3 Reasons Why CIT Savings Connect is the Best Online Savings Account of 2024

Online savings accounts help banks avoid overhead costs like building costs and paying for in-person customer service assistance to give you a better annual percentage return (APY) on your savings. These accounts can only be accessed online; There is no personal support or physical branches. While it’s pretty easy to open a savings account online, you’ll still want to be selective about which one you choose, as not all of them offer the best combination of benefits.

That’s why CIT Savings Connect is one of our top picks for online savings accounts. Simply put, CIT Savings Connect is perfect for those who want a no-frills savings account and prefer having a high APY over in-person banking. If you’re on the hunt for an online savings account, there are three reasons why CIT Savings Connect is the best account on the market.

1. A competitive APY

Savings rates are still high, but probably not for much longer. Inflation fell 0.1% in June, marking the first monthly decline since May 2020. As long as inflation continues to decline, the Federal Reserve is likely to lower the federal funds rate, which would cause a chain reaction of interest rate cuts on deposit accounts across the country.

But for now, CIT Savings Connect offers 4.35% APY on all account balances with a $100 opening minimum deposit. This is not only 9 times the national rate on savings accounts (0.45), but it is also one of the leading rates among free savings accounts.

However, if you can save $5,000 or more, CIT Platinum Savings may be a better choice, as it earns 4.70% APY on balances of $5,000 or more. But if you haven’t yet reached that savings threshold or want a flat rate no matter the balance, CIT Savings Connect is still a solid choice.

2. Unlimited transfers

There is no limit to how many electronic transfers you can make to (or from) your CIT Savings Connect account. This differs from many online savings accounts, which may offer higher APYs but limit your monthly withdrawals to a low amount.

One downside is that CIT Savings Connect doesn’t come with ATM access or a debit card. This means that if you want to withdraw cash, you need to transfer the money to another account.

Luckily, CIT also offers an excellent checking account: eChecking. You can transfer money from your savings to this account, and then withdraw it from ATMs using your bank card. CIT will even reimburse you up to $30 per month in ATM fees if you use another bank’s ATM.

3. No monthly fees

Finally, CIT Savings Connect does not charge a monthly service fee. While this is standard for online savings accounts, it’s nice to know you won’t incur any extra expenses as your money grows.

To be clear, some people want Only They have the highest APY on their savings, so they may be better served by another high-yield savings account on our best list. But despite the triple benefits of high APY, no fees, and unlimited withdrawals, it’s not easy to beat CIT Savings Connect. Compare it to our other favorite bank accounts and see if it suits your banking needs.