Sun Oct 12 03:40:00 UTC 2025: **Summary:**

This article, updated by Fortune Editor Glen Luke Flanagan, discusses the attractiveness of high-yield savings accounts (HYSAs) in the current economic climate. Despite a recent rate cut by the Federal Reserve in September 2025 (bringing the federal funds rate to 4.00%-4.25%), many HYSAs still offer competitive annual percentage yields (APYs), some even approaching 5.00%. The article highlights the importance of comparing rates, especially as the Fed is expected to consider further rate cuts. It explains the difference between traditional and high-yield savings accounts, emphasizing that the latter often come with higher interest rates due to the lack of physical branches in online banks. The best high-yield savings account rate of 5.00% can be found at Varo Money. Accounts with very competitive rates can also be found at Axos Bank, SoFi, and Presidential Bank. The article advises consumers to consider factors like minimum balance requirements and the potential impact of inflation on their savings. Fortune is partnering with Curinos to provide readers with up-to-date savings account rate information.

**News Article:**

**High-Yield Savings Accounts Still a Smart Move Despite Fed Rate Cut, Says Fortune**

NEW YORK, NY – As the Federal Reserve navigates a complex economic landscape and has initiated rate cuts after holding firm earlier in the year, high-yield savings accounts (HYSAs) remain an attractive option for savers, according to a new report from Fortune. Despite the Fed’s recent September rate cut to 4.00%-4.25%, many online banks continue to offer competitive APYs, some even reaching the 5.00% mark.

“It’s a great time to make sure you have the best account for your financial needs,” says Fortune Editor Glen Luke Flanagan, who updated the daily rates series originally created by Cassie Bottorff. “While the national average savings rate is just 0.40%, HYSAs can offer significantly higher returns, often 10 to 20 times that amount.” The best high-yield savings account rate of 5.00% can be found at Varo Money. Accounts with very competitive rates can also be found at Axos Bank, SoFi, and Presidential Bank.

The article explains that high-yield savings accounts typically provide rates that are 10 to 20 times higher than conventional accounts. This is because online banks, lacking the overhead of physical branches, can afford to pass on savings to customers in the form of higher interest.

Fortune has partnered with Curinos, a team of financial industry consultants, to provide readers with the most current and accurate information on savings account rates.

Flanagan warns savers to be mindful of potential further rate cuts by the Fed, adding that the central bank’s next FOMC meeting is scheduled for October 28-29. While interest rate increases benefit savers, he notes that the current economic environment of rising inflation rates and an ambiguous U.S. economic outlook makes it particularly important to maximize returns.

The article recommends that consumers consider factors beyond just the APY, such as minimum balance requirements and monthly fees. It also reminds savers that interest earned is taxable and that it’s important to ensure the account is FDIC-insured to protect their deposits.

“While switching to a HYSA can be worthwhile,” says Flanagan, “it depends on your individual situation. It is important to make sure that the higher rate will actually make a significant difference in your earnings before making a move.”

Fortune’s daily savings rate reports, available on their website, help consumers stay informed and make the best decisions for their financial future.

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