Bank of America Savings Account Rates for August 2024

Bank of America is one of the largest banks in the US, with over 4,000 branches and 16,000 ATMs. Its full suite of financial products -- including checking and savings accounts, credit cards, loans and investing services -- are accessible online and at thousands of retail locations across the country. 

However, its savings accounts offer low annual percentage yields, or APYs, that will do little to boost your savings compared to many other institutions.  But if you value in-person, nationwide access or the ability to keep all your finances under one roof, Bank of America might make sense for you.

Bank of America savings account options compared

Bank of America savings account options

Bank of America has just one savings account: Advantage Savings. The base APY is 0.01%, but if you’re eligible and enroll in the Preferred Rewards program, you can earn up to 0.04%.

The Preferred Rewards tiers include the Advantage Savings Gold Tier, Platinum Tier and Platinum Honors Tier. The only difference is the APY you can earn.

Bank of America Advantage Savings

Advantage Savings is Bank of America’s standard savings account. You earn 0.01% APY (well below the national average for savings accounts) and interest compounding monthly. You can open this account with an initial deposit of $100.

You’ll be charged an $8 monthly maintenance fee, unless you meet one of Bank of America’s listed criteria, such as maintaining a minimum balance of $500 or linking to Bank of America Advantage Relationship Banking.

However, Bank of America will waive the fee for the first six months on new accounts.

Preferred Rewards Bank of America Advantage Savings

If you maintain a higher balance, you may be eligible for Preferred Rewards membership, which can earn a higher APY on the money in your Advantage Savings account.

To get approved for a higher APY account, you’ll need a Bank of America checking account and a three-month combined daily average in any of your Bank of America deposit accounts (i.e. checking and savings) and/or a Merrill investment account.

Here’s how much interest you can earn and the minimum amount you’ll need for each of the upper-tier accounts:

• Gold: 0.02% APY, $20,000 to less than $50,0000
• Platinum: 0.03% APY, $50,000 to less than $100,000
• Platinum Honors: 0.04% APY, $100,000 to less than $1 million

As a Preferred Rewards client, you don’t have to pay the $8 monthly fee.

Enrolling in the Preferred Rewards higher tiers isn’t automatic. Once you reach $20,000 in assets, Erica, Bank of America’s AI-driven financial assistant, will nudge you to enroll in the Preferred Rewards program to get the benefits. Once you enroll, you’ll be automatically bumped into the higher tiers as your assets reach the additional thresholds, according to a Bank of America spokesperson.

If you have a lot of assets stored at Bank of America and/or Merrill investment accounts, Advantage Savings might make sense for you -- but you’ll still be earning relatively low APY compared to the national average and competitors offering over 5% APY.

APY comparison

Opening a standard savings account with Chase and Wells Fargo is also more accessible than Bank of America. Chase doesn’t require a minimum deposit for a savings account, and Wells Fargo requires just $25 for its base savings account -- four times less than what Bank of America requires.

Parking your savings in an online bank may make sense if you want to earn more in interest. Online banks can offer high APYs because they don’t have physical locations to manage, reducing their overhead costs, which they then pass on to customers in the form of reduced fees and higher interest rates.

That noted, there are some banks you can visit in person that offer high APYs and no account fees, including Capital One’s 360 Performance Savings, which offers a robust 4.35% APY.

For more banks offering higher savings account rates, check out our picks for the best savings accounts.

Who should open a Bank of America savings account?

Customers who prefer a bank with branches across the country will appreciate Bank of America’s vast presence. Bank of America also offers a robust mobile banking service with state-of-the-art technology tools for managing your banking needs remotely.

The savings accounts don’t offer competitive rates. Customers interested in maximizing their savings growth should consider other big banks that provide similar services but offer better rates.

How to open a Bank of America savings account

You can open a savings account at Bank of America by visiting one of its physical branches or completing an application online or through the mobile app. To open a savings account, use the following steps:

1. Complete an application.
2. Verify your identity with a government issued photo ID, such as your driver’s license.
3. Provide your Social Security number or Individual Taxpayer Identification Number.
4. Deposit at least the required minimum of $100.

Other savings options at Bank of America

Bank of America offers three types of CDs: fixed term, featured and flexible. Its fixed-term CDs range from 28 days to 10 years, and its featured CDs range from seven months to 37 months. The flexible CD account only offers a 12-month term.  

Bank of America’s CDs all require a $1,000 deposit to get started and have no annual or transaction fees. Its rates vary depending on your balance and term. However, you can find more competitive rates on a wider variety of terms for high-yield CD accounts at other banks.

Flexible CDs permit a full withdrawal of the balance without penalty after the sixth day the account was opened. Terms are limited to 12 months and the rate is 4.25% APY. After a flexible CD matures, it will automatically renew into a 9-month term at 0.01% APY unless you request a change during the seven-day grace period.

Bank of America featured CD rates

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