You can earn 5% on your checking or savings account – check out the banks that offer the extra bonus

Instead of leaving your money in stagnant bank accounts, you can make more money at certain banks.

Many banks offer a high annualized return or APY, which acts as a return on your money to ensure their customers maximize their checking or savings accounts.

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Simply put, the interest rate is essentially the percentage of interest you earn on your accounts.

The higher the APY, the better.

The average annual interest is 0.24% on a savings account, as reported by the Federal Deposit Insurance Company.

But some banks like Consumer Credit Union, SoFi, Capital One, and Discover all offer high interest rates to help you grow your money while you save.

However, keep in mind that you may need to open a high-yield savings account to maximize your interest.

1. Consumer Credit Union

With consumer credit unionyou can earn up to 5% APY on account balances of up to $10,000, which would equate to $500 in interest.

There are a few requirements that you must meet in order to grow your money.

It includes a minimum of 12 monthly debit card purchases and setting up electronic transactions, including direct deposit, transfer through the auto-clearing house, or mobile check deposit.

You must also make at least $1,000 in Consumers Credit Union credit card purchases.

Savings accounts with more than $10,000 earn about 0.10% or 0.20% APY.

Even if you don’t meet the requirements, account holders still earn 0.01% APY on all balances.

Advantages:

• Earn up to $500 in savings of up to $10,000
• No monthly maintenance fees
• Over 30,000 ATMs and 5,000 community branches
• Unlimited ATM fee refunds
• Online banking and bill payment

Disadvantages:

• $30 overdraft fee
• No sign-up bonus

2. SoFi

at SoFiyou can earn up to 3.25% APY in your savings account and get up to $250 bonus when you sign up.

SoFi is currently offering up to $250 in cash bonuses for new members who sign up for direct deposits.

If you are an existing member with no direct deposit, you can sign up before January 31, 2023 and still receive the cash bonus.

You can also earn 2.5% APY when checking balances and the best part is that there is no minimum deposit requirement.

Direct deposit members can still earn 1.20% APY on all checking and savings account balances.

Advantages:

• Earn up to 3.25% APY
• No minimum deposit
• $250 cash bonus

Disadvantages:

• Cash deposits cost up to $4.95 and are only available through third-party providers

3. Chapter One

Capital One’s 360 Power Savings is another solid way to make money while saving.

You can earn 3% APY into your savings account and there are no monthly or maintenance fees.

If you start with a balance of $5,000 in your account, you can earn $150 annually based on that rate.

At the end of the year, you’ll have $5,150 instead of just $5,000 if you had put your money in a low APY savings account.

Advantages:

• Earn 3% APY
• No minimum deposit
• $250 cash bonus

Disadvantages:

• No sign-up bonus.
• Doesn’t come with a debit card

Once your account is approved, you have 60 days to fund your account.

4. Discover

Discover’s online savings account is a great alternative to Capital One’s 360 Performance Savings if you’re looking for a sign-up bonus.

Discover’s online savings account offers 3% APY and there is also no minimum deposit.

So if you had $5,000 in your savings, you would make $150.

In addition to APY, you can also earn a $150 bonus when you deposit at least $15,000 into your account.

If you deposit at least $25,000 you can earn a $200 bonus, but the deposit must be credited to your account within 30 days of opening your account.

• Earn 3% APY
• No monthly fees for checking and savings accounts
• Up to $200 cashback bonus

Disadvantages

• One physical branch location only
• No cash deposits

Other banks with cash bonus

Other banks like Chase, Citi, and Bank of America are offering cash bonuses ranging from $50 to $300 just in time for Christmas.

With Chase Total Checkingyou can get $200 back if you open a checking account and deposit directly within 90 days of coupon registration.

Another is the Chase secure banking Account.

While you can earn $100, there is also a $4.95 monthly service fee.

When you open one Chasing business cardyou can earn up to $300 but remember the offer ends on February 16, 2023.

With SoFi check and savingsyou can earn up to $250.

If you deposit any amount between $1,000 and $4,999 during the 25-day evaluation period, you can earn a $50 bonus.

For more related stories, read how the Federal Reserve’s multiple rate hikes this year are affecting you.

Check out the Live Blog for Christmas Aid Payments from $200 to $1,050.