Chase does not offer a dedicated high-yield savings account
Chase's standard savings products—the Chase Savings Account and Chase Premier Savings Account—pay rates well below what you can find elsewhere. As of early 2024, Chase savings accounts pay between 0.01% and 0.04% annual percentage yield (APY), depending on your balance. That means $10,000 sitting in a Chase savings account earns roughly $1 to $4 per year.
If you're looking for high-yield savings through Chase, you won't find it in their consumer banking lineup. Banks that specialize in online savings—like Marcus, Ally, and American Express Personal Savings—currently offer rates between 4% and 5% APY on the same $10,000, which translates to $400 to $500 per year. The difference compounds over time, especially if you're holding money you don't need to touch.
Chase does offer money market accounts and certificates of deposit (CDs), but these also carry rates below the current market. If you have a Chase checking account and want to keep everything in one place, the tradeoff is convenience at the cost of interest income.
Key Takeaways
- Chase savings accounts currently pay 0.01% to 0.04% APY, which is significantly lower than high-yield savings accounts offered by online banks.
- High-yield savings accounts from other institutions typically pay 4% to 5% APY, meaning the same deposit earns 100 times more interest at a competing bank.
- Chase money market accounts and CDs also offer below-market rates, so moving money out of Chase is usually necessary if earning interest is your goal.
- You can hold a Chase checking account for convenience while keeping savings at a higher-rate institution, since transfers between banks take one to two business days.
Why Chase rates lag behind online banks
Chase is a full-service bank with thousands of physical branches, ATMs, and customer service staff. Those costs get passed to customers through lower deposit rates. Online-only banks have no branches and minimal overhead, so they can offer higher rates on savings while still making money on loans and investments.
Chase's business model also depends on keeping deposits in-house to fund their lending operations. They don't need to compete aggressively on savings rates because many customers stay for convenience—checking accounts, credit cards, mortgages, and investment services all bundled together. Switching your savings to another bank costs nothing and takes minutes, but many people don't bother.
What Chase savings products actually offer
The Chase Savings Account requires a $25 minimum deposit and charges a $5 monthly maintenance fee if you don't maintain a $300 minimum balance. Interest accrues daily and compounds monthly. There's no limit on withdrawals, though federal rules once capped savings account transfers at six per month (that rule was suspended in 2020, but some banks still enforce limits).
The Chase Premier Savings Account is Chase's tiered option. It requires a $25 minimum to open but pays slightly higher rates if you maintain larger balances—typically 0.04% APY on balances of $100,000 or more. The monthly fee structure is the same: $5 if your balance drops below $300.
Chase also offers money market accounts that combine checking and savings features, with rates similarly below market. CDs range from 3 months to 5 years, but current rates are typically 1% to 2% APY—lower than what online banks offer for the same term.
How to move money to a high-yield account while keeping Chase
You don't have to close your Chase account to earn better interest elsewhere. Many people keep a Chase checking account for direct deposit and bill pay, then move savings to a higher-rate institution. Transfers between banks happen through ACH (Automated Clearing House), which takes one to two business days.
To set this up, open a high-yield savings account at another bank—Marcus, Ally, American Express Personal Savings, and Discover are common choices. Link your Chase checking account to the new savings account through the other bank's transfer system, or initiate the transfer from Chase's website by providing the other bank's routing number and your new account number.
Once linked, you can move money back and forth as needed. Many people set up automatic transfers—for example, moving $500 to savings every payday—so the process becomes invisible. Your Chase checking account remains active for everyday spending and bill pay.
When it might make sense to keep savings at Chase
If you have a very small emergency fund—under $1,000—the interest difference between Chase and a high-yield account is negligible (a few dollars per year). In that case, keeping everything at Chase for simplicity might be reasonable, though you'd still earn more elsewhere.
If you're using Chase savings as a temporary holding place for money you're about to spend—say, you're saving for a car down payment over the next three months—the low rate doesn't matter much because you're not holding the money long. But if you're building a true emergency fund or saving for something more than six months away, moving that money to a high-yield account costs nothing and earns significantly more.
Chase does offer some value if you're a customer with multiple products. Their rewards checking accounts and premium credit cards sometimes come with perks like fee waivers or higher interest rates on savings. But those perks rarely close the gap between Chase's rates and what online banks offer.
Comparing Chase to specific high-yield alternatives
| Bank | Current APY (approximate) | Minimum Deposit | Monthly Fee |
|---|---|---|---|
| Chase Savings | 0.01%–0.04% | $25 | $5 (waived at $300+) |
| Marcus | 4.5%–5.0% | $0 | None |
| Ally Bank | 4.2%–4.5% | $0 | None |
| American Express Personal Savings | 4.3%–4.8% | $0 | None |
| Discover Bank | 4.2%–4.5% | $0 | None |
On a $25,000 deposit held for one year, Chase would earn roughly $2.50 to $10 in interest. The same deposit at Marcus or American Express would earn $1,075 to $1,200. The difference grows with larger balances and longer time horizons. None of the high-yield alternatives charge monthly fees or require minimum balances, making them lower-friction than Chase.
Frequently Asked Questions
Can I transfer money from Chase to a high-yield account for free?
Yes. Transfers between banks through ACH are always free and take one to two business days. You can initiate the transfer from either Chase's website or the receiving bank's website. There are no fees from Chase or the receiving bank for moving money out.
Will opening a high-yield account affect my Chase relationship or credit score?
No. Opening a savings account at another bank doesn't change your Chase accounts or credit score. Your credit score is affected by credit inquiries, new credit accounts, and payment history—not by moving money between banks you already use. You can keep your Chase checking account active indefinitely.
What if I need to withdraw money quickly from a high-yield account?
Transfers from a high-yield account back to your Chase checking account take one to two business days, just like transfers going the other direction. If you need cash when ready, you'd need to withdraw from Chase or use an ATM at the high-yield bank (many online banks offer ATM networks or reimburse fees). For true emergency access, keep a small amount in your Chase checking account.
Do high-yield savings accounts have FDIC protection like Chase?
Yes. Most high-yield savings accounts are offered by FDIC-insured banks, and deposits are covered up to $250,000 per account holder per bank. Check the bank's website to confirm FDIC status before opening an account. Your money is equally protected whether it's at Chase or at Marcus, Ally, or Discover.
Will Chase ever offer a competitive high-yield savings account?
Chase has not introduced a high-yield savings product and shows no signs of doing so. Their business model relies on keeping deposits in-house at low rates. If that changes, it would likely be announced on their website and in statements to existing customers. For now, if you want high-yield savings, you'll need to look outside Chase.