Chase savings accounts pay between 0.01% and 0.35% APY, depending on the account type and balance tier

Chase offers three main savings products, and the rate you earn depends on which one you choose. The Chase Savings Account (their standard option) pays 0.01% APY on all balances. The Chase Premier Savings account pays up to 0.35% APY if you maintain a $100,000 minimum balance; below that threshold, the rate drops to 0.01%. The Chase First Banking account, designed for customers under 18, also pays 0.01% APY.

These rates are set by Chase and change at the bank's discretion. Chase does not automatically match rates offered by online banks or competitors. If you want to know the current rate before opening an account, you can check Chase's website or call a branch, but the rate you see today may not be the rate you earn six months from now.

Chase also offers Chase Money Market Account, which is a hybrid product. It functions like a savings account but with tiered rates: the rate increases as your balance grows, and it can reach 0.35% APY on balances of $100,000 or more. Like the Premier Savings account, balances below $100,000 earn 0.01% APY.

Key Takeaways

  • Chase standard savings accounts earn 0.01% APY regardless of how much money you deposit.
  • Chase Premier Savings and Money Market accounts pay 0.35% APY only if you keep at least $100,000 in the account; below that, you earn 0.01%.
  • Chase rates are lower than rates offered by online banks and credit unions, which often pay 4% to 5% APY on savings accounts.
  • Interest rates at Chase change without notice, so the rate you earn today may be different in three months.

How Chase rates compare to other banks

Chase savings rates are significantly lower than what you can earn elsewhere. Online banks like Marcus, Ally, and American Express Personal Savings currently offer rates between 4% and 5% APY on standard savings accounts with no minimum balance requirement. Credit unions often offer similar or higher rates. Even traditional brick-and-mortar banks like Ally and Discover offer rates well above Chase's 0.01% to 0.35% range.

The trade-off is convenience. Chase has thousands of branches and ATMs nationwide, so if you value in-person banking and immediate access to a teller, you may accept the lower rate. If you prioritize earning interest on your savings, moving money to an online bank or credit union would increase your earnings substantially. For example, $10,000 earning 0.01% at Chase generates $1 per year in interest, while the same $10,000 at 4.5% APY generates $450 per year.

Minimum balance requirements and fees

Chase Savings Account has no minimum balance to open or maintain. You can deposit $1 and keep the account active. However, there is a monthly maintenance fee of $5 unless you meet one of these conditions: maintain a $500 minimum daily balance, set up a direct deposit of at least $250 per month, or link the account to a Chase checking account with a $500 minimum daily balance.

Chase Premier Savings requires a $100,000 minimum balance to earn the higher 0.35% rate. If your balance falls below $100,000, you earn 0.01% APY and pay a $25 monthly maintenance fee unless you maintain the $100,000 minimum. Chase Money Market Account has the same $100,000 threshold and $25 monthly fee structure.

The monthly fees can erase the small amount of interest you earn. On a $10,000 balance earning 0.01% APY, you would earn approximately $1 per year in interest but pay $60 per year in maintenance fees, resulting in a net loss. This is why the fee waiver conditions matter: if you can meet one of them, you avoid the fee and keep whatever interest you earn.

How interest is calculated and paid

Chase calculates interest daily based on your account balance and compounds it daily, meaning interest earned each day is added to your balance and earns interest itself the next day. However, interest is deposited into your account monthly, usually on the last business day of the month.

The actual amount you receive depends on how many days are in the month and your average daily balance. If your balance fluctuates throughout the month, Chase uses the average of your daily balances to calculate the interest payment. This means depositing a large sum late in the month will not earn interest until the following month's calculation period.

When Chase rates change and how to monitor them

Chase adjusts savings rates periodically in response to changes in the Federal Reserve's benchmark interest rate and competitive pressure from other banks. There is no set schedule for rate changes, and Chase does not announce them in advance. You may notice a rate change only when you log into your account or receive a statement.

To stay informed, check your Chase account online or call 1-800-935-9935 to ask about current rates on specific accounts. You can also visit Chase.com and navigate to the savings account product pages, which display current rates. If you are considering opening a new account, compare Chase rates to rates at online banks and credit unions before deciding, since the difference in earnings can be substantial over time.

Tax treatment of savings interest

Interest earned in a Chase savings account is taxable income. Chase will send you a Form 1099-INT in January if you earned $10 or more in interest during the previous year. You must report this interest on your federal tax return, and depending on your state, you may owe state income tax on it as well.

If you are in a high tax bracket, the tax on savings interest further reduces your real earnings. For example, if you earn $100 in interest and owe 24% federal tax plus 5% state tax, you keep only $71 of that interest. This is another reason why the difference between a 0.01% rate and a 4.5% rate matters: even after taxes, the higher rate leaves you with more money.

Alternatives to Chase savings accounts

If you want higher interest rates without leaving the Chase ecosystem, consider a Chase CD (Certificate of Deposit). CDs lock your money away for a set term (3 months, 6 months, 1 year, or longer) but pay higher rates than savings accounts. Current Chase CD rates vary by term length but are typically higher than savings rates. The trade-off is that you cannot withdraw the money before the term ends without paying an early withdrawal penalty.

If you want to keep your money accessible and earn more interest, an online savings account at Marcus, Ally, or American Express Personal Savings will pay 4% to 5% APY with no minimum balance and no monthly fees. You can transfer money between your Chase checking account and an online savings account in one to three business days, so the money remains accessible even though it is not at Chase.

A high-yield money market account at an online bank offers similar rates to savings accounts but may include check-writing privileges and a debit card, giving you more flexibility. Credit unions often offer rates competitive with online banks and may provide better customer service if you value personal relationships with your financial institution.

Frequently Asked Questions

Does Chase offer a promotional rate for new savings accounts?

Chase occasionally runs promotions offering bonus interest rates for new customers, but these are not permanent. Promotional rates typically last 3 to 6 months and then revert to the standard rate. Check Chase.com or call a branch to learn whether a promotion is currently running. Any promotional rate will be disclosed before you open the account.

Can I move money between my Chase savings and checking account without fees?

Yes. Transfers between your own Chase accounts are free and typically process immediately if you transfer online or at an ATM. There is no limit on how many times you can transfer between your own accounts. However, federal rules previously limited savings account withdrawals to six per month; Chase removed this limit, but some restrictions may apply depending on your account type.

What happens to my interest if I close my Chase savings account?

Interest accrues through the last day your account is open. Chase will pay any accrued interest into your account before closing it, or you can request that it be transferred to another account. Interest is calculated through the end of the month in which you close the account.

Is my money safe in a Chase savings account?

Yes. Chase is a member of the Federal Deposit Insurance Corporation (FDIC), which insures deposits up to $250,000 per depositor per bank. Your savings account balance is covered by this insurance, meaning if Chase fails, the FDIC will reimburse you up to $250,000. If you have multiple accounts at Chase (savings, checking, money market), the $250,000 limit applies to the combined total across all deposit accounts.

How do I know if I should keep money in Chase savings or move it elsewhere?

If you value in-person banking and branch access, and you can meet the fee waiver requirements, a Chase savings account is convenient. If you prioritize earning interest on money you are saving for a goal, an online bank or credit union will earn you significantly more. Calculate the difference: $10,000 at Chase (0.01%) earns $1 per year; the same amount at 4.5% APY earns $450 per year. If that difference matters to your goals, moving the money is worth the small effort of setting up an online account.