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E*TRADE Summary
E*TRADE is a brokerage firm founded in 1982 and acquired by Morgan Stanley in 2020. The platform is best known for its trading products, but also offers a high-interest savings account through Morgan Stanley Private Bank. The account provides a competitive annual percentage yield (APY) with no minimum deposit or monthly fees. It’s a solid option for investors who use E*TRADE since you can instantly move money into an E*TRADE investment account.
E*TRADE Premium Savings Pros & Cons
Pros
Competitive APY with no minimum balance requirement
Instant transfers to E*TRADE investment accounts
No monthly fee
Cons
Limited budgeting and financial planning tools
Doesn’t offer access to ATMs
E*TRADE Premium Savings at a glance
9.8
Editorial scoreRates
Competitive APY and no minimum deposit
10.0
Fees & Requirements
No monthly fees; account must be funded within 90 days
10.0
Security
FDIC insured; supports 2 factor authentication and SSL/AES encrypted account
10.0
Customer Service and Mobile Experience
24/7 CS, CS with live chat, dedicated fraud team, FAQ/help page; solid mobile app with 3.9 out of 5 stars on Google Play and 4.7 out of 5 in the App Store
10.0
Features and Benefits
Digital savings tools, no min deposit, and easy online transfers
9.0
E*TRADE Premium Savings Summary
E*TRADE is a brokerage firm founded in 1982 and acquired by Morgan Stanley in 2020. While the platform is best known for its trading products, it also offers a high-interest savings account through Morgan Stanley Private Bank. The account provides a 3.25% annual percentage yield (APY) with no minimum deposit or monthly fees. It’s a solid option for investors who use E*TRADE since you can instantly move money into an E*TRADE investment account.
Advantages Over Regular Banks
E*TRADE’s savings account offers a high 3.25% APY interest rate with no minimum deposit or balance requirements. You’ll earn that interest rate no matter how much money is in your account. In addition, there are no monthly fees or fees for electronic transfers. The best online banking companies often provide similar benefits, making ETRADE a competitive option.
Cutting-Edge Banking Services
You can instantly transfer money between your E*TRADE savings account and other E*TRADE accounts, including checking and investment accounts. This functionality is an advantage for E*TRADE investors who want to move money quickly to take advantage of opportunities in the market.
E*TRADE’s savings account has limited additional features. There’s a tool to help you create a rainy day fund within your savings account, but no other budgeting or financial planning tools. You can deposit money into your account via electronic transfer, wire, or mobile check deposits, but you can’t deposit cash.
Traditional Banking Services
E*TRADE offers checking accounts through Morgan Stanley Private Bank that give you more banking features, including the ability to deposit cash at ATMs and pay bills online.
Most E*TRADE services focus on investing. The firm offers individual brokerage accounts, individual retirement accounts (IRAs), and individual 401(k)s. It also offers managed portfolios and access to financial advisers from Morgan Stanley. E*TRADE supports passive investing and active trading with its brokerage accounts.
Interest Rates and Fees
The E*TRADE savings account offers interest at a rate of 3.25% APY on all balances. You won’t pay any fees for your account unless you send a wire transfer, which costs $25 per outgoing wire. There’s no charge for incoming wire transfers.
Interest Rate | Monthly Fee | Minimum Deposit | Minimum Balance |
|---|---|---|---|
| 3.25% APY | None | None | None |
Customer Service and Online Experience
E*TRADE offers customer service by phone from 12 a.m. ET on Monday to 11:59 p.m. ET on Friday (24/5 as opposed to 24/7).
The firm’s website also has an FAQ page with information about using the savings account, including instructions on depositing checks and transferring money to an E*TRADE investment account.
Signing up for an E*TRADE savings account is simple and fast. If you’re already a customer of E*TRADE’s brokerage products, you can skip entering your personal details and verifying your identity. If you’re new to E*TRADE, you must provide contact information and upload a copy of your driver’s license or passport to verify your identity. The whole process takes about five minutes.
Once your account is open, the online banking interface is streamlined and easy to navigate. You can see your balance, initiate transfers, and view a history of all transactions in your account.
Mobile App
The free E*TRADE mobile app is available for iOS and Android devices. It’s primarily designed for investors, as it displays stock quotes and market analysis prominently. You can manage your savings account from the account page, including initiating transfers and making mobile check deposits.
The app is handy if you use E*TRADE to invest and keep your cash in an E*TRADE savings account. You can instantly move money from your savings account into your brokerage account using the app.
Security
E*TRADE uses SSL encryption, two-factor authentication, and biometric authentication to protect your account. However, you can’t set up alerts to receive notifications about new transactions in your account.
E*TRADE’s Premium Savings Account is insured by the Federal Deposit Insurance Corp. (FDIC) for up to $500,000.
Conclusion
E*TRADE’s savings account is offered through Morgan Stanley Private Bank. It lets you earn an unlimited 3.25% APY with no balance requirements or monthly fees. It’s a good option if you use E*TRADE to invest. You can instantly transfer money between your E*TRADE savings and brokerage accounts, enabling you to quickly take advantage of investment opportunities.
Methodology
This review was created using information from the E*TRADE website.
- As of 5/6/2026, the Annual Percentage Yield (APY) of the Premium Savings Account offered by Morgan Stanley Private Bank, National Association is 3.25%. Your interest rate and APY may change at any time and fees may reduce earnings. Please visit etrade.com/ratesheet for information regarding this account's current interest rate and corresponding APY.
- To be eligible for this offer, you must open a new Premium Savings Account (PSA) during the Enrollment Period. The Promotional Annual Percentage Yield (“Promotional APY”) will be automatically applied to the account and will remain fixed for 180 days (the “Promotion Period”). After the Promotion Period ends, the rate will automatically revert to the Standard APY without any action required.
This offer is only valid for a new Premium Savings Account. This offer is not valid for Checking, Max-Rate Checking or line of credit, or other accounts that MSPBNA or its affiliates offer. IRA and non-IRA Brokerage accounts are ineligible. The Promotional APY offer is a standalone promotion and is not associated with, nor does it form part of, any PSA Cash Bonus Offer. For details regarding PSA Cash Bonus Offers, please refer to the applicable Terms and Conditions. Excludes non-U.S. residents, and residents of any jurisdiction where this offer is not valid.- Account Opening: To participate in this offer, you must open a new Premium Savings Account during the Enrollment Period. No minimum initial deposit is required to open an account however accounts not funded within 30 days will be closed.
- Promotion Period: You will begin to earn the Promotional APY immediately upon account opening, with no minimum deposit amount required to qualify. The Promotional APY is only effective for 180 days after which the rate will automatically revert to the Standard APY without any action required.
- Standard APY: The Standard APY is variable and subject to change at any time. Information on current Standard APY can be found by visiting etrade.com/ratesheet.
- Promotional APY: The Promotional APY under this offer is 4.00%, and applies only during the Promotion Period. We reserve the right to modify, suspend, or terminate the Promotional APY at any time.
Written byMichael Graw
Michael Graw is a personal finance expert at BestMoney.com, specializing in online banking and insurance. His work has appeared in print magazines and on high-impact websites. With a passion for clarity and practicality, Michael helps readers navigate today’s financial landscape.