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Barclays Savings Account Interest Rates: October 2024

Barclays Bank offers a single savings account option with a competitive (but not top-tier) APY

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Michelle L. Black
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Updated October 01, 2024
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Barclays Bank is an online-only bank known for offering customers competitive interest rates on a limited selection of savings accounts of up to 4.8%.

The bank’s savings account interest rates are significantly higher than the national average (though higher APYs are often available elsewhere if you shop around). Barclays customers can also enjoy the convenience of no monthly maintenance fees, no minimum deposit requirements, and free online transfers to and from other financial institutions. 

Barclays Bank Saving Account Rates
Account Name Balance for Highest APY APY Range Monthly Fee
Barclays Online Savings Account $0.01 4.20% None
Barclays Tiered Savings Account $250,000 4.50%–4.80% None

Compare Barclays Savings Account Rates

It’s important to shop around and compare what other banks and credit unions have to offer in terms of savings account rates and features. Although Barclays Bank savings rates outperform the national average, savvy shoppers may be able to find better APYs on high-yield savings accounts and CDs elsewhere.

And some financial institutions may also offer savings account bonuses for new customers that could be worth considering as well. 

Barclays Savings Accounts: Key Features

Barclays Tiered Savings Account Key Features
APY Range 4.50%–4.80% (4.20% for online savings account)
Minimum Balance to Earn Highest APY $250,000 ($0.01 for online savings account)
Minimum Deposit $0
Withdrawal Limit $250,000 per transaction
Monthly Service Fee $0
Barclays Tiered Savings Account Balance Tiers
BALANCE TIER APY
Greater than $250,000 4.80%
$100,000 to <$250,000 4.50%
$50,000 to <$100,000 4.50%
$25,000 to <$50,000 4.50%
$10,000 to <$25,000 4.50%
Less than $10,000 4.50%

If you’re a fan of uncomplicated banking, Barclays could suit you. You don’t have to worry about account minimums. There’s no minimum deposit requirement you must meet, and no limit to the number of withdrawals you can make per month. Likewise, you don’t need to maintain a minimum balance to keep your savings account open, and for the Online Savings account you don't have to satisfy any minimum balance requirements to qualify for a higher APY tier. (Note: If you have a balance of less than $1 for 180 days or more, Barclays does reserve the right to close your account.)

As far as other bank fees are concerned, Barclays’ fees are notably lower than what other financial institutions might charge. For example, according to the Consumer Financial Protection Bureau (CFPB), the average non-sufficient funds (NSF) fee was $34 in 2022. Barclays, by comparison, charges just $5 for NSF fees. 

Here are some of the fees you might incur using your Barclays Savings account.

  • Stop Payment Fee: $0
  • Cashier’s Check Fee: $5
  • Returned Deposit Fee: $5 (per item)
  • Non-Sufficient Funds (NSF) Fee: $5 (per item)
  • Paper Statements: $0.50 per statement

Barclays savings accounts and CDs also come with insurance from the Federal Deposit Insurance Corporation (FDIC). So, you can rest easy knowing that your deposits are safe in the unlikely event of a bank failure. 

The FDIC insures deposits for up to $250,000 (per depositor, per ownership category, per FDIC-insured bank). 

Pros and Cons of Barclays Savings Accounts

Pros

  • Low fees

  • No minimum balance requirement

  • No withdrawal limits

Cons

  • No U.S. branches

  • No checking accounts

  • Limited withdrawal options

Pros Explained

  • Low fees: Barclays doesn’t charge monthly maintenance fees, and its other fees are relatively low compared to many competitors. 
  • No minimum balance requirement: Some banks require that you maintain a certain minimum balance to earn interest, but Barclays does not.  
  • No withdrawal limits: Certain savings accounts have monthly withdrawal limits, but there are no monthly withdrawal limits with the Barclays Online Savings Account.

Cons Explained

  • No U.S. branches: Barclays has ample physical branches in the United Kingdom, but it doesn’t have any brick-and-mortar locations in the United States.
  • No checking accounts: While the Barclays Online Savings Account has some perks, this bank doesn’t offer a checking account you can use for everyday spending. 
  • Limited withdrawal options: You’ll need to complete a transfer to an external bank account or request a paper check if you want to withdraw money from your Barclays savings account. There’s no ATM access with this account.

About Barclays: Other Savings Options

Barclays is a British international bank with headquarters based in London, England—where it traces its roots back over 300 years. The U.S. subsidiary of Barclays PLC, Barclays Bank, is located in Wilmington, Delaware. 

Barclays is perhaps best known for its variety of co-branded credit cards. Well-qualified applicants can open Barclays credit cards that feature rewards, cash back, and sometimes balance transfer opportunities. 

The online bank has limited options where savings are concerned. Aside from the savings accounts above, the only other type of savings-related deposit accounts the bank offers are certificates of deposit, but they sometimes have very competitive APYs; see Barclays CD rates to learn more.

Alternatives to Barclays Savings Accounts

  • Other high-yield savings accounts: Barclays' savings accounts offer competitive rates, but you may find that another high-yield savings account suits your needs better. Fortunately, many banking institutions offer high-yield savings accounts, often with rates above 4%.
  • Money market account: Money market accounts (MMAs) may come with rates similar to high-yield savings accounts, but they also have features you’d get with a checking account. Many MMAs come with checks and ATM cards, making it easy to withdraw your money when needed. (Read the fine print before opening a money market account. While these accounts have some features similar to checking accounts, they often come with monthly withdrawal limits.)
  • Certificates of deposit: Certificates of deposit (CDs) come with relatively high rates and set terms that may range from a month to 10 years. If you can afford to keep your money invested for a set period, a CD could be a smart option. While the best certificates of deposit (CDs) come with generous rates, you’ll typically pay a penalty if you withdraw your money before your CD matures. This penalty is often equal to a few months’ worth of interest. 
  • Series I savings bonds: Series I saving bond rates are partially tied to inflation rates, so when inflation is high, so too are I bond rates. These bonds are backed by the U.S. Treasury and can continue to earn interest for 30 years. You can also cash them in sooner if you’d prefer, but if you do so earlier than five years, you’ll pay a penalty.
  • Brokerage account: Purchasing stocks and other assets through a brokerage account could result in higher earnings than you’d get with the Barclays Online Savings Account. That said, you can also lose money when you invest, so keep that in mind before opening a brokerage account.

Frequently Asked Questions (FAQs)

Is Barclays Good for Savings?

Barclays Bank could be a solid choice for savers who are comfortable with online banking and don’t need direct ATM access to their funds. The bank’s Online Savings account offers a simple, uncomplicated way to earn above-average interest rates without having to worry about minimum balances, APY tiers, or monthly maintenance fees. And the Tiered Savings account may offer a higher rate than that for a higher balance. However, if your primary goal is to earn the highest interest rate possible on your savings, you might want to consider other savings account options as well; check out the best high-yield savings accounts to see what you could get.

How Often Does Barclays Pay Interest?

You earn interest on your Barclays savings account in the same basic way that interest works on savings accounts from other financial institutions. Interest begins to accrue on the same business day you deposit cash into your savings account. From there, the interest will compound daily. The bank credits any interest you earn to your account once a month.

Is Barclays’ Savings Account FDIC-Insured?

Barclays Bank is a member of the Federal Deposit Insurance Corporation (FDIC). Therefore, any cash you deposit in a Barclays savings account, certificate of deposit, or other type of deposit account will receive the backing of FDIC insurance. 

Not all bank accounts are insured by the FDIC. When you choose a financial institution, it’s important to choose a bank that’s a member of the FDIC or a credit union that’s a member of the National Credit Union Administration (NCUA) to protect your savings. 

Is Barclays Bank Based in the U.S.?

Barclays’ online banking business along with its credit card and payment group is based in Wilmington, Delaware. The Barclays Wealth unit is headquartered in New York, New York. However, the parent company of Barclays Bank, now called Barclays UK, traces its roots back to 1690 in London, England. 

Your Guide to Savings Accounts

Article Sources
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  2. FDIC. "National Rates and Rate Caps."

  3. Barclays. "Terms and Conditions: Tiered Savings."

  4. Barclays. "Tiered Savings."

  5. Barclays. "Terms and Conditions: Online Savings."

  6. CFPB. "Consumers on Course to Save $1 Billion in NSF fees Annually, But Some Banks Continue to Charge These Fees."

  7. Barclays. "Have Questions? We Have Answers."

  8. FDIC. "Deposit Insurance."

  9. Treasury Direct. "I Bonds."

  10. Barclays. "Our History."