Does Bank of America Have a Good Savings Account?

Bank of America savings account offers a lot when it has to do with saving money. However, the yields offered by BOA will do very little to help you grow your saving

bank of america savings account

The bank offers one savings banking account option: the Rewards Savings account, our main offering. This may be true, but at the same time, it is simply one in a series of prospects to choose from. 

This guide will explain in depth the fees, rates, and services of the account such that at the end of the discussion you will be able to decide whether it is the best account for your savings. 

How to Apply for a Bank of America Savings Account

Opening a Bank of America savings account online is simple:

1.  On the BOA website, click “Savings” followed by “Bank of America Advantage Savings” to go there. 

2.  All the doors inside the eatery opened to unveil the awaited steaming hot meals the moment you click “Open now. “

3. Check any relevant boxes and click “Go to Application.”

4.  Fill in your personal information, press “Continue”, and you are already at the next step. 

5. Fund your account and adjust any account options, then click “Continue.”

6.  You must read and accept the terms and conditions before clicking ” Continue.  “

7.  Please make sure that you understand the application requirements and submit your application. 

Bank of America Savings Account Rates

Here’s a breakdown of Bank of America’s savings account interest rates:

Account NameInterest RateAPYMinimum Deposit
Advantage Savings0.01%0.01%$100
Advantage Savings, Gold0.02%0.02%$100
Advantage Savings, Platinum0.03%0.03%$100
Advantage Savings, Platinum Honors0.04%0.04%$100
Advantage Savings, Diamond0.04%0.04%$100
Advantage Savings, Diamond Honors0.04%0.04%$100

These rates reflect the interest you can earn on your savings, with the Annual Percentage Yield (APY) indicating the total interest earned over one year, assuming interest remains in the account.

Also, keep in mind that these rates may vary by state.

Bank of America Savings Account Maintenance Fee

This savings account does have an $8 monthly maintenance fee, which is a bit high compared to some savings accounts that have no monthly maintenance fee. 

This account bears a$35 overdraft fee and returned item fee, as well as a $12 deposited item returned fee.

Here’s a summary of additional fees associated with the Bank of America Savings Account:

Monthly Maintenance Fee$8
Withdrawal Limit Fee$10
Minimum Opening Deposit$100
Overdraft Item Fee$35
Returned Item Fee$35
Overdraft Protection Transfer Fee$12
Non-Bank of America ATMs$2.50
Statement Copies$5
Deposited Item Returned$12
Check-Cashing Fee$8 per check for amounts greater than $50

How to Avoid Monthly Maintenance Fee

Although this account comes with an $8 monthly maintenance fee, you can waive it by meeting one of the following requirements:

  • Maintain a minimum daily account balance of at least $500,
  • Link it to your Bank of America Interest Checking account, or
  • Be a Bank of America Preferred Rewards client

This monthly maintenance fee is higher than what Wells Fargo and TD Bank charge on their comparable banking products.

How Do I Deposit or Withdraw Money?

Bank of America’s savings account offers convenient ways to deposit and withdraw money. 

For deposits, you can visit a branch or ATM, set up direct deposit, transfer funds online or via wire transfer, mail-in deposits, use mobile deposit, or participate in the Keep the Change rewards program

Withdrawals can be made at branches or ATMs, through online or wire transfers, or via Bill Pay. These options provide flexibility and accessibility for managing your savings easily.

Benefits of the Bank of America Savings Account

Benefits of the Bank of America Savings Account

Beyond the easy access to one of the largest branch and ATM networks in the country, the Bank of America savings account has a variety of other benefits:

1. Tiered savings: Earn a higher interest rate as your balance increases.

2. Earn rewards: Get up to 15% cashback at participating retailers, free ATM transactions, and more depending on your balance across all BOA accounts.

3. Automatic savings: BOA can round up your debit card purchases and deposit the difference into your savings account. Or, you can set up automatic transfers to or from this account to align with your financial needs.

4. Resources: Bank of America offers a suite of tools and resources that can help you plan for goals, develop spending and budgeting habits, and more.

5. Overdraft protection: Overdraft protection covers transactions that would otherwise be declined.

The Bank of America Rewards Savings account is not a great savings account because of the high monthly fee and tough fee-waiver requirements.

It may serve as an easy cash reserve for emergencies when linked to a Bank of America checking account. Otherwise, it doesn’t help you grow your savings.

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