Bank of America offers several savings account options for parking your money, but its ultra-low rates will do little to help you grow your savings. They are much lower than the national average, and many savings accounts offered by competing banks offer more rewarding rates.
Bank of America earned 4.0 out of 5 stars in Bankrate’s overall review of its deposit accounts. For its savings accounts, the bank scored 2.9 out of 5 stars. One major advantage that Bank of America offers customers is access to a large branch network with around 3,900 financial centers and approximately 15,000 ATMs.
Bank of America savings account interest rates
Here’s a closer look at the rates offered by Bank of America’s savings accounts. The rates are for those living in the New York tri-state area and could vary by state.
| Account name | Interest rate | APY | Minimum deposit |
|---|---|---|---|
| Advantage Savings | 0.01% | 0.01% | $100 |
| Advantage Savings, Gold | 0.02% | 0.02% | $100 |
| Advantage Savings, Platinum | 0.03% | 0.03% | $100 |
| Advantage Savings, Platinum Honors | 0.04% | 0.04% | $100 |
| Advantage Savings, Diamond | 0.04% | 0.04% | $100 |
| Advantage Savings, Diamond Honors | 0.04% | 0.04% | $100 |
Note: Annual percentage yields (APYs) shown are as of March 8, 2024 for the New York City area and may vary by region for some products.
How Bank of America savings accounts compare to top-yielding banks
The tiered rates on the bank’s Advantage Savings account are based on how much money you park in the account: The higher your balance, the more interest you can earn. But with 0.04 percent APY as the highest payout option at Bank of America, many other financial institutions easily beat their savings account rates.
High-yield savings accounts at Ally Bank and Capital One offer much higher rates. Bankrate’s list of institutions offering the highest yields can help you find the best savings account rates.
Bank of America imposes an $8 monthly maintenance fee on its savings accounts. Although it is possible to have this fee waived if you meet certain criteria, such as maintaining a $500 balance, many other banks charge no monthly fees on savings accounts.
Other savings options at Bank of America
Bank of America offers other savings options beyond savings accounts. Its fixed-term certificates of deposit (CDs) range from 28 days to 10 years, and its featured CD account ranges from seven months to 37 months.
While the latter offers a more robust yield depending on the term and the balance, you need at least $1,000 to open the CD, making it less accessible compared to CDs at other banks. Moreover, the yields for the fixed-term CDs are extremely low. You can easily find better rates elsewhere.
Read the full article here
