Compliant mechanism-based displacement amplification has been realized as a potential approach to enhance the performance of MEMS accelerometers. In this article, a novel design of displacement amplifier has been implemented within a capacitive MEMS accelerometer. There is a bridge and a lever-type structure within the compliant mechanism, and this combination can provide a very high amplification ratio. Improvement in the bandwidth without decrement in the sensitivity is the primary goal of the work. Optimization of the overall accelerometer model has been carried out through a reduced-order model. The design has been optimized for better sensitivity and at the same time maximum bandwidth for the open and closed-loop operation of MEMS accelerometer, respectively. The influence of sidewall angle on sensitivity and natural frequency has been carried out for the optimal design. Further, the improvement in linearity has been achieved through a closed-loop approach, through which the measurement range could be achieved up to 30 g with nonlinearity less than 0.5%. The outcomes of the study are presented and discussed in detail.