power of attorney, this rule may be altered.
  • Joint Account with right of survivorship. The account is paid to the account holder who is still alive if two people have a joint savings account with no additional beneficiaries and one of the joint owners passes away.
  • Uniform Transfers to Minors Act (UTMA). Also known as the Uniform Gifts to Minors Act (UTMA), this type of account has 1 custodian and 1 minor. Depending on the state and the account, the custodian manages the minor's account until the child becomes 18 or 21. 
  • Payable on Death (POD). If one or more beneficiaries are named on an individual savings account and the account owner passes away, the remaining balance will go to these beneficiaries. A death certificate or other appropriate documentation is required. A beneficiary identified as POD on a joint account would only be entitled to this account once the final account owner passed away.

Online Savings Accounts Vs Traditional Savings Accounts

The APY offered by internet banks versus traditional banks' savings accounts is a significant distinction. Online banks typically provide yields that are substantially more affordable.

Brick-and-mortar banks often offer rates that are either close to the current 0.13 percent annual percentage yield (APY) national average or rates that are almost nothing at 0.01 percent APY.

Another significant difference between online and traditional savings accounts is branch access.

Traditional savings accounts will have branches that customers can visit for customer support or to make deposits to their accounts. Online banks rarely have in-person branches.

Meaning customers have to use alternative methods to make deposits. This can be done by:

  • Direct Deposit 
  • Electronic funds transfer
  • Wire Transfers
  • ATM Deposits 
  • Mail in Checks 

Online Savings Accounts rarely offer a debit or ATM card to make physical withdrawals. Often you will have to transfer your savings to your checking account and make the withdrawal with that card.

Cashier's checks, official bank checks, and initiating wire transfers, which are typically more expensive choices, are additional ways to obtain money.

It is important to remember that online savings accounts are limited on the number of transfers or withdrawals you can make.

You are limited to 6 transfers or withdrawals per month or a statement cycle that lasts 4 weeks. 

Transfers, which are the same as withdrawals, done online, by check, or by any other means payable to third parties by the depositor, count toward your six transaction cap.

The six-transaction limit does not apply to withdrawals from ATMs, and many banks provide access to ATMs for savings accounts.

Qualifying To Open A Savings Account

The requirements to open a savings account will generally differ from provider to provider. However, there a few that remain the same, including:

  • Proof of ID. This can be a driver's license, passport, or birth certificate. This is needed to ensure the account is opened in your name. 
  • Social Security Number. Everyone is provided a Social Security Number when they are registered at birth. This ensures that everyone is within the correct tax bracket and is being provided the correct benefits.
  • An Initial Deposit. Often banks will require a deposit of $100 to open your savings accounts and then require a deposit every month. 
  • Proof of Address. This can be found on your bank statement of your checking account or your wage slip by your employer. 

Annual Percentage Yield

The Annual Percentage Yield or APY is the rate that an account can earn over the course of a year, including compound interest.

Yes, you can make money on your savings! It is important to be able to identify a good APY rate. Otherwise, you may be losing out. 

With the national average savings rate being o.17% APY, finding something better is rather simple.

Most online banks offer an APY of 2.5%, allowing your money to grow even if you only deposit a small amount each month. 

The lowest APY rate you should consider is 0.45% APY as this will allow your money to grow quickly without having to make large monthly deposits.


Frequently Asked Questions

Finding the right savings account for you can take time and effort. We have answered the most frequently asked questions to help make the process easier. 

What Does An Online Savings Account Do?

Bank accounts that you manage and access exclusively online are called online savings accounts.

While some traditional banks provide online services, such as an online savings account, the majority of the time, these services are provided by internet-only banks, which are completely devoid of any physical facilities.

What Are 3 Things To Look For In A Savings Account?

When opening a savings account, you should look for interest rate, APY, Initial deposit, and any account fees. You should also keep an eye out for any hidden account fees. 

Final Thoughts  

Whether you are just entering the world of finance or want to better budget your money, savings accounts are necessary. 

They will help you easily achieve your financial goals, from going away on that international vacation or purchasing your dream home.

They keep your money safe, and you can even make cash while at it. 

Above are 5 of the best online savings accounts on the market that offer great APY rates, low deposits, and some awesome extras.

Make the most of your savings and select the best account for you.

 Just check for any hidden fees!

Andre Flowers
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