Bank of America's flagship savings account still pays a fraction of what high-yield accounts offer, and the gap has widened again this year.
The bank's standard savings rate sits at just 0.01% annual percentage yield, according to the bank's own disclosures.
Meanwhile, a growing list of online banks and money market funds are paying in the 4% range.
Park $10,000 in a BofA standard savings account for a year, and you'll earn about $1.
That same $10,000 in a 4% high-yield savings account earns roughly $400.
It's a car payment, a few months of groceries, or a chunk of an emergency fund.
Big banks don't need to compete for deposits the way online banks do.
They have millions of customers who keep money parked out of habit, convenience, or because their checking account is already there.
Those customers effectively subsidize the bank's cheaper funding costs.
Regulators don't force banks to pay more, and BofA isn't alone — Chase, Wells Fargo, and Citibank all sit near the bottom on savings yields.
There are a few exceptions worth knowing.
BofA's Preferred Rewards program bumps your savings rate slightly if you hit certain balance tiers, but even the top tier lands far below what an online account pays.
The bank also offers promotional rates on some certificates of deposit, which can be a decent option if you're willing to lock money up for a set term.
Start by checking the APY on your current savings account — it's usually buried in your statement or online banking portal.
If it starts with 0.0, you're leaving money on the table.
Moving even part of your emergency fund to a high-yield savings account takes about 15 minutes and can be undone just as fast.
A few practical guardrails: keep your checking account where it is if switching direct deposits feels like a hassle, and only move money you won't need to touch for a few months.
High-yield accounts are still FDIC-insured, so the safety question is settled as long as you stay under the insurance limits.
Watch for minimum balance requirements and monthly fees, which can eat into the extra interest.
The catch is that these rates won't last forever.
High-yield savings rates track the Federal Reserve's benchmark rate, and if the Fed cuts again, that 4% could drift down to 3% or lower within months.
That's still roughly 300 times better than 0.01%, but it's a reminder that rates are a moving target, not a permanent fixture.
One more thing worth checking: some banks quietly lower your rate after a promotional period ends.
Set a calendar reminder to review your APY every six months or so, especially if you opened the account during a rate spike.
The takeaway here isn't that Bank of America is a bad bank — it's that loyalty to a single institution rarely pays.
Your checking account and your savings account don't have to live under the same roof.
Final Thoughts
Splitting them is one of the simplest money moves available to most households right now, and it costs nothing but a little time.