Wells Fargo does not offer a dedicated high yield savings account
Wells Fargo's standard savings accounts earn rates well below what other banks and online-only institutions currently pay. As of now, Wells Fargo's regular savings accounts earn around 0.01% annual percentage yield (APY), while many competitors pay 4% to 5% APY on high yield savings accounts. The gap matters: on $10,000, you would earn roughly $1 per year at Wells Fargo versus $400 to $500 per year elsewhere.
Wells Fargo does offer a Money Market Account, which pays slightly higher rates than standard savings but still lags behind dedicated high yield products. The Money Market Account typically earns between 0.01% and 0.05% APY depending on your balance tier, and it requires a higher minimum deposit to open (usually $2,500). Even at the top tier, the rate remains far below what you can find at online banks or credit unions.
If you bank with Wells Fargo primarily for checking or other services, moving your savings to a high yield account elsewhere does not require closing your Wells Fargo relationship. Many people keep a Wells Fargo checking account for convenience while holding savings at a bank that actually pays competitive rates.
Key Takeaways
- Wells Fargo's standard savings accounts pay around 0.01% APY, which is far below the 4% to 5% APY offered by online banks and credit unions.
- Wells Fargo's Money Market Account pays slightly more than savings but still does not compete with high yield products at other institutions.
- You can open a high yield savings account at another bank while keeping your Wells Fargo checking account open.
- The difference in earnings compounds over time: $10,000 earning 0.01% yields about $1 per year, while 4.5% yields about $450 per year.
Why Wells Fargo's rates stay low
Large traditional banks like Wells Fargo do not need to offer high rates to attract deposits. They have millions of customers who use them for checking, credit cards, mortgages, and investment services. A customer who gets paid via direct deposit into a Wells Fargo checking account and carries a Wells Fargo mortgage has little reason to leave, even if the savings rate is poor.
Online banks and credit unions compete primarily on savings rates because they have no physical branches and lower overhead costs. They pass those savings to customers through higher APY. Wells Fargo's branch network, customer service centers, and ATM infrastructure cost money, and the bank recovers that cost partly by paying lower rates on deposits.
Interest rates also depend on what the Federal Reserve does. When the Fed raises its benchmark rate, banks eventually raise deposit rates. When the Fed cuts rates, banks cut deposit rates quickly. Wells Fargo's rates have remained near zero even as competitors raised theirs, suggesting the bank is not prioritizing deposit growth through rate competition.
Where to find high yield savings if you leave Wells Fargo savings
Online banks like Marcus (owned by Goldman Sachs), Ally Bank, and American Express Personal Savings currently offer rates between 4% and 5% APY with no monthly fees and no minimum deposit. Credit unions often pay similarly high rates on savings accounts, and some offer even higher rates on money market accounts or share certificates (the credit union equivalent of CDs).
If you want to stay within the Wells Fargo ecosystem, you cannot. The bank simply does not have a product that competes on rate. Your choice is either to accept the low rate or move your savings elsewhere.
Opening an account at another bank takes 10 to 15 minutes online. You will need your Social Security number, a government ID, and a funding source (a Wells Fargo account works fine for the initial transfer). Most online banks let you link external accounts and transfer money between them within one to three business days.
How to move money from Wells Fargo to a high yield account
The simplest method is to link your Wells Fargo checking account to the new bank's savings account and transfer money electronically. Log into the new bank's website or app, select "Link External Account" or "Add Bank Account," enter your Wells Fargo routing number and account number, and authorize the connection. Transfers typically clear within one to three business days.
You can also withdraw cash from a Wells Fargo ATM and deposit it at the new bank if you prefer not to link accounts electronically. This method is slower and less convenient, but it works if you have privacy concerns or technical issues with linking.
If you have a large balance, consider moving it in stages rather than all at once. This protects you if something goes wrong with the transfer and lets you confirm the new account is working before moving the full amount.
Money Market Accounts at Wells Fargo: the middle option
Wells Fargo's Money Market Account is a hybrid between checking and savings. It comes with a debit card and check-writing ability (usually limited to three checks per month), but it earns interest like a savings account. The minimum deposit to open is typically $2,500, and the minimum to maintain the account is $500.
The rate structure is tiered: higher balances earn slightly more. A balance of $2,500 to $9,999 might earn 0.01% APY, while $10,000 to $24,999 might earn 0.02% APY. Even at the highest tier, the rate is negligible compared to high yield savings elsewhere. The check-writing feature is rarely worth the rate penalty.
If you need frequent access to your savings and want to avoid opening a separate checking account, a Money Market Account at another bank might make sense. But for pure savings growth, the rate difference is too large to ignore.
Comparing Wells Fargo to online banks and credit unions
| Institution Type | Typical APY | Minimum Deposit | Monthly Fee |
|---|---|---|---|
| Wells Fargo Savings | 0.01% | $0 | $0 |
| Wells Fargo Money Market | 0.01%–0.05% | $2,500 | $0 |
| Online Bank (High Yield) | 4%–5% | $0 | $0 |
| Credit Union Savings | 3%–5% | $0–$500 | $0 |
The table shows why Wells Fargo's savings products do not compete. An online bank offers 400 to 500 times the rate with no minimum deposit and no fees. Even if you value Wells Fargo's branch access, the cost of that convenience is steep when measured in lost interest.
Credit unions often match or beat online banks on rate and may offer better customer service. If you are a member of a credit union, check their savings rates before opening an account elsewhere. Some credit unions also offer higher rates on certificates of deposit (CDs) than traditional banks.
What happens to your Wells Fargo account if you move your savings
Moving your savings to another bank does not affect your Wells Fargo checking account, credit card, or any other product. You can keep your Wells Fargo checking account open indefinitely, use it for direct deposit, and pay bills from it while your savings sit in a high yield account elsewhere.
Wells Fargo may eventually notice that your savings balance dropped to zero and send you marketing emails encouraging you to use their savings products. Ignore these. The bank is not going to close your account or penalize you for moving savings elsewhere.
If you eventually decide to close your Wells Fargo savings account, you can do so online or by calling customer service. There is no penalty for closing a savings account that has been open for any length of time.
Frequently Asked Questions
Can I keep my Wells Fargo checking account and move only my savings?
Yes. Opening a high yield savings account at another bank does not require you to close or change your Wells Fargo checking account. You can use Wells Fargo for checking and bill pay while keeping your savings at a bank that pays competitive rates.
What is the difference between a savings account and a Money Market Account?
A Money Market Account typically comes with check-writing and debit card access, while a savings account does not. At Wells Fargo, both earn nearly identical rates, so the Money Market Account's extra features do not justify the higher minimum deposit requirement.
How long does it take to transfer money from Wells Fargo to another bank?
Electronic transfers between linked accounts usually take one to three business days. Weekends and holidays can add time. If you need the money faster, withdraw cash from a Wells Fargo ATM and deposit it in person at the new bank, though this is less convenient for large amounts.
Will moving my savings hurt my credit score?
No. Opening a savings account at another bank does not trigger a hard credit inquiry and does not affect your credit score. Savings accounts are not reported to credit bureaus the way credit cards and loans are.
What if I need to access my money quickly?
High yield savings accounts at online banks offer the same access as Wells Fargo: you can transfer money out within one to three business days, or withdraw cash at ATMs (though some online banks charge a fee for out-of-network ATM use). If you need same-day access, keep a small emergency fund in your Wells Fargo checking account and your larger savings elsewhere.