Wells Fargo does not have a high yield savings account
Wells Fargo's standard savings accounts pay rates well below what you can find elsewhere. As of now, their regular savings account pays around 0.01% APY, and their money market account pays slightly higher but still falls short of what online banks and credit unions offer. If you are looking for a savings account that compounds your money meaningfully, Wells Fargo is not the place to find it.
The reason is structural: Wells Fargo is a large brick-and-mortar bank with physical branches, tellers, and overhead costs. Those expenses get passed along as lower interest rates. Online banks and some credit unions have no branches and can pass savings to depositors through higher rates. Wells Fargo competes on convenience and brand recognition, not on yield.
Key Takeaways
- Wells Fargo's savings accounts pay around 0.01% APY, which is far below the rates offered by online banks and credit unions.
- Wells Fargo's money market account pays slightly more than savings but still does not compete with high yield options elsewhere.
- If you keep money at Wells Fargo for other reasons—checking account, mortgage, loans—moving savings to a higher-rate account elsewhere costs nothing and takes a few days.
- You can hold accounts at multiple banks at once, so you can keep checking at Wells Fargo and move savings to wherever the rate is best.
What Wells Fargo savings products actually pay
Wells Fargo offers three main savings vehicles. The Wells Fargo Way2Save Savings Account is the basic option and pays the lowest rate—typically 0.01% APY or less depending on your balance. The Wells Fargo Money Market Account pays a bit more but still hovers around 0.01% to 0.05% APY. Neither of these is competitive with what you can find at online banks, which regularly offer 4% to 5% APY on savings accounts.
Wells Fargo also offers certificates of deposit (CDs), which lock your money away for a set term in exchange for a may provide rate. CD rates vary by term length and current market conditions, but they are still typically lower than what online banks offer for the same term. The trade-off is safety and predictability—you know exactly what you will earn—but you cannot touch the money without a penalty.
The gap between Wells Fargo's rates and online bank rates is not small. On a $10,000 balance, the difference between 0.01% and 4.5% means roughly $450 per year in lost interest. Over five years, that compounds into real money.
Why you might keep money at Wells Fargo anyway
Some people maintain Wells Fargo accounts for reasons unrelated to interest rates. If you have a mortgage, auto loan, or investment accounts with them, consolidating everything in one place simplifies bill pay and account management. If you use their branches regularly or value their mobile app, switching banks might feel like more friction than it is worth.
The solution is not to choose between Wells Fargo and higher rates—it is to use both. Open a high yield savings account at an online bank or credit union and keep your Wells Fargo checking account for daily spending. Move money between them as needed. Banks do not charge you for holding accounts elsewhere, and transfers between banks take one to three business days through ACH (the standard electronic transfer system).
How to move savings without closing your Wells Fargo account
You do not have to close your Wells Fargo account to move savings elsewhere. Here is the straightforward path: open a savings account at an online bank or credit union that offers a rate you want. Once that account is open and verified, initiate an ACH transfer from Wells Fargo to the new account, or ask the new bank to pull the money via ACH.
The transfer itself is free and takes one to three business days. You can leave your Wells Fargo checking account open for whatever you use it for—direct deposit, bill pay, debit card spending—and let your savings sit somewhere that actually earns interest. This is a common setup and carries no penalty or hidden cost.
If you do want to close your Wells Fargo savings account after moving the money, you can do that online or by calling their customer service line. Closing an account does not affect your checking account or any other products you hold with them.
Where to find higher rates if you leave Wells Fargo savings
Online banks like Marcus, Ally, American Express Personal Savings, and Discover Bank currently offer savings accounts in the 4% to 5% APY range. Credit unions often offer competitive rates too, especially if you are a member. Rates change frequently, so compare current offers before you open an account.
All of these accounts are insured by the FDIC (Federal Deposit Insurance Corporation) up to $250,000 per depositor per bank, the same protection Wells Fargo offers. You are not taking on additional risk by moving to an online bank—you are just getting paid more for the same safety.
Some online banks also offer perks like no monthly fees, no minimum balance requirements, and no overdraft fees. Wells Fargo charges monthly maintenance fees on some accounts unless you meet balance or direct deposit thresholds, so moving savings can save you money in both directions.
What to do if you want to stay with Wells Fargo
If you prefer to keep all your money in one place, understand that you are trading yield for convenience. Your savings will grow slowly, but they will be in an account you can access when ready and manage through the same app as your checking.
If you do stay, consider Wells Fargo CDs instead of the savings account. CDs lock in a rate for a specific term—six months, one year, three years, five years. The rate is may provide and does not change, so you know exactly what you will earn. The catch is that you cannot withdraw the money early without paying a penalty. But if you have money you will not need for a year or two, a CD pays more than a savings account at the same bank.
Frequently Asked Questions
Can I transfer money from Wells Fargo to another bank for free?
Yes. ACH transfers between banks are free and take one to three business days. You can initiate the transfer from Wells Fargo's website or app, or ask the receiving bank to pull the money. There is no fee either way.
Will opening an account at another bank affect my Wells Fargo credit score or accounts?
No. Opening a savings account at another bank is not a credit inquiry and does not affect your credit score. It also does not change your Wells Fargo checking account, mortgage, or any other products you hold with them.
What if I need the money quickly—does a high yield savings account let me withdraw anytime?
Yes, most high yield savings accounts let you withdraw money anytime without penalty, just like Wells Fargo savings. The difference is the interest rate, not the access. CDs are different—they penalize early withdrawal—but regular savings accounts are liquid.
Is my money safe at an online bank if something goes wrong?
Online banks are insured by the FDIC the same way Wells Fargo is. Your deposits are protected up to $250,000 per bank. Online banks are regulated by the same federal agencies as traditional banks, so the safety is identical.