Wells Fargo savings account interest rates change with the Federal Reserve

Wells Fargo does not publish a single fixed interest rate for savings accounts. The rate you earn depends on the account type you hold, the balance in your account, and the current federal funds rate set by the Federal Reserve. When the Fed raises or lowers rates, Wells Fargo typically adjusts its savings rates within days or weeks, though the bank is not required to match Fed changes dollar-for-dollar.

As of early 2024, Wells Fargo's standard savings account rates range from roughly 0.01% to 0.05% annual percentage yield (APY) on most balances, but this varies by account tier and changes frequently. High-yield savings accounts offered by other banks often pay 4% to 5% APY on the same balances, so Wells Fargo's rates are substantially lower than what you can find elsewhere.

The only way to know your exact rate is to log into your Wells Fargo account online, call 1-800-869-3557, or visit a branch in person. The rate displayed in your account is the one you are currently earning.

Key Takeaways

  • Wells Fargo savings rates are typically between 0.01% and 0.05% APY, but you must check your own account to see your exact rate.
  • Your rate changes when the Federal Reserve adjusts its benchmark rate, though Wells Fargo sets the timing and amount of each change.
  • Different account types at Wells Fargo earn different rates — money market accounts sometimes pay slightly more than standard savings accounts.
  • You can compare Wells Fargo rates to other banks' rates by checking the FDIC's National Rates and Rate Caps table or visiting bank websites directly.

How Wells Fargo decides what rate to pay

Wells Fargo uses the federal funds rate as a benchmark, but the bank decides how much of any Fed rate change to pass along to customers. When the Fed raised rates aggressively between 2022 and 2023, many banks increased savings rates to compete for deposits. Wells Fargo raised rates more slowly than some competitors, which is why its rates fell further behind.

The bank also tiers rates by account type. A Wells Fargo Money Market Savings account may pay slightly more than a standard Wells Fargo Savings account, and both pay less than Wells Fargo's Certificate of Deposit (CD) products. Within each account type, the rate may also depend on your balance — accounts with higher balances sometimes earn marginally better rates, though this is not may provide.

Wells Fargo does not advertise these rates heavily because they are low relative to the market. You will not see promotional rates or bonus offers on standard savings accounts the way you might at online banks.

Where to find your current Wells Fargo savings rate

Log into your Wells Fargo online banking account and navigate to your savings account details. The APY will be displayed there, usually labeled as "Annual Percentage Yield" or "APY." This is the rate you are earning right now on your balance.

If you prefer to call, Wells Fargo customer service at 1-800-869-3557 can tell you your rate over the phone. Have your account number ready. You can also walk into any Wells Fargo branch and ask a representative to show you the rate on your account statement.

Do not rely on Wells Fargo's website homepage or marketing materials for your personal rate — those pages show general information, not your account-specific rate. Your actual rate is always in your account details.

How interest compounds and when you receive it

Wells Fargo compounds interest daily on savings accounts, meaning the bank calculates interest on your balance each day and adds it to your account. The interest is credited to your account monthly, usually on the last business day of the month. This means you earn interest on the interest you received the previous month — a small advantage that compounds over time.

The formula is straightforward: your daily balance multiplied by the APY, divided by 365 days. If you have $10,000 in an account earning 0.05% APY, you earn roughly $5 per year, or about $0.42 per month. The actual amount varies slightly depending on the number of days in each month.

Interest is only credited if your account remains open and in good standing. If you close the account before the end of the month, you forfeit any interest that has not yet been credited.

Why Wells Fargo rates are lower than other banks

Wells Fargo is a large, traditional bank with physical branches in most states. Maintaining that branch network costs money, and the bank passes some of those costs to customers by offering lower savings rates. Online-only banks like Marcus, Ally, and American Express have no branches, so they can pay higher rates because their operating costs are lower.

Wells Fargo also does not need to compete aggressively for deposits the way smaller banks do. The bank has a large customer base and stable funding, so it has less incentive to offer market-leading rates. If you are already a Wells Fargo customer with a checking account, the bank assumes you will keep your savings there for convenience, even if the rate is low.

If earning more interest is a priority, you can move your savings to a high-yield savings account at another bank without closing your Wells Fargo account. Many people keep a Wells Fargo checking account for everyday use and a high-yield savings account elsewhere for money they want to grow.

How to compare Wells Fargo rates to other options

The FDIC publishes a National Rates and Rate Caps table that shows what banks across the country are paying on savings accounts. You can search this table by state and account type to see how Wells Fargo compares to competitors in your area. Visit the FDIC website and look for "National Rates and Rate Caps" under the Deposit Insurance section.

You can also visit the websites of online banks directly — Marcus, Ally, American Express, and Capital One 360 all publish their current rates on their homepages. Write down the rates from three or four banks you are considering, then decide whether the difference is worth moving your money.

A straightforward example: if you have $50,000 in savings and Wells Fargo pays 0.05% APY while another bank pays 4.5% APY, you earn $25 per year at Wells Fargo versus $2,250 per year elsewhere. Over five years, that is a difference of $11,250. The math often justifies the switch.

What happens to your interest if rates change

If the Federal Reserve raises rates, Wells Fargo will eventually raise its savings rates too — but usually not when ready, and usually not by the full amount. If the Fed lowers rates, Wells Fargo typically lowers its savings rates quickly. This asymmetry means you benefit less from rate increases but suffer equally from rate decreases.

You have no control over when or how much Wells Fargo adjusts your rate. The bank will notify you of rate changes, usually by email or through your online account, but you cannot negotiate or lock in a rate. If you want a may provide rate, you would need to open a Certificate of Deposit (CD), which locks in a fixed rate for a set term — typically three months to five years.

Your interest rate can change at any time, and Wells Fargo can change it without your permission. This is standard for savings accounts across the industry.

Frequently Asked Questions

Does Wells Fargo charge a fee to earn interest on savings?

No. Wells Fargo does not charge a fee to earn interest on savings accounts. However, the bank does charge monthly maintenance fees on some savings accounts if you do not meet minimum balance requirements or do not set up direct deposit. Check your account terms to see whether a fee applies to you.

Can I lock in a higher interest rate at Wells Fargo?

Not on a savings account — rates on savings accounts always float with the market. However, Wells Fargo offers Certificates of Deposit (CDs) that lock in a fixed rate for a set period, usually three months to five years. The tradeoff is that you cannot withdraw the money without penalty until the CD matures.

How often does Wells Fargo change its savings rates?

Wells Fargo can change rates at any time, but in practice it adjusts rates when the Federal Reserve makes changes — typically four to eight times per year, though sometimes more or less depending on economic conditions. You will be notified of changes through your account.

Is my money safe if I keep it in a Wells Fargo savings account?

Yes. Wells Fargo is an FDIC-insured bank, which means deposits up to $250,000 per account type are protected by federal insurance. If the bank fails, the FDIC will reimburse you. This protection applies regardless of the interest rate you earn.

Should I move my savings to another bank for a higher rate?

That depends on your priorities. If you value convenience and already use Wells Fargo for checking, keeping savings there may be worth the lower rate. If you have a large balance and want to maximize interest earned, moving to a high-yield savings account at another bank could earn you hundreds or thousands of dollars per year with no downside — your money is equally safe at any FDIC-insured bank.