Big Banks Savings Rate: Why Chase, BofA & Wells Pay 0.01%

Most comparison sites won't name the banks paying you the least, because those banks are advertisers. We will. As of June 2026, Chase, Bank of America, and Wells Fargo each pay 0.01% APY on standard savings accounts, ten cents a year per $1,000. Meanwhile, the best insured online savings accounts pay 4.20%, and the national average sits at 0.38%.

The big banks savings rate hasn't meaningfully budged in years. Even through an aggressive Federal Reserve hiking cycle that pushed the fed funds rate to 3.75%, megabank standard savings accounts stayed pinned near zero. Online banks responded within weeks. The megabanks didn't, because they didn't have to; their customers stayed anyway.

This is especially important if you're someone who keeps a meaningful cash cushion (an emergency fund, a down payment in progress, or simply money you haven't allocated yet). Every month that cash sits at 0.01%, you're effectively paying the bank for the privilege of holding your deposits. This guide breaks down exactly how much the big banks savings rate costs you at different balance levels, why these institutions get away with it, and the straightforward steps to redirect idle cash without disrupting your daily banking. If you're deciding between staying at a megabank or moving your savings elsewhere, this article gives you the numbers to make that call with confidence.

Quick answer

Chase, Bank of America, and Wells Fargo pay 0.01% APY on standard savings, about ten cents a year per $1,000, while top insured online accounts pay 4.20% for the same FDIC coverage. On a $25,000 balance, that's roughly $2.50 a year at a megabank versus over $1,000 a year at a competitive online bank. You don't need to close your megabank checking to fix this: open a high-yield savings account, move the idle cash, and keep the megabank relationship for branches and daily banking if you value it.

What the Big Banks Savings Rate Actually Pays You

At 0.01%, one thousand dollars earns ten cents over a full year. Twenty-five thousand dollars earns about two dollars and fifty cents. Place that same $25,000 in a top insured online account paying 4.20% and you'd earn over $1,000, for the same FDIC insurance and comparable access. The brand on the building isn't worth that difference.

The national average row matters: even the "average" rate, dragged down by these same megabanks, pays roughly 38 times what they do. We break down that statistic in the national average savings rate myth.

Dollar-Impact Ladder: How Much the Big Banks Savings Rate Costs at Every Balance

The gap between 0.01% and a competitive rate widens fast as your balance grows. Here's what you forfeit each year at the current big banks savings rate versus a top online account paying 4.20%:

For example, consider Maria, a teacher in Austin who keeps $30,000 in a Chase savings account as her emergency fund. At 0.01%, she earns $3 a year. If she moved that balance to a high-yield online account paying 4.20%, she'd earn roughly $1,320, a difference of over $1,300 annually. Over five years, that's more than $6,500 in lost interest just from leaving her money at the big banks savings rate. Maria doesn't need to close her Chase checking; she just needs to redirect the cash that's sitting idle.

If you're a retiree holding six figures in liquid savings, or a young professional building a down-payment fund, the math scales accordingly. Use our savings interest calculator to plug in your specific balance and see your personal cost.

Why the Big Banks Get Away With a 0.01% Savings Rate

Scale and inertia. The megabanks have the branches, the brand, and the ATMs, and they know most customers won't move money for a rate. That confidence is precisely why they pay the least: the relationship does the work the rate normally would. It's the sharpest example of the gap we track in the State of the Rate Gap.

The "Convenience" Marketing Hook, Deconstructed

Big banks lean hard on a familiar pitch: one bank for everything (checking, savings, mortgage, credit card) all in one app, one login, one relationship. It sounds efficient. But the long-term reality is that "convenience" is subsidized by your savings earning almost nothing.

Think of it this way: the megabank gets to borrow your $25,000 at 0.01% and lend it out at the prime rate of 6.75% or higher. That rate gap, roughly 6.7 points, is among the widest in consumer banking, and it flows directly to the bank's bottom line. The "convenience" of a single dashboard costs you over $1,000 a year on a $25,000 balance. That's not a free perk; it's an invisible fee.

Other common hooks work similarly. A "relationship bonus" that bumps your savings rate from 0.01% to 0.02% sounds like a reward, but it doubles a negligible number; you'd still earn only $5 a year on $25,000. Waived monthly maintenance fees save you $5–$12 per month, real money, but that benefit lives in checking, not savings. You can keep it and still move the savings balance elsewhere.

The Rate Never Moves

One more thing the 0.01% rate hides: it's static. When the Fed raised rates aggressively in 2022–2023, online banks followed within weeks while megabank standard savings stayed flat. The Federal Reserve's own data shows how benchmark rates climbed, but the big banks savings rate stayed pinned. The trend below shows what savings rates have done while that 0.01% sat still.

Where Megabanks Win and Where They Fall Short

Megabanks aren't bad at everything. The problem is specific: their savings rate. Here's a balanced look.

Pros of Keeping a Megabank Relationship

• Branch and ATM network: Thousands of locations for cash deposits, notary services, and in-person help, genuinely useful if you deposit cash regularly or need safe-deposit boxes.
• Product breadth: Mortgages, auto loans, credit cards, and business accounts under one roof can simplify document sharing for complex financial situations.
• Established mobile apps: Chase, BofA, and Wells have invested heavily in app quality, Zelle integration, and fraud detection.
• Brand trust and stability: These are among the largest FDIC-insured institutions in the country, and their checking products are generally solid.

Cons of Leaving Savings at a Megabank

• The big banks savings rate is effectively zero: 0.01% doesn't keep pace with any measure of inflation, meaning your purchasing power declines every year.
• No rate responsiveness: When benchmark rates rise, online banks pass along higher yields; megabanks don't.
• Opportunity cost grows with your balance: The more you save, the more you lose, up to $4,390 a year on $100,000.
• The "convenience" pitch obscures real cost: Keeping savings and checking at the same bank feels simple but costs hundreds or thousands annually.
• Relationship bonuses are token: Even "premium" tiers rarely push savings APY above 0.05%.

Decision Framework: Choose Megabank vs. Online Savings

Stay with the megabank for savings if:

• Your total savings balance is under $500 and the dollar difference is negligible
• You need same-day in-branch access to savings specifically (rare for most people)
• You're unable to manage a second banking relationship due to accessibility needs

Move savings to an online high-yield account if:

• You keep $1,000 or more in savings and rarely withdraw in person
• You want your emergency fund or goal-based savings to actually grow
• You're comfortable with 1–3 business day ACH transfers (standard for online banks)
• You want FDIC insurance at the same $250,000 per-depositor limit, confirmed by the FDIC

If you're deciding between a high-yield savings account and a CD for money you won't touch for a while, see when a CD beats a savings account.

Who Is Actually Paying Competitive Rates Right Now

These are the top insured high-yield savings rates in our database as of today's rate refresh, updated with the daily ingest. Every account listed carries the same FDIC insurance as the megabanks, with the same 1–3 day ACH access. The full list lives on our savings page.

For broader context, here's how several well-known online banks compare to the big banks savings rate:

Every bank in that table carries FDIC deposit insurance up to $250,000 per depositor, per institution. The difference is purely in what they choose to pay you.

If the megabank rate is only part of the story for you, run our Money Map scan to see the combined gap across savings, mortgage, and cards in one pass, instead of checking each account separately.

How to Move Your Savings Away From the Big Banks Savings Rate

You don't need to close your megabank account or change your daily routine. Here's the process:

1. Open a high-yield savings account online. Most take 5–10 minutes. You'll need your ID, Social Security number, and a funding source (your megabank checking works perfectly). Compare current options on our savings page.
2. Link your megabank checking to the new savings account. Initiate a small test transfer to confirm the connection. This typically takes 1–3 business days via ACH.
3. Transfer your idle savings balance. Move the funds you don't need for daily spending. Keep a small buffer in megabank savings if it helps you avoid checking-account fees.
4. Set up recurring transfers. Automate a monthly transfer from checking to your new high-yield account so future savings flow to the higher-rate account by default.
5. Review quarterly. Rates change. Check whether your online bank's rate remains competitive (our savings page updates daily) and adjust if needed. If you want to lock in a rate for a set period, explore top CD rates.

This is especially important if you're someone who has automated a paycheck split into a megabank savings account and hasn't revisited that setup in years. A one-time redirect can be worth thousands over time.

Should You Also Consider CDs or Other Options?

If you won't need the cash for 6–24 months, a CD can lock in a rate that won't drop if the Fed cuts. The best 12-month CD currently pays 4.25%, which is competitive with top savings rates and guaranteed for the full term.

If you're deciding between these options, our guide on CD vs. high-yield savings walks through the trade-offs in detail. You can also compare CD options on our CD page.

For money you need to access at any time, a high-yield savings account remains the better fit. The Consumer Financial Protection Bureau offers neutral guidance on choosing deposit accounts.

Sources

• FDIC deposit insurance overview
• Federal Reserve H.15 selected interest rates
• Consumer Financial Protection Bureau: choosing a bank account

Methodology

SwitchWize collects savings and CD rates from bank websites, regulatory filings, and direct data feeds, verified daily. Megabank rates (0.01%) are confirmed against each institution's public rate disclosures. Rankings weight APY, FDIC/NCUA insurance status, minimum balance requirements, and fee structures. Full details are available on our methodology page.

This is educational information, not personalized financial advice. Your situation may differ based on tax status, state of residence, and individual financial goals.