Bank of America customers are earning pennies on their savings while dozens of online banks are paying more than 4% on the same money.
The gap has grown so wide that consumer advocates say it's one of the easiest ways for households to leave hundreds of dollars on the table each year.
The bank's standard savings account still pays an annual percentage yield of roughly 0.01%, a rate that has barely budged even after years of Federal Reserve interest rate hikes.
On a $10,000 balance, that works out to about $1 per year.
The same amount parked in a high-yield savings account at 4.25% would earn around $425.
The difference comes down to how big banks make money.
Bank of America and its peers fund themselves partly through customer deposits, and paying near-zero interest keeps that funding cheap.
Online banks don't carry the same branch and staffing costs, so they compete for deposits by passing along higher rates.
What makes the gap sting more is that Bank of America does offer better rates, just not to everyone.
Customers in the Preferred Rewards program can earn higher yields on savings, but the top tiers generally require combined balances of $20,000 to $100,000 across checking, savings, and investment accounts.
Customers below those thresholds stay in the standard account.
Switching isn't complicated, but it takes a few deliberate steps.
First, check the current APY on your statement or in the app, since promotional rates and account tiers vary.
Second, compare that number against a handful of federally insured online banks, which typically list rates clearly on their websites.
Third, if you decide to move, keep your Bank of America checking account open if you rely on branches or ATMs, and link the new savings account for transfers.
A few practical notes before you move money.
Transfers between banks can take one to three business days, so don't cut it close on bills.
Confirm the new account is insured by the FDIC or NCUA.
And watch for monthly maintenance fees, minimum balance requirements, or withdrawal limits that can quietly eat into your interest.
Some households split the difference: keep a small cushion at the big bank for quick access and move the rest to a higher-yield account.
Others use the threat of leaving as leverage, though big banks rarely negotiate savings rates for everyday customers.
The larger point is that loyalty to a single bank rarely pays.
Rates change often, and the best offers today may not be the best in six months.
A quick annual review, or one after any Fed rate move, can keep your cash working harder than 0.01%.
If you've been parking emergency savings at a big bank out of habit, this is one of the few money moves that takes an afternoon and pays off immediately.
The gap between 0.01% and 4% isn't a rounding error, it's real money.
Final Thoughts
Check your rate this week and see what your bank is actually paying you.