After combing through data from some of the largest credit card issuers in America, we found that the average U.S. credit card annual fee is $178, and the median U.S. credit card annual fee is $95. Moreover, after analyzing more than 100 consumer credit cards across seven financial institutions, we found that roughly 38% of U.S. credit cards have annual fees.

For context, our average and median statistics only include credit cards that have annual fees. As a result, cards without annual fees are excluded from the calculations.

Average Credit Card Annual Fee of September 2024: Charts, Graph, Analysis

Average Credit Card Annual Fee by Institution

When breaking down the data by institution, we found that American Express ($289) has the highest average credit card annual fee. In contrast, Discover and Wells Fargo ($0) have the lowest average credit card annual fee.

Likewise, American Express ($250) also has the highest median credit card annual fee and ties for having the highest percentage (65%) of its credit cards with a yearly fee. Conversely, Discover and Wells Fargo remain at the bottom, with $0 and 0% metrics, respectively.

Also noteworthy, we found that Chase (26) and Capital One (21) have the highest number of credit cards within the overall basket. And whether it’s fee-paying cards or no-fee cards, the pair combine to offer 46% of the consolidated consumer credit cards available.

Even more interesting, Capital One and Chase have seen their average credit card annual fees increase by 86% and 27%, respectively, since our previous study. However, their median credit card annual fees have remained constant at $95. And as for the former, Capital One’s percentage of credit cards with a yearly fee has declined from 28% of total cards available to 19%. On the flip side, Chase’s percentage of credit cards with an annual fee has increased from 62% of total cards outstanding to 65%.

On top of that, while American Express wins the race for the highest average credit card annual fee in the U.S., the issuer has seen its average fee increase by 13% since our previous study — the third-highest percentage among all candidates. Conversely, Bank of America’s average credit card annual fee ($77) has decreased by 4% since our last study. As a result, its percentage of credit cards with a yearly fee has declined from 39% of total cards available to 25%.

Finally, while Discover and Wells Fargo have scrapped their fees altogether, Citigroup ($215) has the second-highest average credit card annual fee among candidates on our list. Despite that, its average has declined by 13% since our last study. Moreover, the lender’s percentage of credit cards with an annual fee has dipped from 31% of total cards available to 25%.

Average Credit Card Annual Fee for Business

When analyzing another 39 business credit cards, we found that the average U.S. credit card annual fee is $135, and the median U.S. credit card annual fee is $111. Moreover, 49% of business credit cards available have a yearly fee.

In addition, American Express ($273) has the highest average credit card annual fee, while Discover ($0) has the lowest. And as a percentage of their total offerings, Chase (71%) reigns supreme, with nearly three-quarters of its business cards coming with an annual fee. Conversely, and excluding Discover, Bank of America ($50) has the lowest average credit card annual fee, and only 20% of its available business cards incur a yearly fee.

Furthermore, American Express (14) has the widest selection of business credit cards available. And American Express ($695) is home to the card with the highest annual fee, while all seven financial institutions offer at least one credit card at no cost. For context, American Express’ priciest business card is currently $595. However, the rate increases to $695 for applications received on or after Jan. 13, 2022.

Average Credit Card Annual Fee for College Students

For Americans 18 years or older, four of our seven financial institutions offer credit cards specifically tailored for students. For context, all of the candidates in our study provide no-fee credit cards interchangeable with the options listed below.

However, with Discover, Bank of America, and Capital One earmarking 29%, 25%, and 14% of their total available consumer credit cards specifically for students, we felt it was worthy of mentioning

Average Credit Card Annual Fee for Cash Back Cards

If you’re in the market for a cash-back credit card with no annual fee, there are plenty of delicious options. For example, only five have a yearly fee of 54 credit cards in our study. What’s more, the annual fees embedded within Capital One’s ($39 and $95) and American Express’ ($95) cash-back credit cards are near the mid-to-low ends of their overall consolidated averages.

Average Credit Card Annual Fee for Travel Rewards Cards

The travel rewards category includes credit cards with the highest annual fees for Americans eager to explore the world. For example, Chase (2), American Express (4), Citigroup (1), and Capital One (1) all offer credit cards with annual fees that are near or exceed $400. In addition, all four of Bank of America’s fee-paying consumer credit cards reside within the travel rewards category.

As it relates to averages, American Express ($332) has the highest average credit card annual fee in the travel rewards category, while Capital One ($245) and Citigroup ($215) rank second and third. And like many other categories, Discover and Wells Fargo are the only institutions in our study that don’t have annual fees embedded within their travel rewards credit cards.

Average Credit Card Annual Fee by Credit Score

While your credit score is an important metric used to determine your creditworthiness, it has little impact on your credit card’s annual fee. For example, many of the credit cards in our study with the highest yearly fees often require applicants to have excellent credit. As a result, a good-to-low credit score won’t inhibit your ability to obtain a credit card with no annual fee. And a high credit score won’t afford you a high-quality credit card without paying the yearly expenditure.

However, there is a divergence with your annual percentage rates (APRs). To explain, an APR is the annualized interest rate that’s charged on credit card balances that carry over from month to month. And since Americans with high credit scores receive lower APRs and those with low credit scores receive higher APRs, your cost of borrowing is materially impacted by your credit score.

If you analyze the table below, you can see that Americans with excellent credit can qualify for APRs as low as 14.99%. Moreover, the latest data from the Fed shows that the average credit card interest rate charged by U.S. commercial banks is 14.54%.

However, at Capital One, Americans with good credit receive APRs of 26.99%. And while the secured cards’ APRs may seem like a better deal, it’s important to remember that these options require you to post collateral. In contrast, standard credit cards are unsecured and don’t require pre-arranged deposits.

As a result, maintaining a healthy credit score can help optimize your credit card options.

How We Conducted The Study

To determine the average credit card annual fee in the U.S., we analyzed the product offerings and terms at seven of the largest credit card issuers in the U.S. After which, we parsed the data by several metrics to provide the broadest depiction of what Americans confront in today’s marketplace.

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

While some of the largest credit card issuers in the U.S. have increased their annual fees since our last study, the percentage of total credit cards with a yearly fee has decreased. As a result, while U.S issuers still market credit cards for their fee-paying clients, their non-fee products have expanded at a faster pace.

And while COVID-19 may or may not have impacted issuers’ average credit card annual fees, the stronger the U.S. economy, the more disposable income consumers have to absorb the higher rates. As a result, if economic growth remains resilient in 2022, credit card companies may use the opportunity to roll out more expensive credit card options.

Sources

American Express

Chase

Bank of America

Citigroup

Capital One

Wells Fargo

Discover