New drivers usually pay more for car insurance than mature drivers with more experience, but it’s still possible to get a good deal on your coverage. The key to finding the best cheap car insurance for new drivers is to compare quotes from multiple companies.

[car_insurance_widget]

1. Best Cheap Car Insurance Companies for New Drivers
2. Comparison of the Best Companies
3. Average Cost of Car Insurance for New Drivers
4. How to Get the Best Cheap Car Insurance as a New Driver
5. Methodology
6. FAQ

Travelers: Cheapest

Travelers has the cheapest rates for new drivers, on average, according to WalletHub’s analysis. A minimum coverage policy from Travelers for a new driver costs $1,372 per year on average. Travelers also offers 12 total discounts, many of which new drivers may be able to qualify for. For instance, Travelers offers a driver training discount for new drivers who successfully complete an approved driver education course.

USAA: Best for the Military

USAA is a very affordable option for new drivers who are military service members, veterans, or relatives of members, with an average policy costing $1,384 per year for new drivers. USAA also offers several discounts that new drivers may be eligible for, such as its good-student discount for new drivers still in school and its driver training discount for new drivers who take a basic driver training course.

Geico: Best for Usage-Based Insurance

Geico offers a combination of low prices, 23 possible discounts, and varied coverage options, making it a great choice for new drivers. New drivers can also get a 15% discount on their policy just for enrolling in Geico’s usage-based insurance program, called DriveEasy, which promotes and rewards safe driving behaviors. Additionally, WalletHub editors rank Geico highly for its streamlined claim process.

State Farm: Best for New Drivers Under 25

State Farm is the largest auto insurance company in the United States, and it’s a widely available option for new drivers. The company also offers numerous money-saving options for first-time drivers, such as its Steer Clear program for new drivers under 25 years old, as well as discounts for getting good grades in school and completing an approved driver education course.

Mercury: Good for Handling Claims

Mercury is a great choice for new drivers looking for affordable coverage in the 11 states where it operates. Mercury does not offer as many possible discounts as other companies, but its rates are already competitive, with a policy costing an average of $1,648 per year for new drivers. Mercury also ranks above the industry average for its claim process, making things easy for new drivers.

The companies above are the best car insurance companies for new drivers, especially teens, since teens are usually what most people picture when they think of new drivers. Many of these companies, such as Travelers, USAA, and State Farm, are also some of the best companies for all new drivers under 25 and the best car insurance companies in general since they offer affordable coverage options and numerous discounts.

The cost of car insurance for a new driver depends mostly on their age. On average, a policy for a 16-year-old driver costs $3,192 per year. Premiums are usually the highest for teenagers compared to other age groups, but good drivers will see their rates drop by 12% to 20% once they turn 25 years old.

Learn more about average cost of car insurance by age.

Insurance companies will consider any person who is getting their driver’s license for the first time a new driver. While teens are often what comes to mind when people think of new drivers, you can be a new driver at any age, as you can see in the list below.

• Teens who recently got their driver’s license
• Adults who start driving later in life
• Immigrants who are new to driving in the U.S.

Due to their lack of driving experience, these new drivers are considered high-risk by insurance companies. If you are new to driving, most car insurance companies won’t classify you as a good or safe driver until you have gone 3-5 years without any accidents or violations.

Each car insurance company has its own method of calculating insurance premiums, so the first quote you get might not be the lowest price available. In general, it’s a good idea to get quotes from three different insurers before purchasing coverage.

For new drivers getting car insurance for the first time, it’s important to consider not only the company’s price, but also its coverage options, available discounts, and overall reputation. Even after you’ve bought your policy, you should still compare quotes every 6-12 months to make sure you’re getting the best deal.

Adding a teen driver to an existing car insurance policy raises the policyholder’s premiums by an average of 140% to 160%. But considering how expensive car insurance is for new drivers, this might be a more cost-effective option than having them purchase their own policy.

Most major insurance companies offer a variety of discounts for young drivers who are new to the road. For example, good student discounts allow high school and college students to save if they have at least a “B” grade point average. Young drivers can also get a discount if they attend school at least 100 miles away from where the insured car is garaged.

You should always purchase as much car insurance as you can afford in order to minimize risk. But if you’re struggling to find an affordable policy, you should think about what types of coverage you actually need. If you decide that you don’t need additional types of coverage like collision or comprehensive, you could save on your premium by only purchasing the minimum amount of car insurance required by your state. You can also decline optional coverage add-ons like rental reimbursement insurance and roadside assistance.

One quick way to lower your rate is to raise your deductible, which is the amount that you’re responsible for paying if you file certain types of claims. The higher your deductible, the lower your premium will be. But you should avoid choosing a deductible that’s more than you can afford just so you can get a lower rate.

As a new driver, the best way to lower your rates long-term is to avoid moving violations and at-fault accidents. Once you’ve had a few years of safe driving experience, your rate will gradually go down.

WalletHub’s analysis of the cheapest car insurance companies for new drivers is based on data from the state DMVs and Quadrant Information Services. Using that data, WalletHub compared quotes for drivers aged 16-25 years old with a clean driving record, minimum coverage, and good credit.

Teen and senior drivers are statistically more likely to be involved in car accidents, so insurance companies charge them the most for coverage to compensate for the increased risk. Young male drivers are also more expensive to insure than young female drivers, though the difference becomes minimal after drivers turn 25 years old.

• Car insurance premiums for a 16-year-old male are 376% higher, on average, than prices for a 40-year-old male.
• Premiums gradually decrease as young drivers gain experience.
• Rates rise again when drivers turn 70 years old.

[car_insurance_widget]

1. Average Car Insurance Rates by Age and Gender
2. Average Car Insurance Rates by Age
3. State Restrictions on Insurers’ Use of Age and Gender
4. Video: Average Car Insurance Rates by Age and Gender
5. Methodology
6. Average Car Insurance Rates by Age and Gender FAQ

Young male drivers are the most expensive demographic to insure, since they are statistically the most likely to cost car insurance companies money. However, the difference in cost between men and women narrows over time. After age 40, women can even be slightly more expensive to insure.

Overall, gender has less of an impact than age on car insurance rates. Unless you’re looking to insure a male teenager, the difference is probably negligible.

As young drivers gain experience on the road, their rates will gradually decrease. Then, premiums begin to rise again when drivers turn 70 years old.

Young drivers can save by being added to a family policy rather than purchasing insurance on their own. Additionally, good student discounts and other savings can help make the cost of teen car insurance more reasonable.

Hawaii, California, and Massachusetts do not allow insurers to consider age as a factor when calculating premiums. However, companies in these states can consider a customer’s driving experience and insurance history, so teens are still likely to pay more for coverage.

Additionally, Hawaii, California, Massachusetts, Michigan, Montana, Pennsylvania, and North Carolina ban insurers from considering gender when calculating premiums.

Average car insurance rates by age and gender were determined by calculating the nationwide average cost of three different policies for drivers in each age group. The three policies included the following coverage limits:

• Each state’s minimum coverage requirements
• Each state’s minimum coverage requirements plus collision and comprehensive
• $100,000 in bodily injury liability per person ($300,000 per accident), $50,000 in property damage liability insurance, $100,000 in uninsured motorist bodily injury coverage per person ($300,000 per accident), collision, and comprehensive insurance

Some premiums are based on data from Quadrant Information Services.

Mastercard® Black Card

Mastercard® Black Card

2.71 out of 5 rating930 Reviews930 Reviews

Learn More

Transfer intro APR

0% for 15 months
Transfer Fee: 5% (min $5)

Regular APR

19.49% - 27.49% (V)

Annual Fee

$699

Rewards Rate

i

• Earn 1 point for every $1 spent on this card. Receive 1.5% Value for Cash Back direct deposit into a US bank account or as a statement credit.
• Earn 2 points per $1 spent on eligible hotel and airfare purchases booked through LuxuryCardTravel.com.

1 - 2 point / $1

Credit Score

Good

More Details

Rewards Details

• Earn 1 point for every $1 spent on this card. Receive 1.5% Value for Cash Back direct deposit into a US bank account or as a statement credit.
• Earn 2 points per $1 spent on eligible hotel and airfare purchases booked through LuxuryCardTravel.com.
• 2% Value for Airfare Redemption. 50,000 Points will get you a $1,000 ticket on any airline with no blackout dates or seat restriction.
• Receive up to $200 in annual air travel credits toward flight-related purchases, including airline tickets, baggage fees, upgrades and more.
• Get up to $100 in annual statement credits when you use your Luxury Card at qualifying restaurants.
• Plus, $120 automatic statement credit for the cost of the Global Entry Application Fee.
• Enjoy $750 value per stay through Luxury Card Travel program at 3,000+ global properties. Benefits include room upgrade at check-in (when available), daily breakfast for two, complimentary Wi-Fi, and unique amenity.
• Unlock $5 Lyft App credit monthly after 3 rides. Limit one Lyft credit per calendar month.
• Get $3 off Peacock Premium or Peacock Premium Plus each month, when you use your Mastercard® Black Card.
• Airport Lounge Access with Priority Pass™ Select.

Additional Info

• 0% Introductory APR on balance transfers that post to your account within 45 days of account opening.
• $249 Annual Fee for each Authorized User added to the account.
• Black-PVD-Coated Metal Card.
• Luxury Card Concierge, 24 hours a day, 365 days a year.
• Privileged access to exclusive events and insider opportunities.
• Access to the Tournament Players Club (TPC) network of private club courses and Priceless® Surprises.
• Benefits: Travel Accident Insurance, Baggage Delay Insurance, Auto Rental Collision Waiver, Travel Assistance, and Trip Cancellation & Interruption.
• Mastercard ID Theft Protection.
• More Details & Reviews About Mastercard® Black Card

Hide Details

The Mastercard® Black Card is not worth it, as it charges a $699 annual fee without providing the sorts of luxury perks you’d expect to come with it. The main things you get are 1 - 2 point per $1 spent, a $200 annual air travel credit, and airport lounge access with Priority Pass Select.

There are a few other small benefits like an application credit for Global Entry and access to “exclusive events,” but most luxury cards give far more for their annual fee. Most also give a big initial bonus, while this card has none. Another downside is that you’ll have to fork over another $249 if you want to add an authorized user to the card. It’s such an expensive card that the average rewards value you’d get over the first two years of use after accounting for the annual fee is only around $100.

It's also important to note that this card isn’t the “Black Card” from pop culture fame. The truth is the real Black Card that celebrities flash and rappers namedrop doesn’t even have “Black” in its name. That’s actually the Centurion® Card from American Express, and it’s available on an invitation-only basis to extremely high-spenders.

To make the Mastercard® Black Card worthwhile, you’ll have to take full advantage of the card’s supplemental benefits, as well as spend a lot. In fact, without including the value of the benefits, you’d have to spend around $24,700 to $49,500 per year to break even on the annual fee, depending on how you redeem. Travel is the best redemption option, followed by cash back.

In addition, you should always pay your balance in full by your monthly due date. The card’s APR is 19.49% - 27.49% (V), and interest can easily outweigh the small amount of rewards you earn.

• 1 Point Per $1 Spent on all purchases: The single point you will earn for each dollar you charge to the Mastercard® Black Card ultimately is worth 1.5 cents in cash or 2 cents in airfare booked through Luxury Card’s Rewards Service Center (with no blackout dates or seat restrictions). In other words, spending $10,000 will earn you 10,000 points, which are in turn redeemable for $150 cash back or $200 in airfare. The card’s base rewards earning rate is therefore 1.5% to 2.0%, which is above the market average of 1.18%, according to WalletHub’s latest Credit Card Landscape Report. Additionally, you will also earn 2 point / $1 on eligible hotel and airfare purchases booked through LuxuryCardTravel.com.

• $200 Annual Airline Credit: Each year you have the Mastercard® Black Card, you will receive a credit for up to $200 in flight-related expenses, including airfare, baggage fees, in-flight purchases and more. This credit will automatically be applied to your statement upon a qualifying charge posting to your account. 

• Airport-Lounge Access: As a Mastercard® Black Card user, you will receive access to 1,400+ airport lounges worldwide, thanks to a complimentary Priority Pass Select membership. This feature is valuable in the sense that membership ordinarily starts at $99 per year, but how practically beneficial it will be depends on how much you use it. Just keep in mind that you will need to activate your Priority Pass Select membership after getting approved for the Mastercard® Black Card. In addition, a Priority Pass Select membership card (physical or digital) will be needed to enter an airport lounge. If you don’t have it, you’re out of luck.

• $699 Annual Fee: Some might assume that such a high price tag connotes quality and prestige. You gotta spend money to make money, right? Unfortunately, you won’t make nearly as much as you should with this anchor of an annual fee dragging you down. To put this yearly robbery into perspective, only two credit cards charge a higher annual fee. And $699 is more than 26 times higher than the market average of $29.67. When you start at such a deficit, it’s hard to see the arithmetic working out in your favor. You have your $200 airline credit; your lounge access, which we’ll value at $99; and the ability to earn airfare rewards equal to 2% of every dollar you spend, which would amount to about $570 for the average person. That’s $869 in total annual value, which shrinks to $170 when you factor in the fee, according to WalletHub calculations. 

• $249 Annual Fee For Authorized Users: Most credit cards allow you to add a handful of authorized users free of charge. But it seems the Mastercard® Black Card’s benefits are just so “amazing” that you have to pay an extra $249 per year for each person you add to your account. Bummer.

• 0% APR On Balance Transfers For The First 15 Months: This aspect of the Black Card would be a highlight if not for the 5% (min $5) transfer fee that accompanies your 0% intro rate. As a result, there are better ways to reduce the cost of existing debt. 

• 19.49% - 27.49% (V) Regular APR: The Black Card’s interest rate is below average relative to other cards that require good credit for approval, but it’s still not cheap. So you should strive to act like this is a charge card and pay your bill in full every month. 

• No Foreign-Transaction Fee: The Black Card bests the average credit card in the sense that it doesn’t assess a surcharge on purchases processed internationally. The market-average foreign-transaction fee is 1.59%. 

• $120 Global Entry Credit: Global Entry is a program that allows low-risk travelers to quickly pass through U.S. customs. If you are approved, Mastercard® Black Card will pay you back for the $100 one-time membership fee. 

• Luxury Concierge & Other Amenities: This card’s marketing materials make a big deal of its 24/7 dedicated concierge — a feature not uncommon among high-end rewards cards — as well as undefined “luxury gifts” and access to Mastercard’s Priceless Experiences. You even receive a free subscription to the quarterly Luxury Magazine. We’ll let you make the call on how much all of that is worth. 

• Unique Card Material: It ultimately doesn’t matter what your credit card is made out of, considering it won’t provide any tangible benefit. But if you’re interested in the wow factor, the Mastercard® Black Card’s stainless-steel-and-carbon construction might appeal to you. Before you get too excited, though, just consider: When was the last time you noticed the material of someone else’s credit card?

Even luxury credit cards, as well as those posing as such, have competition. In order to help you see through the marketing gimmicks and home in on the features most important to your personal needs, we compared the Mastercard® Black Card to some of the most prominent alternatives. We did so across six fundamental categories, which collectively drive a card’s value. You can find the results below.

Mastercard® Black Card	WINNERCapital One Venture Rewards Credit Card	Chase Sapphire Preferred® Card	American Express Platinum Card®
1.8WalletHub Rating WalletHub Rating 1.8 This card has been scored using WalletHub’s proprietary credit card rating system. We evaluated this card for various cardholder needs and picked the rating for the need with the highest score, which is "Earn Rewards." A score of 5 is the best a card can receive, and the rating for the card may vary on different pages where it is compared to other cards for different needs. Editor’s Rating 1.5 User Reviews 2.7 Market Comparison 1.8 fees: 1.3 rewards: 3.4 cost: 1.1 Other Features: 0.0	4.5WalletHub Rating WalletHub Rating 4.5 This card has been scored using WalletHub’s proprietary credit card rating system. We evaluated this card for various cardholder needs and picked the rating for the need with the highest score, which is "Earn Rewards." A score of 5 is the best a card can receive, and the rating for the card may vary on different pages where it is compared to other cards for different needs. Editor’s Rating 5.0 User Reviews 3.8 Market Comparison 4.4 fees: 2.9 rewards: 4.8 cost: 5.0 Other Features: 0.0	4.5WalletHub Rating WalletHub Rating 4.5 This card has been scored using WalletHub’s proprietary credit card rating system. We evaluated this card for various cardholder needs and picked the rating for the need with the highest score, which is "Earn Rewards." A score of 5 is the best a card can receive, and the rating for the card may vary on different pages where it is compared to other cards for different needs. Editor’s Rating 5.0 User Reviews 3.9 Market Comparison 4.5 fees: 2.9 rewards: 4.3 cost: 5.0 Other Features: 5.0	4.1WalletHub Rating WalletHub Rating 4.1 This card has been scored using WalletHub’s proprietary credit card rating system. We evaluated this card for various cardholder needs and picked the rating for the need with the highest score, which is "Earn Rewards." A score of 5 is the best a card can receive, and the rating for the card may vary on different pages where it is compared to other cards for different needs. Editor’s Rating 3.0 User Reviews 3.8 Market Comparison 4.3 fees: 1.3 rewards: 4.7 cost: 5.0 Other Features: 5.0
(930)	(2,758)	(3,578)	(753)
annual fee$699	annual fee$95	annual fee$95	annual fee$895
Purchase Intro APRN/A	Purchase Intro APRN/A	Purchase Intro APRN/A	Purchase Intro APRN/A
transfer intro apr0% for 15 months Transfer Fee: 5% (min $5)	transfer intro aprN/A	transfer intro aprN/A	transfer intro aprN/A
Regular APR19.49% - 27.49% (V)	Regular APR19.49% - 28.49% (V)	Regular APR19.24% - 27.49% (V)	Regular APRSee Pay Over Time APR
rewards rate Earn 1 point for every $1 spent on this card. Receive 1.5% Value for Cash Back direct deposit into a US bank account or as a statement credit. Earn 2 points per $1 spent on eligible hotel and airfare purchases booked through LuxuryCardTravel.com. 1 - 2 point / $1	rewards rate Earn unlimited 2X miles on every purchase, every day Earn 5X miles on hotels, vacation rentals and rental cars booked through Capital One Travel 2 - 5 miles / $1	rewards rate Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, 3x on vacation homes, 3x on gas & EV charging, 3x on top streaming services and online groceries (excluding Walmart, Target, and wholesale clubs), 2x on all other travel purchases, 1x on all other purchases 1 - 5 points / $1	rewards rate Get more for your travels with 5X Membership Rewards® points on all flights and prepaid hotel bookings through American Express Travel®, including Fine Hotels + Resorts® and The Hotel Collection bookings. You earn 5X points on flights purchased directly from airlines or through American Express Travel® on up to $500,000 on these purchases per calendar year. Terms Apply. 1 - 5 points / $1
bonus offer N/A	bonus offer Earn a one-time bonus of 75,000 miles once you spend $4,000 on purchases within 3 months from account opening, equal to $750 in travel 75,000 miles	bonus offer Earn 100,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening. 100,000 points	bonus offer You may be eligible for as high as 175,000 Membership Rewards® points after you spend $12,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted. As High As 175,000 points. Find Out Your Offer.
Learn More SponsoredApply Now Learn More	SponsoredApply Now Rates & Fees SponsoredApply Now Rates & Fees Learn More	SponsoredApply Now Rates & Fees SponsoredApply Now Rates & Fees Learn More	SponsoredApply Now Rates & FeesTerms Apply SponsoredApply Now Rates & FeesTerms Apply Learn More

[edu-tiles firstvalue="1,500+" firstlabel="Credit Cards Scored" secondvalue="100" secondlabel="Point Rating System" thirdvalue="26" thirdlabel="User Needs Considered" fourthvalue="75,000" fourthlabel="Data Points Tracked"]

This Mastercard® Black Card review is based on WalletHub’s proprietary 100-point credit card rating system. By using a consistent methodology to evaluate the Mastercard® Black Card and all other cards, WalletHub’s credit card experts make it easy for people to compare their options and find the best credit cards for their needs.

The WalletHub rating system uses 16 key metrics grouped into seven categories: Fees, Rewards, Two-year Cost, Interest Rates, Approval Requirements, Special Features, and Reviews. Each metric has a maximum number of points allocated to it, based on the metric’s importance as determined by our editors. The points are added up to create an overall rating for the Mastercard® Black Card out of a maximum of 100 points, which is then converted to a 5-point scale.

Ratings for each category reflect how close Mastercard® Black Card is to WalletHub’s definition of a 5-star credit card, which is based on market conditions and what we believe are reasonable terms. We compare Mastercard® Black Card to that standard to give a numerical approximation of how reasonable and competitive its terms are compared to other cards.

To learn more about how WalletHub rates credit card offers, check out our full credit card review methodology.

About the Author

John S Kiernan

John Kiernan has covered the credit card industry for more than 15 years as a writer and editor for WalletHub. His work has been featured by major media outlets such as The Washington Post, Fox News and The New York Times and has been cited by industry regulators such as the Consumer Financial Protection Bureau.

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[car_insurance_widget]

1. What Does Comprehensive Insurance Cover?
2. How Does Comprehensive Insurance Work?
3. How Much Is Comprehensive Insurance?
4. What Is a Comprehensive Deductible?
5. Best Comprehensive Car Insurance Companies
6. Comprehensive vs. Collision Coverage
7. Is Comprehensive Insurance Worth It?
8. Comprehensive Car Insurance FAQ

Comprehensive insurance covers repairs to your vehicle after a non-collision accident. The maximum amount you can be paid by comprehensive insurance is typically the actual cash value of your vehicle before the accident.

Learn more about what comprehensive insurance covers.

Comprehensive insurance works by providing protection for your vehicle in case it is damaged by events that are out of your control, such as natural disasters or vandalism. Without comprehensive insurance, you risk having to pay out of pocket to repair or replace your vehicle should an incident occur.

• You can purchase comprehensive insurance from any auto insurance company, as it is a very common type of insurance.

• You will likely be required to purchase collision insurance when you get comprehensive coverage, since most insurance companies do not sell comprehensive insurance by itself.

• Comprehensive insurance is not required by law, but a lender or lessor might require it.

• You can file a comprehensive insurance claim by calling your insurance company and providing them with all the information you have about the accident. You may also be able to file your claim on your insurer’s website or app.

• You will always file comprehensive claims with your own insurance company.

• When you file a comprehensive insurance claim, you will be responsible for paying a deductible.

• If your insurance company approves the claim, a repair shop authorized by your insurer will fix the damage and you will pay your deductible directly to the repair shop.

Learn more about how comprehensive insurance works.

Comprehensive insurance coverage costs an average of $160 per year, making it far cheaper than other types of car insurance. The cost of a comprehensive car insurance policy is calculated based on the actual cash value (ACV) of the vehicle – its replacement cost minus depreciation. Since the ACV is the maximum amount that a comprehensive auto insurance policy will pay out, cars that are worth less are cheaper to insure.

Learn more about how much comprehensive insurance costs.

A comprehensive insurance deductible is the amount of money you will pay out of pocket for car repairs before your insurance company will pay for the rest. Comprehensive deductibles typically range from $100 to $1,000, and the higher the deductible is, the lower the premiums will usually be.

Learn more about comprehensive insurance deductibles.

• GEICO
• Progressive
• Esurance
• USAA
• Mercury
• AAA
• Allstate
• Travelers
• State Farm
• Liberty Mutual

Learn more about the best comprehensive car insurance companies.

Comprehensive insurance is often confused with collision insurance since they are generally purchased together and both pay to repair or replace the policyholder’s car. The main difference is that comprehensive auto insurance applies to damage caused by something other than a crash, while collision coverage applies to damage from an accident.

Learn more about the differences between comprehensive and collision insurance.

You probably need comprehensive insurance if:

• You have a loan or lease 
• You cannot afford to repair or replace your car out of pocket 
• You live in an area where natural disasters like floods, wildfires, or hurricanes are common 
• You often drive on busy highways where gravel and debris could damage your windshield 
• You live in a rural area where there are often deer strikes or other wildlife-related accidents 
• You live in a high-crime area where theft, break-ins, and vandalism are common 
• You can comfortably afford the increase to your premiums

Learn more about when comprehensive insurance is worth it.

• Average interest rate for savings accounts: 0.38% (June 2026)
• Highest average interest rate for CDs: 12-month CD at 1.65% (June 2026)
• Average bank account balance: $8,000 (2022)
• Most popular method to access bank accounts: Mobile banking (55%)
• Age group with the highest mobile banking usage: Millennials (68%)
• Largest bank in the U.S. by assets: Chase ($4.01 trillion)

1. Average Interest Rates
2. Average Bank Account Balance
3. Banking Fees
4. Digital Banking Trends
5. Primary Methods to Access Bank Accounts
6. Top Digital Banks by Total Funding
7. Top 10 Largest Banks in the U.S.
8. Banks with the Most Branches
9. WalletHub Banking Survey Stats

Savings accounts have an average interest rate of 0.38%, as of June 2026, while 12-month CDs offer the highest average rate among deposit products at 1.65%. Interest-bearing checking accounts have the lowest average rate, at 0.07%.

Source: Federal deposit Insurance Corporation, 2026

Average bank account balances increased by 30.21% in 2022, as compared to the survey conducted in 2019.

Note: Data based on surveys conducted every three years and adjusted for inflation as of the latest year for which data is available (2022, in this case).

Source: Survey of Consumer Finances, Federal Reserve Board, 2023

Banks impose fees to cover various costs. These include charges for overdraft protection ($27.55 average) as of Q2 2024, ATM usage ($2.54 average withdrawal fee), monthly checking account maintenance ($5.60 average), and more.

Learn more about ATM fees.

Online banking is 2.8 times more popular than branch-based banking, with 22% of respondents using it in the past 12 months compared to 8% for branches.

Source: Consumer Banking Survey by American Bankers Association, 2024

Mobile banking is favored across all generations, with Millennials leading at 68% using mobile banking, closely followed by Gen Z at 64%.

Mobile banking has increasingly become the preferred method, rising by 33.20 percentage points, from 2017 to 2023. On the other hand, online banking usage decreased by 17 percentage points, from 2017 to 2023.

Source: FDIC National Survey of Unbanked and Underbanked Households, 2023

Source: Fintech Magazine

Source: Federal Reserve, 2026

Source: Federal Reserve, 2026

WalletHub's nationally representative survey on banking preferences and behaviors provides valuable insights into how consumers are managing their finances in the current landscape. Here are some key findings:

• 3 in 5 Americans say the money in their bank accounts is not keeping up with inflation.
• More than 1 in 3 Americans believe their bank is taking advantage of them.
• 56% of people say they’re not satisfied with the interest rate on their bank account.
• Nearly 2 in 5 Americans say the Federal Reserve reducing interest rates makes them less interested in saving money.
• 84% of people believe that seeing all their accounts in one place helps them make better financial decisions.
• 38% of people say that “unfamiliarity” is the main factor preventing them from trying a small bank or credit union.

Check out the full survey results.