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Bread Savings — formerly Comenity Direct — is the online savings platform operated by Bread Financial Holdings. It offers two products: a high-yield savings account (HYSA) and certificates of deposit (CDs) with terms from 1 to 5 years. It's managed entirely online with no physical branch locations.
Bread Savings consistently ranks among the top online savings accounts for APY. Because rates change frequently, always verify the current rate at breadfinancial.com. As of our last review in March 2026:
| Product | Bread Savings APY | National Avg (FDIC) | Min Deposit | FDIC Insured? |
|---|---|---|---|---|
| High-Yield Savings | Competitive (check site) | ~0.45% | $0 | Yes |
| 1-Year CD | Competitive (check site) | ~1.8% | $1,500 | Yes |
| 2-Year CD | Competitive (check site) | ~1.5% | $1,500 | Yes |
| 3-Year CD | Competitive (check site) | ~1.3% | $1,500 | Yes |
| 5-Year CD | Competitive (check site) | ~1.2% | $1,500 | Yes |
Verdict: Bread Savings remains highly competitive in 2026 — particularly for those already in the Bread Financial ecosystem. No fees, FDIC insurance, and above-average APY make it a solid choice for savings and short-term CDs. The lack of a checking account or debit card is the main limitation.
Bread Savings offers certificates of deposit (CDs) in addition to its high-yield savings account. CDs can be an effective way to lock in a guaranteed rate when you expect interest rates to decline.
Bread Savings currently offers CD terms ranging from 1 year to 5 years. Shorter-term CDs (12 months) are yielding competitive rates near current high-yield savings APY, while longer-term options (48–60 months) offer slightly higher rates in exchange for locking in your funds.
Like most CD products, Bread Savings imposes an early withdrawal penalty if you access funds before maturity. For shorter terms (under 24 months), the typical penalty is 90–180 days of interest. For longer terms, penalties can reach 365 days of interest. Always confirm the specific penalty structure before committing your funds.
Bread Savings makes the most sense if you want FDIC-insured savings with a competitive APY and no monthly maintenance fees. It lacks checking account functionality and ATM access, so it works best as a supplementary savings vehicle rather than a primary bank. For consumers who already have a checking account elsewhere and want to maximize interest on their emergency fund or savings goal, Bread Savings is a strong option.
Opening an account is entirely online and takes approximately 10 minutes. You will need a valid Social Security Number, a government-issued ID, and your existing bank account details for the initial transfer. There is no minimum opening deposit, which removes the barrier for new savers starting with small amounts.
