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Average Checking Account Interest Rates of July 2025

ElitePersonalFinance
Last Update: December 1, 2024 • Banking • Make Money • Save Money • Studies •
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With the coronavirus pandemic putting downward pressure on U.S. interest rates, America’s average checking account interest rate has fallen to an all-time low of 0.03% in 2021. Moreover, the rate has declined by 40% from where it was in 2020 and by 50% from where it was in 2019.

The Federal Deposit Insurance Corporation’s (FDIC) findings show that day-to-day banking accounts accrue little interest. And with inflation rising materially in 2021, it’s become even more challenging for U.S. households to keep pace with the pricing pressures.

Deposit Product: Average Interest Rate 2019: Average Interest Rate 2020: Average Interest Rate 2021:
Checking Accounts 0.06% 0.05% 0.03%

 

Average Checking Account Interest Rates of July 2025: Statistics and Key Findings

National Average Checking Account Interest Rate:

America’s average checking account interest rate has fallen to an all-time low of 0.03% in 2021.

America’s average checking account interest rate has declined by 40% from where it was in 2020 and by 50% from where it was in 2019.

Historical National Average Checking Account Interest Rate:

America’s average checking account interest rate has declined by 77% since the beginning of 2010.

Traditional Banks:

Capital One (0.10%) has the highest average checking account interest rate, while US Bank (0.005%) has the lowest average checking account interest rate.

Eight out of the 11 institutions that we analyzed have average checking account interest rates below the national average of 0.03%.

Only Capital One (0.07%), Huntington National (0.005%), and PNC Bank (0.003%) have checking account interest rate spreads that are in positive territory.

Online Banks:

Online banks offer higher checking account interest rates than traditional banks.

Alliant Credit Union (0.250%) has the highest average checking account interest rate, while HSBC Direct Checking (0.010%) has the lowest average checking account interest rate.

Alliant Credit Union offers Americans the best bang for their buck.

Checkable Deposits Held by U.S. Households:

The total dollar amount held in U.S. households’ checking accounts hit an all-time high of $3,538.9 billion in the third quarter of 2021.

Americans in the bottom 50% have seen their checkable deposits increase by 141% since Q4 2019.

Americans in the 50% to 90% wealth percentile have seen their checkable deposits increase by 178% since Q4 2019.

Americans in the 90% to 99% wealth percentile have increased their checkable deposits by 237% since Q4 2019.

The top 1% of wealthy Americans have seen their checkable deposits increase by 445% since Q4 2019.

The number of checkable deposits held by the top 1% of wealthy Americans was below the amount held by Americans in the 50% to 90% wealth percentile for 44-straight quarters from Q1 2010 until Q4 2020. However, as of Q2 2021, the top 1% has $42.5 billion more in their checking accounts than Americans in the 50% to 90% wealth percentile.

Average Checking Account Interest Rates of July 2025: Charts, Graph, Analysis

Historical U.S. National Average Checking Account Interest Rate

Unable to regain its past glory, the U.S. national average checking account interest rate has declined by 77% since the beginning of 2010. Moreover, after rising from Q3 2018 until Q1 2020 (from 0.04% to 0.06%), COVID-19 stopped the momentum in its tracks. As a result, the lower-for-longer trend continued, and the U.S. national average checking account interest rate now stands at a record low of 0.03%.

Date: U.S. National Average Checking Account Interest Rate:
2010:Q1 0.13%
2010:Q2 0.12%
2010:Q3 0.11%
2010:Q4 0.10%
2011:Q1 0.10%
2011:Q2 0.09%
2011:Q3 0.08%
2011:Q4 0.08%
2012:Q1 0.07%
2012:Q2 0.06%
2012:Q3 0.06%
2012:Q4 0.05%
2013:Q1 0.05%
2013:Q2 0.05%
2013:Q3 0.04%
2013:Q4 0.04%
2014:Q1 0.04%
2014:Q2 0.04%
2014:Q3 0.04%
2014:Q4 0.04%
2015:Q1 0.04%
2015:Q2 0.04%
2015:Q3 0.04%
2015:Q4 0.04%
2016:Q1 0.04%
2016:Q2 0.04%
2016:Q3 0.04%
2016:Q4 0.04%
2017:Q1 0.04%
2017:Q2 0.04%
2017:Q3 0.04%
2017:Q4 0.04%
2018:Q1 0.04%
2018:Q2 0.05%
2018:Q3 0.05%
2018:Q4 0.06%
2019:Q1 0.06%
2019:Q2 0.06%
2019:Q3 0.06%
2019:Q4 0.05%
2020:Q1 0.06%
2020:Q2 0.04%
2020:Q3 0.04%
2020:Q4 0.04%
2021:Q1 0.04%
2021:Q2 0.03%
2021:Q3 0.03%

Average Checking Account Interest Rates at Traditional Banks of July 2025

With traditional banks offering Americans little reprieve in their search for yield, you should avoid their checking accounts. For example, Capital One (0.10%) has the highest average checking account interest rate, while US Bank (0.005%) has the lowest average checking account interest rate.

In addition, many of the largest U.S. institutions set their checking account interest rates below the national average. For example, eight out of the 11 institutions that we analyzed have average checking account interest rates below 0.03%. And only Capital One (0.07%), Huntington National (0.005%), and PNC Bank (0.003%) have checking account interest rate spreads that are in positive territory.

Furthermore, even the institutions that exceed the 0.03% national average often have deposit minimums, transaction requirements, or require you to enroll in other services offered by the bank. As a result, it’s prudent to look elsewhere for a return on your hard-earned capital.

Institution: Average Checking Account Interest Rate: % Above/Below the National Average:
Capital One 0.100% 0.070%
Huntington National 0.035% 0.005%
PNC Bank 0.033% 0.003%
Citibank 0.020% -0.010%
Bank of America 0.010% -0.020%
Wells Fargo 0.010% -0.020%
Chase Bank 0.010% -0.020%
HSBC 0.010% -0.020%
SunTrust 0.010% -0.020%
TD Bank 0.010% -0.020%
US Bank 0.005% -0.025%

* Checking Accounts that don’t pay interest were not included in the table.

Average Checking Account Interest Rates at Online Banks of July 2025

Offering a slight improvement over traditional banks, seven out of the eight online banks that we analyzed have average checking account interest rates that exceed 0.03%.

To that point, Alliant Credit Union (0.250%) has the highest average checking account interest rate, while HSBC Direct Checking (0.010%) has the lowest average checking account interest rate. Moreover, they also have the highest and lowest checking account interest rate spreads at 0.22% and -0.02%, respectively.

Institution: Average Checking Account Interest Rate: % Above/Below the National Average:
Alliant Credit Union 0.250% 0.220%
Ally Bank 0.175% 0.145%
LendingClub Banking 0.125% 0.095%
TIAA Bank 0.100% 0.070%
Axos Bank 0.100% 0.070%
Charles Schwab Bank 0.030% 0.000%
HSBC Direct Checking 0.010% -0.020%

* Checking Accounts that don’t pay interest were not included in the table.

In our opinion, Alliant Credit Union offers Americans the best bang for their buck. To explain, online banks have eligibility requirements that rival traditional banks. And Alliant Credit Union is no different. However, there are no monthly maintenance or overdraft fees, and you can open an account with as little as $1.

As such, there are only two requirements to earn 0.25% on your checking account balance at Alliant Credit Union:

  • Opt in to e-statements
  • Make one or more online deposits per month

In contrast, Ally Bank pays 0.10% interest on checking account balances less than $15,000 and 0.25% interest on checking account balances of $15,000 or more. As a result, you need a large account to match the interest rate offered by Alliant Credit Union.

Likewise, LendingClub Banking pays 0% interest on checking account balances that range from $0.01 to $2,499.99, pays 0.10% interest on checking account balances that range from $2,500 to $99,999.99, and yields 0.15% interest on checking account balances of $100,000 or more. As a result, these balance minimums make the account much less attractive.

Total Checkable Deposits Held by U.S. Households

The U.S. Federal Reserve’s (Fed) data shows that the total dollar amount held in U.S. households’ checking accounts hit an all-time high of $3,538.9 billion in the third quarter of 2021. For context, the amount is 928% higher than it was in the first quarter of 2010 and 253% higher than pre-COVID (Q4 2019).

Moreover, if we break down the data by wealth percentile, Americans in the bottom 50% have seen their checkable deposits increase by 141% since Q4 2019. Likewise, Americans in the 50% to 90% wealth percentile have seen their checkable deposits increase by 178% during that same timeframe.

However, the data demonstrates how the U.S. government’s massive spending programs have disproportionately benefited the wealthy. For example, Americans in the 90% to 99% wealth percentile have increased their checkable deposits by 237% since Q4 2019. Likewise, the top 1% of wealthy Americans have seen their checkable deposits increase by 445% since Q4 2019.

Even more impressive, the number of checkable deposits held by the top 1% of wealthy Americans was below the amount held by Americans in the 50% to 90% wealth percentile for 44-straight quarters from Q1 2010 until Q4 2020. However, as of Q2 2021, the top 1% has $42.5 billion more in their checking accounts than Americans in the 50% to 90% wealth percentile.

Date: Total Household Checkable Deposits (Billions): Bottom 50%: 50% to 90%: 90% To 99%: Top 1%: Top 1% Minus 50% to 90%:
2010:Q1 $344.3 $39.2 $137.0 $109.9 $58.2 -$78.9
2010:Q2 $357.6 $40.7 $142.9 $114.1 $59.9 -$83.0
2010:Q3 $314.0 $36.4 $126.4 $101.5 $49.8 -$76.6
2010:Q4 $417.7 $45.7 $161.1 $136.0 $74.9 -$86.2
2011:Q1 $498.5 $52.4 $186.6 $162.9 $96.6 -$90.0
2011:Q2 $483.8 $50.9 $181.0 $158.1 $93.8 -$87.1
2011:Q3 $615.8 $60.9 $222.8 $200.0 $132.1 -$90.7
2011:Q4 $694.1 $66.4 $244.4 $226.8 $156.5 -$87.9
2012:Q1 $732.0 $68.9 $253.6 $240.7 $168.7 -$84.9
2012:Q2 $683.0 $65.0 $238.3 $224.3 $155.3 -$83.0
2012:Q3 $674.2 $64.2 $234.4 $222.1 $153.6 -$80.8
2012:Q4 $799.9 $72.4 $269.4 $263.6 $194.4 -$75.0
2013:Q1 $849.7 $75.7 $281.9 $281.4 $210.7 -$71.2
2013:Q2 $852.9 $75.6 $281.6 $282.8 $212.8 -$68.9
2013:Q3 $876.9 $77.0 $287.0 $291.5 $221.4 -$65.7
2013:Q4 $983.0 $84.7 $319.9 $327.8 $250.6 -$69.3
2014:Q1 $1,007.8 $86.8 $330.8 $335.8 $254.4 -$76.4
2014:Q2 $1,018.2 $88.2 $337.6 $339.6 $252.8 -$84.9
2014:Q3 $1,009.5 $88.1 $339.3 $336.4 $245.7 -$93.5
2014:Q4 $964.7 $85.9 $330.2 $321.7 $226.8 -$103.4
2015:Q1 $1,059.9 $92.5 $361.2 $353.1 $253.1 -$108.1
2015:Q2 $1,124.6 $96.9 $383.5 $374.2 $270.0 -$113.4
2015:Q3 $979.5 $87.7 $346.5 $324.4 $221.0 -$125.5
2015:Q4 $1,060.8 $93.8 $373.3 $352.1 $241.6 -$131.7
2016:Q1 $1,142.7 $99.4 $400.7 $379.1 $263.4 -$137.3
2016:Q2 $1,093.9 $96.9 $390.4 $362.9 $243.8 -$146.6
2016:Q3 $945.6 $87.6 $348.8 $313.8 $195.5 -$153.3
2016:Q4 $959.6 $89.3 $351.7 $321.3 $197.3 -$154.4
2017:Q1 $1,137.9 $102.4 $403.5 $384.7 $247.4 -$156.1
2017:Q2 $1,125.6 $102.4 $398.4 $383.6 $241.2 -$157.2
2017:Q3 $1,010.4 $95.4 $362.4 $347.4 $205.2 -$157.3
2017:Q4 $1,126.3 $104.4 $395.4 $390.3 $236.1 -$159.3
2018:Q1 $1,239.0 $112.7 $427.3 $431.5 $267.6 -$159.7
2018:Q2 $1,101.3 $104.1 $385.7 $387.0 $224.5 -$161.1
2018:Q3 $918.3 $91.3 $328.4 $326.1 $172.5 -$155.9
2018:Q4 $1,042.3 $100.8 $367.1 $370.7 $203.8 -$163.3
2019:Q1 $1,105.9 $106.6 $383.6 $396.3 $219.4 -$164.2
2019:Q2 $951.1 $95.5 $336.1 $343.9 $175.7 -$160.4
2019:Q3 $779.1 $81.8 $281.8 $284.1 $131.4 -$150.4
2019:Q4 $1,002.7 $100.3 $351.0 $364.0 $187.3 -$163.8
2020:Q1 $1,145.7 $110.3 $396.9 $412.2 $225.1 -$171.8
2020:Q2 $1,422.9 $130.0 $474.1 $510.3 $306.2 -$167.9
2020:Q3 $1,559.1 $140.0 $513.4 $562.1 $350.3 -$163.1
2020:Q4 $2,710.0 $203.6 $800.0 $963.3 $744.7 -$55.3
2021:Q1 $3,134.3 $224.8 $900.6 $1,112.8 $901.9 $1.3
2021:Q2 $3,511.2 $241.9 $977.4 $1,227.8 $1,019.9 $42.5
2021:Q3 $3,538.9

How We Conducted The Study

ElitePersonalFinance always has up-to-date studies.

Our goal is to consolidate the information and present the findings in a way that’s easy to understand by parsing through the latest data from reliable sources. If you enjoyed the study, please provide your feedback. Moreover, if there is anything that we missed or anything that you believe needs updating, please let us know, and we will respond promptly.

Conclusion

With the average checking account interest rate sinking to another all-time low in 2021, day-to-day banking does little to compound wealth. However, with the Fed poised to begin its rate hike cycle to combat inflation in 2022, higher overnight lending rates should result in higher average checking account interest rates. Despite that, though, it’s likely pennies on the dollar. As a result, any unused funds in your checking account should go into savings accounts or other investment products.

Other Studies That You May Find Interesting

Average Bank Interest Rates of July 2025

Average Savings Account Interest Rates of July 2025

Best High-Yield Online Savings Accounts of July 2025

Sources

Traditional Banks:

Bank of America Average Checking Account Interest Rates

Wells Fargo Average Checking Account Interest Rates

Citibank Average Checking Account Interest Rates

Chase Bank Average Checking Account Interest Rates

HSBC Average Checking Account Interest Rates

US Bank Average Checking Account Interest Rates

SunTrust Average Checking Account Interest Rates

PNC Bank Average Checking Account Interest Rates

Huntington National Average Checking Account Interest Rates

TD Bank Average Checking Account Interest Rates

Capital One Average Checking Account Interest Rates

Online Banks:

Ally Bank Average Checking Account Interest Rates

Charles Schwab Bank Average Checking Account Interest Rates

HSBC Direct Checking Average Checking Account Interest Rates

TIAA Bank Average Checking Account Interest Rates

LendingClub Banking Average Checking Account Interest Rates

Axos Bank Average Checking Account Interest Rates

Aliant High-Rate Checking Account Interest Rates

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