Some savings accounts pay the same rate on every dollar. Others use tiers: the rate changes with your balance.
Two ways tiers work
Whole balance. Your whole balance earns the rate for the tier you're in.
Part in each tier. Each part of your balance earns its own tier's rate. Some banks work it this way1.
An example
Say an account pays 0.5% up to $10,000, and 1% above that. You have $15,000.
- Whole balance: $15,000 × 1% = $150 a year.
- Part in each tier: $10,000 × 0.5% + $5,000 × 1% = $50 + $50 = $100 a year.
Same rates, different result. So check how the tiers work before you compare.
On this site, savings rates are shown for a $10,000 balance where the rate depends on the balance.