E*TRADE Premium Savings Review: High APY and No Fees With Double FDIC Coverage
Review
Updated
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Our quick take: E*TRADE is best known as an online brokerage, but it also offers a no-fee, high-yield savings account through its partnership with Morgan Stanley Private Bank. The E*TRADE Premium Savings account has no minimum requirements, a decent APY, and can insure up to $500,000 in deposits -- double the usual amount offered by banks.
On E*TRADE's Secure Website.
Member FDIC.
On E*TRADE's Secure Website.
On E*TRADE's Secure Website.
With no fees and no account minimums, E*TRADE Premium Savings can be a great add-on to your E*TRADE brokerage account. Its APY is decent, but you can find better interest rates at other banks.
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 |
|---|---|---|---|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
up to 3.80%²
Rate info
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
|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website. |
Open Account for CIT Platinum Savings
On CIT's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
4.10% APY for balances of $5,000 or more
Rate info
4.10% APY for balances of $5,000 or more; otherwise, 0.25% APY
Min. to earn: $100 to open account, $5,000+ for max APY
|
Earn a bonus of at least $225 after a one-time deposit of $25,000+.
Transfer a one-time deposit of $25,000-$49,999.99 for a bonus of $225. Transfer a one-time deposit of $50,000+ for a bonus of $300. Account must be opened with code PS2025 while this promotion lasts, and funded within 30 days. Bonus will be fulfilled within 60 days from the funding date. There is no period of time where the customer will be required to maintain the funds. Account must be open when bonus is credited. One bonus per account and primary customer. Bonus will be credited into the Platinum Savings Account that fulfills the funding requirement. Funding can be deposited all at once or incrementally.
|
Open Account for CIT Platinum Savings
On CIT's Secure Website. |
Open Account for American Express® High Yield Savings
On American Express's Secure Website.
Rating image, 4.00 out of 5 stars.
4.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
3.70%
Rate info
3.70% annual percentage yield as of April 17, 2025. Terms apply.
Min. to earn: $0
|
N/A
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Open Account for American Express® High Yield Savings
On American Express's Secure Website. |
SoFi disclosure:
¹ New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/26. See full bonus and annual percentage yield (APY) terms at sofi.com/banking#1.
² SoFi members who enroll in SoFi Plus with Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi Plus members are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of 1/24/25. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet. See the SoFi Plus Terms and Conditions at https://www.sofi.com/terms-of-use/#plus.
³ We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at sofi.com/legal/banking-fees/.
⁴ SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations.
Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at SoFi.com/banking/fdic/sidpterms. See list of participating banks at SoFi.com/banking/fdic/participatingbanks.
⁵ We’ve partnered with Allpoint to provide you with ATM access at any of the 55,000+ ATMs within the Allpoint network. You will not be charged a fee when using an in-network ATM, however, third-party fees incurred when using out-of-network ATMs are not subject to reimbursement. SoFi’s ATM policies are subject to change at our discretion at any time.
⁶ Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.
⁷ Overdraft Coverage is limited to $50 on debit card purchases only and is an account benefit available to customers with direct deposits of $1,000 or more during the current 30-day Evaluation Period as determined by SoFi Bank, N.A. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the“30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Members with a prior history of non-repayment of negative balances are ineligible for Overdraft Coverage.
Whether you have an E*TRADE investment account already, or you're just looking to earn the most interest on your savings, find out what the E*TRADE Premium Savings has to offer in this review.
| Account | APY | Minimum Deposit |
|---|---|---|
| E*TRADE Premium Savings | 4.00% | $0 |
The E*TRADE Premium Savings account has a 4.00% APY. That's nearly 10 times the national average of 0.41% for savings accounts, according to FDIC data. Though a few top high-yield savings accounts offer APYs of 4.00% or higher, the E*TRADE Premium Savings account certainly offers a competitive rate.
The E*TRADE Premium Savings account doesn't have a monthly service fee, but there are a few other possible charges you should know about.
| Monthly service fee | N/A |
|---|---|
| Outgoing wire transfer fee | $25 |
| Insufficient funds fee | $25 per item |
| Paper statement copy fee | $5 |
Like many of the best free savings accounts, the E*TRADE Premium Savings account doesn't have a minimum opening deposit or an ongoing balance requirement. Many banks require a starting deposit of $25 to $100 to open a savings account. Monthly fees are also common if you don't maintain a daily balance of at least several hundred dollars, particularly at traditional banks.
You're limited to six withdrawals or outgoing transfers per month from the E*TRADE Premium Savings account. In the past, the Federal Reserve's Regulation D required banks to limit savings withdrawals to six per month, but the Fed lifted this rule in 2020. Banks and credit unions are still allowed to keep these limits in place, but some institutions have eliminated them.
The E*TRADE App is designed more for investing and stock trading;, however, you can also use the app to manage your E*TRADE bank accounts. The app receives an average rating of 4.6 stars in both the Google Play store and the Apple App Store.
Although E*TRADE Premium Savings doesn't have brick-and-mortar branches, it gives you a few ways to access your funds.
E*TRADE doesn't let you deposit cash directly into your account (you can, however, mail checks). If you need to move money into your E*TRADE savings account, you can do so in the following ways:
Funds deposited by wire transfer are available on the same day, so long as the wire was received before 6 p.m. EST. If you transfer money from an external bank account, your money will be available on the third business day after the day the request was entered, as long as the deposit is received before 4 p.m. EST.
So, if you start a transfer on Friday at noon, your money will be available by the following Wednesday. Finally, mobile checks can take up to five business days before they're available for your use.
E*TRADE only gives you a few ways to withdraw funds from your savings account:
Overall, online reviewers seem pleased with the E*TRADE Premium Savings account. They're satisfied with the interest rate the account earns, though a few Reddit users say they've gotten better rates elsewhere.
Users report that if they need to access money from their savings account, they can do so through an external transfer to another bank account, which takes a few days.
Immediate transfers to E*TRADE accounts: You get instant transfers from your E*TRADE Premium Savings to all other E*TRADE accounts, including checking and brokerage. This makes the savings account a convenient place to store uninvested cash, savings, and emergency funds.
Decent APY: Currently, the E*TRADE Premium Savings pays out at a 4.00% APY -- nearly 10 times higher than the national average. That's a good rate for a savings account, though, as we'll discuss below, it's not the highest APY we've seen.
No fees: This is a free savings account with no balance minimums or direct deposit requirements. Although the account doesn't require a minimum opening deposit, you'll need to add some money within the first 30 days for it to remain open.
Get double the FDIC insurance: Most savings accounts will insure your deposits up to $250,000. But the E*TRADE high-yield savings covers up to $500,000 in FDIC insurance, or $1 million for joint accounts.
Not the highest APY: E*TRADE's savings account has a competitive APY. But if you're looking to earn the most interest on your savings, there are better options.
Limited access to money: As an online bank, E*TRADE doesn't have physical branches, nor does it give you a deposit card to withdraw money from ATMs. That said, if you pair this with an E*TRADE checking account, you'll get unlimited ATM refunds, which would essentially allow you to withdraw cash without paying a fee.
Monthly cap on your withdrawals and transfers: The E*TRADE Premium Savings allows up to six withdrawals or transfers from your account in a calendar month. While this isn't rare for a savings account -- it seems from previous federal regulation -- it's something to consider if you plan to move money frequently between accounts.
Yes, the E*TRADE Premium Savings account is covered by FDIC insurance. Most savings accounts will insure your deposits up to $250,000 per depositor, per institution, and per ownership category. But the E*TRADE high-yield savings covers up to $500,000 in FDIC insurance, or $1 million for joint accounts.
The account could be a good fit if you want a high-yield online savings account and don't need in-person support, especially if you already have an E*TRADE brokerage account.
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:
Learn more about how Motley Fool Money rates bank accounts.
No, you can open an E*TRADE savings account on its own.
If you make more than six withdrawals or transfers from your savings account, E*TRADE could choose to close it, convert it into a checking account, or remove your transfer privileges.
The E*TRADE Premium Savings account is worth considering if you want a high-yield savings account with no monthly fees and you don't care about in-person banking. The account could be especially convenient if you already have an E*TRADE brokerage account or IRA.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page. APYs are subject to change at any time without notice.
