Bank of America offers a straightforward savings account and rewards program aimed at helping customers build their savings. However, its current Annual Percentage Yields (APYs) fall below the national average of 0.40%, making it less competitive when compared to many online banks. Despite this, Bank of America remains a popular choice for individuals who value physical branch access, digital banking tools, and the convenience of managing multiple accounts under one roof. This article provides a closer look at Bank of America’s savings interest rates in 2025 and how they stack up against other banking options.
Current Savings Rates & How to Earn More
Bank of America’s savings rates are relatively modest. While the exact APY can fluctuate, the overall trend indicates rates below the national average. To potentially improve your interest earnings, consider becoming a Preferred Rewards member.
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Preferred Rewards Program: This program provides benefits for maintaining a certain combined average daily balance across qualifying accounts. There are no monthly fees to maintain membership. To qualify, you must have an eligible personal checking account and a three-month combined average daily balance of $20,000 or more in qualifying accounts. The tiers within the Preferred Rewards program offer increasing benefits, including higher APYs on savings accounts, along with credit card rewards bonuses, discounts on loans, and fee waivers.
- Tier Requirements: The specific balance requirements vary by tier, so it’s essential to review Bank of America’s website for the latest information.
Comparing Bank of America’s Rates to Other Banks
It’s important to compare Bank of America’s rates to other banking options to determine if it’s the best fit for your savings goals. Online banks frequently offer significantly higher APYs on savings accounts, providing a more attractive option for those primarily focused on maximizing interest earnings.
Opening an Advantage Savings Account
Opening a Bank of America Advantage Savings account is relatively simple.
- Minimum Deposit: Requires a minimum deposit of $100.
- Monthly Fee: A $8 monthly maintenance fee applies unless you meet specific conditions, such as:
- Maintaining a minimum balance of $500.
- Linking your savings account to your Advantage Relationship Banking account.
- Becoming a Preferred Rewards member.
Key Advantages Beyond Interest Rates
While Bank of America’s interest rates may not be the most competitive, the bank offers several other advantages:
- Convenience & Accessibility: A vast network of branches and ATMs provides convenient access to your funds across the country.
- Preferred Rewards Program: This program offers a range of benefits beyond just slightly higher savings account APYs, creating a potential value proposition for customers who utilize multiple Bank of America products and services.
- Digital Banking: Bank of America’s mobile and online banking platforms offer a robust suite of tools for budgeting, setting savings goals, and managing your account efficiently.
Is Bank of America Right for You?
Ultimately, whether Bank of America’s savings account is right for you depends on your individual needs and priorities. While it may not offer the highest interest rates, the bank provides a secure environment, a user-friendly mobile app, and a large ATM network. If maximizing interest earnings is your primary goal, exploring online banks with higher yields is highly recommended. However, if you value the convenience of physical branches, a comprehensive banking platform, and the benefits of the Preferred Rewards program, Bank of America’s savings account could be a suitable choice.
Bank of America’s savings rates are not the highest available, but its extensive network and added benefits may appeal to some savers.
