With so many online savings account banks now in the mix, it pays to hunt for the best deal out there. Start by scouring the bank’s web site for information and read its FAQs carefully. Then, shop around for the best rate. There are many online rate comparison tools, like ours.

But don’t go bonkers looking for the absolute best rate. Unless you’re stashing a huge wad of cash, a quarter or half percentage point is not likely to contribute much to your bottom line. Remember that the difference of 0.25% is only worth $25 per year on a $10,000 deposit.

That said, we’re not big fans of ING’s popular Orange Savings Account. ING consistently offers rates that are one-half to one percentage point worse than its most generous competitors. Why? They’re betting that people will invest with ING because it’s the market leader and many people have heard of the company. While it hasn’t built branches, its spent oodles on marketing, ING also knows that many people don’t shop around, so the bank feels like it can get away with not offering a truly great deal. If you’re savvy, you can find more favorable options.

A few more general caveats:

Watch out for introductory rates
Banks may try to lure you in with fantastic introductory rates, only to drop them after the first three months. This isn’t necessarily a drawback, just be aware that your rate may eventually fall—which is fine as long as it remains competitive. You should also know that the interest rates that banks pay on high-yield savings accounts aren’t fixed for the life of your account. They’ll fluctuate along with economic and competitive conditions.

Stay away from inexperienced banks
Steer clear of banks without a long history in online savings accounts. They often struggle as money flows in and the bank gets used to running these sorts of accounts online. It’s best not to let them practice on you, so go with a bank that’s been offering these accounts for at least six months. On a related note, try to gauge the bank’s customer service operations. Since many won’t have a branch near you—or any at all—you want to make sure they’ll be responsive to your questions and concerns.

Know the account rules
You may be drawn in by a killer interest rate, but don’t be blinded by it. Some banks will try to sneak in restrictions like minimum balances or require you to open a companion checking account to secure the best rate. Or there could be unnecessary fees for exceeding your transaction limit or closing your account. You want an account with few strings attached.

Want to Know More?

• What are Savings Accounts?
• Should You Open a Savings Account?
• Grilling Guide: Questions to Ask Banks About High-Yield Savings Accounts