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The Largest Banks are Offering Millions of Americans 0.11% APY or Less in Interest on Their Savings Accounts

Despite holding $789 billion1 of consumer savings across the country, the largest banks2 are paying significantly lower interest rates than many online banks in the 10 largest US cities

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NEW YORK, NY - September 25, 2019 - After looking at the 10 largest US cities3, Marcus by Goldman Sachs® found that more than 24 million Americans are being offered 0.11% Annual Percentage Yield (APY)4 or less on their savings accounts by the largest US banks. In fact, if consumers who are located in the 10 largest US cities placed $25,000 in a Marcus Online Savings Account, they could earn $500 in interest in a year compared to only $27.50 or less with the largest US banks.  


"Consumers have become used to receiving such low interest rates from the largest US banks that they have stopped paying attention"


A recent survey from Marcus5 found that consumers who have bank accounts with both traditional banks and online banks found that 72% are satisfied with the interest rate on their savings account at an online bank compared to only 34% who are satisfied with the rate at their traditional bank.

“Consumers have become used to receiving such low interest rates from the largest US banks that they have stopped paying attention,” said Dustin Cohn, Head of Brand Marketing for the Consumer and Investment Management Division of Goldman Sachs. “The result is that they are losing out on significant interest on their hard-earned money each year.”

Marcus recently introduced a new campaign in five states6 and Washington D.C. to help spark a conversation about maximizing savings.  The campaign depicts how consumers can earn more interest in one month with an Online Savings Account from Marcus than in a year with the savings accounts offered by the largest banks7.  

“This campaign is about starting a dialogue about better rates,” said Shirley Yang, Head of Marketing for US Deposits, Marcus by Goldman Sachs. “More than one in four of the consumers we surveyed still have the first savings account they ever opened, and we wanted to shed light on consumer financial inertia.”

Of those surveyed, 60% considered the interest rate on their online savings account as a top benefit, compared to just 22% who thought the interest on their savings account at a traditional bank was a top benefit. 

The Marcus Online Savings Account offers a rate of 2.00% APY8, is FDIC insured, has no fees or minimum balance requirement and can be opened in a matter of minutes. 

For more information, please visit:

About Marcus by Goldman Sachs®

Marcus by Goldman Sachs® offers products and tools designed to help people achieve financial well-being. Marcus offers a high-yield Online Savings Account,  certificates of deposit in a variety of terms and no-fee, fixed-rate unsecured personal loans, including home improvement loans. All Marcus loans and savings products are provided by Goldman Sachs Bank USA, Member FDIC, and benefit from Goldman Sachs and its 150-year history of financial expertise, risk management and customer service. For more information please visit

Media Contacts:

Goldman Sachs

Andrew Williams, 212-902-5400


Zeno Group

Cathleen Koo, 212-299-8984

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1Based on Q2 2019 FFIEC call reports. 

23 largest U.S. commercial banks and savings institutions, measured by total domestic deposits, as reported by the FDIC on 6/30/2018

3United States Census Bureau (2010)

4Excludes money market accounts and does not account for bonus, promotional or special APYs.

5Banking Survey conducted by Marcus by Goldman Sachs® in August 2019 among 1,053 Americans who have savings accounts with both traditional and online banks.

6California, Illinois, Massachusetts, New York, Pennsylvania

7Calculation (1) assumes a minimum balance of $25 and (2) is based on the Annual Percentage Yield (APY) of a Marcus by Goldman Sachs Online Savings Account and the APYs of savings accounts offered by the 3 largest U.S. commercial banks and savings institutions, measured by total domestic deposits, as reported by the FDIC on 6/30/2018. Rates obtained by Informa Research Services and reflect rates offered at these banks in New York for accounts with a minimum balance of $2,500. Calculation does not include money market accounts, does not account for bonus or promotional APYs and assumes all funds remain on deposit with no additional deposits.  Calculation is for illustrative purposes only. All rates as of 8/6/2019 and may change at any time. Informa data obtained from the various financial institutions it tracks and accuracy can’t be guaranteed. 

8APY as of September 19, 2019. $0 minimum to earn stated APY. A maximum of six withdrawals or transfers per monthly statement period are allowed. Maximum balance limits apply.

This article is for informational purposes only and is not a substitute for individualized professional advice. Individuals should consult their own tax advisor for matters specific to their own taxes and nothing communicated to you herein should be considered tax advice. This article was prepared by and approved by Marcus by Goldman Sachs, but does not reflect the institutional opinions of Goldman Sachs Bank USA, Goldman Sachs Group, Inc. or any of their affiliates, subsidiaries or division. Goldman Sachs Bank USA does not provide any financial, economic, legal, accounting, tax or other recommendation in this article. Information and opinions expressed in this article are as of the date of this material only and subject to change without notice.  Information contained in this article does not constitute the provision of investment advice by Goldman Sachs Bank USA or any its affiliates. Neither Goldman Sachs Bank USA nor any of its affiliates makes any representations or warranties, express or implied, as to the accuracy or completeness of the statements or any information contained in this document and any liability therefore is expressly disclaimed.

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