You can still take advantage of higher interest rates by socking away money in the best high-yield savings accounts. Even if the Fed cuts rates next week, as expected, a high-yield savings account can help you reach your short-term goals like shoring up your emergency fund or setting up a sinking fund. 

Opening a HYSA is an easy way to earn interest on money you may need to access quickly. Our CNET Money expert and founder of Save My Cents Shang Saavedra also loves that having a separate account can stop you from spending unnecessarily. 

"The psychological trick to these accounts is that it's money that is not on your mind," Saavedra said. "Most people pay attention to how much money is in their checking account, but not so much in savings accounts." 

If you set up automatic deposits to transfer money from your checking to your savings account regularly, the savings can really pile up. Here's where your money stands to earn the most interest when working toward your savings goal. 

Experts recommend comparing rates before opening a savings account to get the best APY possible. Enter your information below to get CNET's partners' best rate for your area.

How next week's Fed meeting could affect savings rates 

The Federal Reserve meets Dec. 17 to 18, and most experts are anticipating another 25-basis point rate cut.

If the Fed opts to cut, most savings rates are expected to drop in the coming weeks. But that doesn't mean you'll see your high-yield savings account rate drop right away.

"While it's true that HYSAs are influenced by the Fed's decisions, not all institutions adjust their rates immediately, and some may hold off to stay competitive," said Steven Kibbel, a certified financial planner and founder and CEO of Kibbel Financial Planning. 

So, if a bank is looking to attract new customers, it might actually raise its savings rates to encourage people to sign up for a new account. 

Why choose a HYSA for your short-term savings

Experts agree that high-yield savings accounts are the best places to keep money for short-term goals. They're federally insured up to $250,000 per account type and bank, and most offer easy access to your money if you need to withdraw it quickly.

Think of the interest you earn as an added bonus. "Overall, HYSAs remain a smart choice for savers," Kibbel said. "Especially if you prioritize accessibility and safety, though it's always wise to monitor rate trends."

Even if high-yield savings accounts continue to drop, you'll still earn more in interest than you would with a traditional savings account with a near 0% APY. High-yield savings accounts still offer rates more than 10 times the national average. 

"In a declining rate environment, it's still valuable for people to store cash for shorter-term needs — think emergency funds, bills and savings for near-term goals — in high-yield accounts with competitive APYs," said Alex Michalka, vice president of investment research at Wealthfront.

If you have money earmarked for longer-term savings, you might consider locking in a certificate of deposit while rates are high.

What to consider when opening a savings account

When you're deciding which account and bank are best for your savings, here's what to look for:

• Minimum deposit requirements: Some HYSAs require a minimum amount to open an account, typically between $25 and $100. Others don't require anything.
• ATM access: Not every bank offers cash deposits and withdrawals. If you need regular ATM access, check to see if your bank offers ATM fee reimbursements or a wide range of in-network ATMs, said Lanesha Mohip, founder of the Polished CFO and CNET expert review board member.
• Fees: Look out for fees for monthly maintenance, withdrawals and paper statements, said Mohip. The charges can eat into your balance.
• Accessibility: If you prefer in-person assistance, look for a bank with physical branches. If you're comfortable managing your money digitally, consider an online bank.
• Withdrawal limits: Some banks charge an excess withdrawal fee if you make more than six monthly withdrawals. If you think you may need to make more, consider a bank without this limit.
• Federal deposit insurance: Make sure your bank or credit union is either insured with the FDIC or the NCUA. This way, your money is protected up to $250,000 per account holder, per category, if there's a bank failure.
• Customer service: Choose a bank that's responsive and makes it easy to get help with your account if you need it. Read online customer reviews and contact the bank's customer service to get a feel for working with the bank.

Methodology

CNET reviewed savings accounts at more than 50 traditional and online banks, credit unions and financial institutions with nationwide services. Each account received a score between one (lowest) and five (highest). The savings accounts listed here are all insured up to $250,000 per person, per account category, per institution, by the FDIC or NCUA.

CNET evaluates the best savings accounts using a set of established criteria that compares annual percentage yields, monthly fees, minimum deposits or balances and access to physical branches. None of the banks on our list charge monthly maintenance fees. An account will rank higher for offering any of the following perks:

• Account bonuses
• Automated savings features
• Wealth management consulting/coaching services
• Cash deposits
• Extensive ATM networks and/or ATM rebates for out-of-network ATM use

A savings account may be rated lower if it doesn't have an easy-to-navigate website or if it doesn't offer helpful features like an ATM card. Accounts that impose restrictive residency requirements or fees for exceeding monthly transaction limits may also be rated lower.

*APYs as of Dec. 12, 2024, based on the banks we track at CNET. Weekly percentage increase/decrease from Dec. 2, 2024, to Dec. 9, 2024.
**Varo offers 5% APY only on balances of less than $5,000

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