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The performance first savings account is way behind other large banks when it comes to interest rates. About a year ago, when USAA was still paying .3% on balances over $100,000, I decided to move my savings to Capital One 360 money market that was paying 1.2%. That was 4 times the amount USAA was paying. It has now been a year, and USAA is still paying .3% and Capital One has increased to 1.5%. Instead of earning $100 per month with USAA, I am now earning $500 per month with Capital One. I hope USAA will rethink their interest rates in the future. USAA is the best when it comes to auto insurance as far as the rates I have seen in Florida.

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USAA Service
USAA Service

Thank you so much for taking the time to share your feedback @apachejim . To better serve our members, we regularly review our rates to ensure they're competitive and based on current market data. I am sharing your comments with our product management team for review and consideration. We appreciate your membership and loyalty. Please don't hesitate to let us know if we can ever be of any assistance. ~Dana

Contributor

Kind of diving in to this whole interest rate analysis, so I'm learning...  I totally get the part about USAA's rate being low.   What I want to mention to @apachejim is, I've been buying Treasury Bills at https://www.treasurydirect.gov/, it's quite easy, and the rates I'm seeing, short term, low dollar t-bills (13 week, 26 week) are around 2.5% for recent purchases.

 

Ordinarily the rates should go up for longer terms.  Point being, if my math is right, with the amount of cash you have, I'm betting you could get substantially more there.   I like it because (if I'm not mistaken) the t-bills etc are what the banks buy for cash funds, so by buying direct you are skipping having to search/compare bank rates, not to mention the banks' cut.  More $$ for pizza !!

 

ps  you can see recent treasury auction results / rates here

https://www.treasurydirect.gov/instit/annceresult/annceresult.htm