Bank of America's flagship savings account still pays an annual percentage yield of 0.01% on standard balances, according to the bank's published rate schedule.
That means $10,000 parked there for a full year earns about $1.
Depositing the same amount into one of the high-yield savings accounts now widely available could generate roughly $400 over the same period, based on rates many online banks have been advertising.
The gap is not a secret, but it is easy to miss.
Big-bank savings rates are often buried behind login screens, and many customers opened their accounts years ago and never revisited them.
Meanwhile, the Federal Reserve's rate moves since 2022 pushed yields on competing accounts sharply higher, and those competitors have been marketing aggressively.
What Bank of America says in its own defense is that the 0.01% figure applies to the basic savings tier, and that customers who keep larger combined balances or enroll in its Preferred Rewards program can qualify for better terms.
The bank also points to perks like branch access, mobile tools, and relationship pricing on mortgages and credit cards.
Whether those perks are worth several hundred dollars a year in foregone interest is a personal math problem.
Here is the part that frustrates consumer advocates: the gap is widest for the customers least likely to shop around.
People with smaller balances, older savers, and those who set up automatic transfers years ago tend to stay put.
A 2023 Bankrate survey found that a majority of savers were earning less than 3% on their savings even as top accounts paid more than 4%, largely because they kept money at their primary bank out of habit.
Switching does not require closing your checking account.
Many people keep direct deposit and bill pay where they are and simply move the emergency fund or sinking fund to an online savings account.
Transfers between banks typically take one to three business days, and there is usually no fee to open a high-yield account.
The main trade-off is losing in-person branch service for that specific pot of money, plus watching for minimum balance rules or promotional rates that expire after a few months.
Before moving anything, check three things: the account's current APY (not the teaser rate from last year), whether the rate is variable, and whether there are monthly fees or transfer limits.
Also confirm your bank's deposit insurance, which should be FDIC or NCUA coverage up to $250,000 per depositor per institution.
If a savings account pays 0.01% and inflation is running near 3%, the purchasing power of that balance shrinks every month it sits still.
One more angle worth checking: some employers and payroll apps now let you split direct deposit between two banks automatically, so a portion of each paycheck lands in the higher-yield account without any manual transfers.
That removes the main excuse people give for not switching.
The bottom line is that loyalty to a big bank's savings account is quietly expensive right now.
A few minutes spent comparing rates could be the highest-paid hour of your financial year, and there is no penalty for keeping your checking account exactly where it is.
Final Thoughts
Rates change often, so verify current numbers before you move anything.