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Charles Schwab Savings Rates: December 2024

Updated
Matt Frankel, CFP®
Author: Matt Frankel, CFP®
Matt Frankel, CFP®
Matt Frankel, CFP®
Writer, Analyst

Matt is a Certified Financial Planner™ and investment advisor based in Columbia, South Carolina. He writes personal finance and investment advice for Motley Fool Money and its parent company The Motley Fool, with more than 4,500 published articles and a 2017 SABEW Best in Business award. Matt writes a weekly investment column for the Motley Fool ("Ask a Fool") that is syndicated in USA Today, and his work with Motley Fool Money has also been syndicated to MSN and Yahoo! Finance. He has been regularly featured on Fox Business and many other major outlets. He’s a graduate of the University of South Carolina and Nova Southeastern University, and holds a graduate certificate in financial planning from Florida State University.

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Eric McWhinnie
Fact Checked: Eric McWhinnie
Eric McWhinnie
Eric McWhinnie

Eric McWhinnie has been writing and editing digital content since 2010. He specializes in personal finance and investing. He also holds a bachelor’s degree in Finance.

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Many or all of the products here are from our partners that compensate us. It’s how we make money. But our editorial integrity ensures that our product ratings are not influenced by compensation. Terms may apply to offers listed on this page. APY = Annual Percentage Yield. APYs are subject to change at any time without notice.

Charles Schwab offers a savings account called the Schwab Bank Investor Savings™ account that has several perks, including unlimited ATM fee reimbursement, a rarity for a savings account.

While its interest rate is competitive with branch-based accounts, it doesn't quite measure up to most online banks' high-yield savings accounts.

Charles Schwab savings interest rates

The Schwab Bank Investor Savings™ account has a relatively low 0.25% APY. This isn't competitive with most online savings accounts, but it can be better than the rates offered by many branch-based banks and is slightly better than the U.S. average savings interest rate.

Account APY Minimum Deposit
Schwab Bank Investor Savings™ 0.25% $0
Data source: Charles Schwab

Compare savings rates

Make sure you're getting the best account for you by comparing savings rates and promotions. Here are some of our favorite high-yield savings accounts to consider.

Account APY Promotion Next Steps
3.80%
Rate info Circle with letter I in it. 3.80% annual percentage yield as of December 28, 2024. Terms apply.
Min. to earn: $0
N/A
Open Account for American Express® High Yield Savings

On American Express's Secure Website.

up to 4.00%²
Rate info Circle with letter I in it. You can earn the maximum APY by having Direct Deposit (no minimum amount required) or by making $5,000 or more in Qualifying Deposits every 30 days. See SoFi Checking and Savings rate sheet at: https://www.sofi.com/legal/banking-rate-sheet.
Min. to earn: $0
New customers can earn up to a $300 bonus with qualifying direct deposits!¹
3.80%
Rate info Circle with letter I in it. See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.
Min. to earn: $0
N/A

Charles Schwab savings account overview

The Schwab Bank Investor Savings™ account doesn't have the highest interest rate in the industry, but it has some perks worth noting. Here's how the Charles Schwab Bank account measures up in a few key areas.

Monthly fees

The Schwab Bank Investor Savings™ account has no monthly fees. Many savings accounts, especially offered by branch-based banks, have a monthly fee that can be waived by meeting certain requirements. However, the Schwab Bank Investor Savings™ account doesn't have these.

Minimum deposit

The Schwab Bank Investor Savings™ account doesn't have any minimum deposit requirement. While this isn't necessarily uncommon among online savings accounts, there are some that require $100 or even $500 to open an account, and many branch-based savings accounts have minimum opening deposits.

Minimum daily balance

The Schwab Bank Investor Savings™ account doesn't have a minimum daily balance requirement. Minimum daily balance requirements aren't too common among online-based savings accounts, but many accounts have a minimum to be eligible for the highest interest rate. Schwab pays the same interest rate on all Schwab Bank Investor Savings™ account balances.

Withdrawal limit

Withdrawal rules are one area where the Schwab Bank Investor Savings™ account shines. Not only are there unlimited withdrawals, but the account offers unlimited ATM fee reimbursement (extremely rare for savings accounts) when you use the linked Visa debit card to withdraw money.

Compounding schedule

The Schwab Bank Investor Savings™ account compounds interest daily and pays interest monthly. This is fairly common with savings accounts.

Are Charles Schwab savings rates worth it?

The Schwab Bank Investor Savings™ account's interest rates aren't competitive with high-yield online savings accounts, so if maximizing interest income is your priority, you may want to look elsewhere. For some people, the account could be a nice complement to your Schwab brokerage account or Charles Schwab CDs, especially with its unlimited ATM fee reimbursement. But it rarely makes sense as a primary savings account.

Motley Fool Money's best savings accounts

Many people are missing out on guaranteed returns as their money languishes in a big bank savings account earning next to no interest. Motley Fool Money's top savings account picks can earn you more than 10x the national average savings account rate.

Best Savings Accounts

Our savings account methodology

At Motley Fool Money, we rate savings accounts on a five-star scale (1 = poor, 5 = best). We evaluate all savings accounts across four main criteria: annual percentage yield (APY), brand and reputation, fees and minimum requirements, and perks that really make a difference -- think ATM access, linked checking accounts, or even branch access.

Our scores are weighted as:

  • APY: 50%
  • Brand and reputation: 20%
  • Fees and minimums: 15%
  • Other perks: 15%

Learn more about how Motley Fool Money rates bank accounts.

FAQs

  • Charles Schwab offers the Schwab Bank Investor Savings™ account, which pays a slightly above-average interest rate but isn't competitive with the top online high-yield savings account, some of which pay nine to 10 times Schwab's rate.

  • Charles Schwab Bank offers a savings account known as the Schwab Bank Investor Savings™ account. While the account has an APY that is slightly higher than the national average, it isn't a high-yield product. There are high-yield savings accounts offered by excellent banks that pay several times the rates Schwab does.

  • To open a Schwab Bank Investor Savings™ account, you don't necessarily need to be an existing Charles Schwab client. You can download an application and mail it back to Schwab to open an account, but if you're already a client, you can upload your application through your Schwab.com online portal.