Cash News
If you want high interest rates on savings accounts, try an online bank. And if you want the online bank with the highest rates available, you might try SoFi or American Express (Amex).
Both of these online banks offer savings interest rates more than nine times higher than the national average — and only a few other banks offer anything higher.
Which of the two banks is best for your savings? That depends on what you’re looking for. With SoFi, you have an opportunity to earn a sign-up bonus, but you’ll also have to open a SoFi checking account and take extra steps to earn the highest rate available. With Amex, there are fewer requirements, but you might not get the same level of service.
SoFi and American Express National Bank each offer just one high-yield savings account (both of which ranked among our 10 best high-yield savings accounts available today).
Learn more: The 10 best high-yield savings accounts
On the surface, these accounts appear pretty similar — and in many ways, they are. Both online-only HYSAs pay a competitive interest rate, and neither one has any account fees.
But there’s more fine print to read if you want to take full advantage of SoFi’s high rates and unique features.
Here’s what makes SoFi’s HYSA unique:
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Checking: SoFi’s savings account is part of a combination bank account. That means you must open a checking account along with the HYSA. With that comes a debit card, which means you’ll have more ways to access your savings.
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Tiered interest: Customers can earn 3.80% APY, but you’ll earn just 1.00% if you fail to meet specific requirements.
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Account-opening bonus: A welcome bonus of $50 to $300 is available based on the amount you deposit (you need $5,000 to earn the highest bonus).
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Vaults: These accounts have “vaults,” or dedicated buckets you can set up for specific savings goals.
Read our full review of SoFi
The American Express High-Yield Savings Account offers a slightly lower rate of 3.70% APY, but there are no additional requirements to earn this rate. It also has no monthly fees, and no minimum opening deposit or minimum balance requirements to earn interest or keep your account open.
Interest on this savings account compounds daily and is credited to your account monthly. The downside: This account also does not come with an ATM card, debit card, or checks. Additionally, transfers from your savings account to an external bank account can take several days to complete.
Read our full review of American Express National Bank
SoFi’s savings account offers a slightly higher interest rate than Amex. But with SoFi’s HYSA, you have to put in a bit more work. You can only earn 3.80% if you’ve never had a direct deposit to a SoFi account and you do at least one of the following:
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Make a direct deposit within 30 days
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Deposit at least $5,000 to your SoFi accounts within 30 days
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Sign up for SoFi Plus and either receive a direct deposit every 30 days or pay a $10 monthly subscription fee.
If you don’t meet those requirements, you’ll only earn 1.00%.
Neither of these banks have fees for their high-yield savings accounts. That means you don’t have to worry about paying a monthly account maintenance fee or getting dinged if you carry a low balance.
With SoFi, you automatically get a checking account (0.50% APY) when you open up an HYSA. Their checking account doesn’t have fees either, and there’s no overdraft fee if you have direct deposit.
SoFi is a much newer company than American Express, and it’s evident in the unique bells and whistles that come with their HYSA. Between the two options, a SoFi account is the better choice if you’re up for navigating the extra features and you want to earn an account opening bonus.
If you don’t check the following boxes, it’s best to go with Amex instead:
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Deposit history: You’ve never had a direct deposit to a SoFi account, so you can qualify for the highest advertised APY.
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Rate requirements: You can easily meet at least one of the deposit requirements to earn the highest APY.
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Checking account: You’re comfortable having a checking account with SoFi.
If you don’t want to open a new checking account, Amex is the better choice. It’s also the superior option for anyone who doesn’t want to fuss with setting up automatic deposits to their savings.
Just be ready to deal with some of the trappings of an older bank. When you make an Electronic Funds Transfer (EFT) to your account, for example, the money won’t be available for up to five business days. Like with most banks, you won’t get a debit card for your savings account, which means you have fewer options for withdrawing cash.
Read more: Do any high-yield savings accounts offer ATM cards?