Here is my monthly roundup of the best safe rates available, roughly sorted from shortest to longest maturities. Check out my Ultimate Rate-Chaser Calculator to get an idea of how much additional interest you’d earn if you are moving money between accounts. Rates listed are available to everyone nationwide. Rates checked as of 7/4/18.

High-yield savings accounts
While the huge brick-and-mortar banks like to get away with 0.01% APY, there are a number of online savings accounts offering much higher rates. Keep in mind that with savings accounts, the interest rates can change at any time.

• CIT Bank Money Market offers 1.85% APY with no minimum balance ($100 to open). Purepoint Financial offers 1.90% APY, but requires a $10k+ balance. Northpointe Bank is at 2.05% APY, but requires a $25k+ balance. On the flip side, Redneck Bank offers 2% APY but on a maximum balance of $50k.
• My “hub” bank account is the Ally Bank Savings + Checking combo due to their history of competitive savings/CD rates, 1-day external bank transfers, and overall user experience. The free overdraft transfers from savings allows to me to keep my checking balance at a minimum. Ally Savings is currently at 1.75% APY. I then open other “spoke” accounts and CDs to lock in higher rates.

Money market mutual funds + Ultra-short bond ETFs
If you like to keep cash in a brokerage account, you should know that money market and short-term Treasury rates have been rising. The following money market and ultra-short bond funds are not FDIC-insured, but may be a good option if you have idle cash and cheap/free commissions.

• Vanguard Prime Money Market Fund currently pays an 2.04% SEC yield. The default sweep option is the Vanguard Federal Money Market Fund, which has an SEC yield of 1.83%. You can manually move the money over to Prime if you meet the $3,000 minimum investment.
• Vanguard Ultra-Short-Term Bond Fund currently pays 2.39% SEC Yield ($3,000 min) and 2.49% SEC Yield ($50,000 min). The average duration is ~1 year.
• The PIMCO Enhanced Short Maturity Active Bond ETF (MINT) has a 2.44% SEC yield and the iShares Short Maturity Bond ETF (NEAR) has a 2.47% SEC yield while holding a portfolio of investment-grade bonds with an average duration of ~6 months.

Short-term guaranteed rates (1 year and under)
I am often asked what to do with a big wad of cash that you’re waiting to deploy shortly (just sold your house, just sold your business, legal settlement, inheritance). My usual advice is to keep things simple. If not a savings account, then put it in a flexible short-term CD under the FDIC limits until you have a plan.

• CIT Bank 1-year CD is now at 2.50% APY. Early withdrawal penalty is 3-months of interest. Alternatively, the CIT Bank 11-Month No-Penalty CD at 1.85% APY with a $1,000 minimum deposit and no withdrawal penalty seven days or later after funds have been received. The lack of early withdrawal penalty means that your interest rate can never go down for 11 months, but you keep full liquidity. Full review. You can open multiple CDs in $1,000 increments if you want more flexibility.
• Several other banks now have 12-month CDs at 2% APY and above. Watch the early withdrawal penalties. For example, Synchrony Bank has a 2.45% APY 14-month CD, but the early withdrawal penalty is 180 days of interest. Meanwhile, Ally Bank has a 12-month CD at 2.30% APY with $25k+ deposit (2.20% APY for $5k+) and early withdrawal penalty of 60 days interest.

US Savings Bonds
Series I Savings Bonds offer rates that are linked to inflation and backed by the US government. You must hold them for at least a year. There are annual purchase limits. If you redeem them within 5 years there is a penalty of the last 3 months of interest.

• “I Bonds” bought between May 2018 and October 2018 will earn a 2.52% rate for the first six months. The rate of the subsequent 6-month period will be based on inflation again. More info here.
• In mid-October 2018, the CPI will be announced and you will have a short period where you will have a very close estimate of the rate for the next 12 months. I will have another post up at that time.

Prepaid Cards with Attached Savings Accounts
A small subset of prepaid debit cards have an “attached” FDIC-insured savings account with exceptionally high interest rates. The negatives are that balances are capped, and there are many fees that you must be careful to avoid (lest they eat up your interest). The offers also tend to disappear with little notice. Some folks don’t mind the extra work and attention required, while others do. The Insight Card used to offer 5% APY on up to $5,000, but as of July 2018 is completely shut down.

• The only notable card left in this category is Mango Money at 6% APY on up to $5,000, but there are many hoops to jump through. There is a $3 monthly fee and you need to maintain a minimum $800 net direct deposit each month. This means you can’t direct deposit $800 and also take out $800 via online transfer. Checks and ATM withdrawals have additional fees. The only thing left is to spend the money via the Visa debit feature (and miss out on 2% or similar credit card rewards).

Rewards checking accounts
These unique checking accounts pay above-average interest rates, but with unique risks. You have to jump through certain hoops, and if you make a mistake you won’t earn any interest for that month. Some folks don’t mind the extra work and attention required, while others do. Rates can also drop to near-zero quickly, leaving a “bait-and-switch” feeling. That’s just how it goes with these types of accounts.

• Consumers Credit Union offers up to 4.59% APY on up to a $20k balance, although getting 3.09% APY on a $10k balance has a much shorter list of requirements. The 4.59% APY requires you to apply for a credit card through them (other credit cards offer $500+ in sign-up bonuses). Keep your 12 debit purchases small as well, as for every $500 in monthly purchases you may be losing out on 2% cashback (or $10 a month after-tax). Find a local rewards checking account at DepositAccounts.

Certificates of deposit (greater than 1 year)
You might have larger balances, either because you are using CDs instead of bonds or you simply want a large cash reserves. By finding a bank CD with a reasonable early withdrawal penalty, you can enjoy higher rates but maintain access in a true emergency. Alternatively, consider a custom CD ladder of different maturity lengths such that you have access to part of the ladder each year, but your blended interest rate is higher than a savings account.

• Connexus Credit Union is offering a 1-year Share Certificate at 2.50% APY (90-day early withdrawal penalty), a 3-year Share Certificate (180-day early withdrawal penalty) at 2.75% APY, and a 5-year Share Certificate (365-day early withdrawal penalty) at 3.25% APY. All have a $5,000 minimum deposit. Anyone can join this credit union via partner organization Connexus Association for a one-time $5 fee.
• You can buy certificates of deposit via the bond desks of Vanguard and Fidelity. These “brokered CDs” offer FDIC insurance, but they don’t come with predictable fixed early withdrawal penalties. As of this writing, Vanguard is showing a 3-year non-callable CD at 3.00% APY and a 5-year non-callable CD at 3.30% APY from a few banks including American Express and Citibank. Watch out for higher rates from callable CDs listed by Fidelity.

Longer-term Instruments
I’d use these with caution due to increased interest rate risk, but I still track them to see the rest of the current yield curve.

• Willing to lock up your money for 10+ years? You can buy long-term certificates of deposit via the bond desks of Vanguard and Fidelity. These “brokered CDs” offer FDIC insurance, but they don’t come with predictable fixed early withdrawal penalties. As of this writing, Vanguard is showing a 10-year non-callable CD at 3.40% APY. Watch out for higher rates from callable CDs from Fidelity. Matching the overall yield curve, current CD rates do not rise much higher as you extend beyond a 5-year maturity.
• How about two decades? Series EE Savings Bonds are not indexed to inflation, but they have a guarantee that the value will double in value in 20 years, which equals a guaranteed return of 3.5% a year. However, if you don’t hold for that long, you’ll be stuck with the normal rate which is quite low (currently a sad 0.10% rate). I view this as a huge early withdrawal penalty. You could also view it as long-term bond and thus a hedge against deflation, but only if you can hold on for 20 years.

All rates were checked as of 7/4/18.

Update October 2018. Here is a new promotion link with an extended expiration date and an extra $100 on top of the previous bonus. The requirements are nearly identical to before, but now you can get $300 for Total Checking + $20 for Savings + $100 for doing both.

Original post about previous similar offer:

Chase Bank has a Total Checking + Savings account promotion offering up to $500 total for new customers. The notable requirements are that you must switch over a “real” direct deposit to get the $300 checking bonus, and you’ll need a $15,000 deposit for 90 days to get the $200 savings bonus. You enter your e-mail address, and you will get a unique code for your online application. Some of the language suggests you should reside near a physical Chase branch, but the link lets you apply online and it should work from anywhere (you will know via instant approval). If you already have a Chase credit card, the application can be pre-filled.

Chase Total Checking $300 bonus details. Checking offer is not available to existing Chase checking customers, those with fiduciary accounts, or those whose accounts have been closed within 90 days or closed with a negative balance. You must:

1. Open a new Chase Total Checking account, which is subject to approval;
2. Deposit $25 or more at account opening;
3. Have your direct deposit made to this account within 60 days of account opening. Your direct deposit needs to be an electronic deposit of your paycheck, pension or government benefits (such as Social Security) from your employer or the government.
4. After you have completed all the above checking requirements, [Chase will] deposit the bonus in your new account within 10 business days.

Avoid monthly service fees on Total Checking when you do at least one of the following each statement period. Otherwise a $12 Monthly Service Fee will apply.

• Have monthly direct deposits totaling $500 or more made to this account; OR
• Keep a minimum daily balance of $1,500 or more in your checking account; OR,
• Keep an average daily balance of $5,000 or more in any combination of qualifying Chase checking, savings and other balances.

Chase Savings $200 bonus details. You must:

1. Open a new Chase Savings account, which is subject to approval.
2. Deposit a total of $15,000 or more in new money into the new savings account within 20 business days of account opening;
3. Maintain at least a $15,000 balance for 90 days from the date of deposit. The new money cannot be funds held by Chase or its affiliates.
4. After you have completed all the above savings requirements, we’ll deposit the bonus in your new account within 10 business days.
5. 0.01% effective APY as of 5/7/18. Interest rates are variable and subject to change.

Avoid monthly service fees on Chase Savings when you do at least one of the following each statement period. Otherwise a $5 Monthly Service Fee will apply.

• Keep a minimum daily balance of $300 or more in your savings account; OR,
• Have at least one repeating automatic transfer from your Chase checking account of $25 or more. One-time transfers do not qualify; OR,
• Have a linked Chase Premier Plus Checking, Chase Premier Platinum Checking, or Chase Private Client Checking account.

With a total opening deposit of $15,025 in new money, you can open both accounts and avoid both monthly fees. You’ll still need to change your direct deposit (any amount). I have read no reports of a “hard” credit check, and did not experience one myself either this time around or from a previous Chase offer from a couple years ago. Looks like a “soft” check to confirm your identity only (which is all banks should do…).

As reader R. Dannewitz helpfully points out:

Account Closing: If either the checking or savings account is closed by the customer or Chase within six months after opening, we will deduct the bonus amount for that account at closing.

After getting the bonus, you can avoid monthly fees until the 6 month requirement is over by taking the $15,000 out and just maintain a $500 direct deposit and a $25 auto-transfer from checking to savings. Alternatively, you could leave all but $1,500 in checking and $300 in savings and no worry about any other activity (my plan).

Bottom line. If you can switch over your paycheck direct deposit, Chase is offering $300 to try out their checking account. If you can move over $15,000 of new money for 90 days, Chase is offering another $200 to try out their savings account (a “savings” account that pays 0.01% APY??). Earning $500 on $15,000 in 90 days is the equivalent of 13.3% annualized return. That’s a lot more than a bank CD. The bonuses are considered interest and will be reported on IRS Form 1099-INT.