Average Credit Card Interest Rates and APR 2022

ElitePersonalFinance
Last Update: January 18, 2022 Credit Cards Loans Studies
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While the U.S. Federal Funds Rate and the interest rates on U.S. Treasury securities sunk to or near their all-time lows during the pandemic, credit card borrowers didn’t benefit to the same degree.

For example, we analyzed more than 100 consumer credit cards across seven of the largest issuers in the United States. And we found that the average annual percentage rate (APR) ranges from 16.22%–23.94%. Moreover, the median APR ranges from 15.24%–23.99%.

In addition, Discover (13.85%) has the lowest average low-end APR, while Capital One (22.94%) has the highest average low-end APR. What’s more, all of the institutions in our study have average and median high-end APRs that exceed 22%.

Financial Institution: Average APR: Median APR:
Discover 13.85%–22.70% 11.99%–22.99%
Wells Fargo 14.32%–24.99% 14.99%–24.99%
American Express 15.05%–24.11% 15.74%–23.99%
Citigroup 15.47%–23.30% 15.24%–23.99%
Chase 15.75%–22.87% 15.99%–22.99%
Bank of America 16.18%–23.74% 13.99%–23.99%
Capital One 22.94%–25.89% 24.99%–26.99%
U.S. Total 16.22%–23.94% 15.24%–23.99%

Average Credit Card Interest Rates and APR 2022: Statistics and Key Findings

National Statistics:

We analyzed more than 100 consumer credit cards across seven of the largest issuers in the United States. And we found that the average annual percentage rate (APR) ranges from 16.22%–23.94%. Moreover, the median APR ranges from 15.24%–23.99%.

By Institution:

Discover (13.85%) has the lowest average low-end APR, while Capital One (22.94%) has the highest average low-end APR.

While Bank of America has the second-highest average low-end APR (16.18%) of the seven issuers on our list, it has the second-lowest low-end median APR (13.99%) among the potential candidates.

Chase’s minimum low-end APR (13.99%) is 1% less than Capital One’s minimum (14.99%). American Express (2) and Bank of America (2) offer credit cards with low-end APRs less than Chase and Capital One.

Chase (26) and Capital One (21) combine to account for nearly half of all the credit cards available. Conversely, Wells Fargo (3) and Discover (7) have the least amount of credit card options available

For Business:

Parsing the data from another 39 business cards, we found that the U.S. average APR ranges from 14.27%–21.87%, and the U.S. median APR ranges from 13.99%–21.97%.

Wells Fargo (10.88%) has the lowest average low-end APR, while Capital One (17.74%) has the highest average low-end APR.

American Express (14) has the most business credit card options to choose from, while Chase (7) and Capital One (7) tie for second.

For College Students:

The U.S. average APR for student credit cards ranges from 17.69%–23.49%.

Discover (12.99%) and Bank of America (12.99%) offer products with the lowest low-end APRs. Conversely, Capital One’s (26.99%) three student credit cards have the highest low-end APRs.

For Cash Back Cards:

The U.S. average APR for cash-back credit cards ranges from 16.10%–23.59%. Likewise, the median ranges from 14.80%–23.99%.

American Express (13.99%) has the lowest average low-end APR, while Capital One (23.52%) has the highest average low-end APR.

Discover (11.99%) has three products with the lowest low-end APR when analyzing individual credits cards. Moreover, Bank of America, American Express, and Citigroup (13.99%) tie for second place.

Capital One (15) and Bank of America (7) have the highest number of cash-back credit cards in their portfolios.

For Travel Rewards Cards:

The U.S. average APR for travel rewards credit cards ranges from 15.54%–23.87%, while the median ranges from 15.81%–23.89%.

Discover (11.99%) has the lowest average low-end APR, while Capital One (18.74%) has the highest average low-end APR.

Chase (20) has the most credit card options available within the travel rewards category, while American Express (11) is a distant second. Moreover, Wells Fargo and Discover only have one credit card available within the travel rewards category.

By Credit Score:

Credit card products requiring excellent credit have lower low-end APRs than options at the other side of the spectrum.

Unsecured credit cards designed for Americans with good credit often have more than 20% flat APRs. Likewise, secured credit cards — which require you to post collateral — have APRs north of 20%.

At U.S. Commercial Banks:

The average credit card interest rate charged on all accounts by U.S. commercial banks is 14.54%. Moreover, on accounts assessed interest, the figure increases to 17.13%.

U.S. commercial banks’ average credit card interest rates on all accounts and accounts assessed interest have increased by 2% and 17%, respectively, since Q1 2010.

U.S. commercial banks’ average credit card interest rates on all accounts and accounts assessed interest have changed by -2% and +1%, respectively, since Q4 2019.

Average Credit Card Interest Rates and APR 2022: Charts, Graph, Analysis

Average Credit Card APR by Institution

Chase (26) and Capital One (21) combine to account for nearly half of all the credit cards available.

However, Capital One’s gift is also its curse. For example, the Capital One VentureOne Rewards, Quicksilver Rewards, and SavorOne Rewards cards have low-end APRs of 14.99%. However, 67% of Capital One’s credit cards have low-end APRs of 24.99% or more. Likewise, 48% of Capital One’s credit cards have low-end APRs of 26.99%. As a result, its average and median values are much higher than its competitors.

Conversely, Chase’s minimum low-end APR (13.99%) is 1% less than Capital One’s minimum (14.99%), and none of Chase’s credit cards have high-end APRs that exceed 23.99%.

Chase: APR: Capital One: APR:
Disney Premier Visa 13.99%–22.99% Capital One VentureOne Rewards 14.99%–24.99%
Disney Visa 13.99%–22.99% Capital One Quicksilver Rewards 14.99%–24.99%
Amazon Prime Rewards Visa Signature 14.24%–22.24% Capital One SavorOne Rewards 14.99%–24.99%
Chase Freedom Student 14.99% Capital One Venture Rewards 15.99%–23.99%
Chase Freedom Unlimited 14.99%–23.74% Capital One Savor Rewards 15.99%–23.99%
Chase Freedom Flex 14.99%–23.74% Capital One Venture X Rewards 16.99%–23.99%
Chase Slate Edge 14.99%–23.74% Capital One Walmart Rewards 17.99%–26.99%
Southwest Rapid Rewards Priority 15.99%–22.99% Pottery Barn Key Rewards Visa 24.99%
Southwest Rapid Rewards Premier 15.99%–22.99% Williams Sonoma Key Rewards Visa 24.99%
Chase Sapphire Preferred 15.99%–22.99% West Elm Key Rewards Visa 24.99%
British Airways Visa Signature 15.99%–22.99% The Key Rewards Visa 24.99%
Aer Lingus Visa Signature 15.99%–22.99% Capital One QuicksilverOne Rewards 26.99%
Iberia Visa Signature 15.99%–22.99% Capital One Platinum 26.99%
Marriott Bonvoy Boundless 15.99%–22.99% Capital One VentureOne Rewards  for Good Credit 26.99%
World of Hyatt 15.99%–22.99% Capital One Quicksilver Rewards  for Good Credit 26.99%
IHG Rewards Club Premier 15.99%–22.99% Capital One SavorOne Rewards  for Good Credit 26.99%
Southwest Rapid Rewards Plus 15.99%–22.99% Capital One SavorOne Rewards for Students 26.99%
Starbucks Rewards Visa 15.99%–22.99% Capital One Quicksilver Rewards for Students 26.99%
Marriott Bonvoy Bold 15.99%–22.99% Capital One Journey Student Rewards 26.99%
IHG Rewards Club Traveler 15.99%–22.99% Capital One Quicksilver Secured Rewards 26.99%
United Club Infinite 16.49%–23.49% Capital One Platinum Secured 26.99%
United Quest 16.49%–23.49%
United Explorer 16.49%–23.49%
Aeroplan 16.49%–23.49%
United Gateway 16.49%–23.49%
Chase Sapphire Reserve 16.99%–23.99%
Average APR: 15.75%–22.87% Average APR: 22.94%–25.89%
Median APR: 15.99%–22.99% Median APR: 24.99%–26.99%

Next on the docket, American Express (2) and Bank of America (2) offer credit cards with low-end APRs less than Chase and Capital One. For example, the Amex EveryDay Preferred and Amex EveryDay cards have low-end APRs of 12.99%. Similarly, BankAmericard and BankAmericard for Students also have low-end APRs of 12.99%.

Moreover, while many of Bank of America’s credit cards have competitive APRs, its three secured cards have interest rates of 22.99% and 23.99%. As a result, the APRs on these collateralized options helped uplift Bank of America’s (16.18%) average low-end APR. Conversely, Bank of America’s (13.99%) median low-end APR was less affected by the outliers.

To that point, while Bank of America has the second-highest average low-end APR of the seven issuers on our list, it has the second-lowest low-end median APR among the potential candidates.

American Express: APR: Bank of America: APR:
Amex EveryDay Preferred 12.99%–22.99% BankAmericard 12.99%–22.99%
Amex EveryDay 12.99%–23.99% BankAmericard for Students 12.99%–22.99%
Blue Cash Preferred 13.99%–23.99% Bank of America Customized Cash Rewards 13.99%–23.99%
Blue Cash Everyday 13.99%–23.99% Bank of America Unlimited Cash Rewards 13.99%–23.99%
Cash Magnet 13.99%–23.99% Bank of America Travel Rewards 13.99%–23.99%
Blue from American Express 13.99%–23.99% Customized Cash Rewards for Students 13.99%–23.99%
Delta SkyMiles Reserve 15.74%–24.74% Unlimited Cash Rewards for Students 13.99%–23.99%
Marriott Bonvoy Brilliant 15.74%–24.74% Bank of America Travel Rewards for Students 13.99%–23.99%
Hilton Honors Aspire 15.74%–24.74% Susan G. Komen Customized Cash Rewards 13.99%–23.99%
Delta SkyMiles Platinum 15.74%–24.74% Bank of America Premium Rewards 15.99%–22.99%
Delta SkyMiles Gold 15.74%–24.74% Free Spirit Travel More World Elite 15.99%–23.99%
Hilton Honors Surpass 15.74%–24.74% Allegiant World 15.99%–23.99%
Hilton Honors 15.74%–24.74% Alaska Airlines Visa 15.99%–23.99%
Delta SkyMiles Blue 15.74%–24.74% BankAmericard Secured 22.99%
American Express Platinum 15.99%–22.99% Customized Cash Rewards Secured 23.99%
American Express Gold 15.99%–22.99% Bank of America Unlimited Cash Rewards Secured 23.99%
American Express Green 15.99%–22.99%
Average APR: 15.05%–24.11% Average APR: 16.18%–23.74%
Median APR: 15.74%–23.99% Median APR: 13.99%–23.99%

Continuing the theme, Wells Fargo (3) and Discover (7) have the least amount of credit card options available. However, they rank first and second among issuers with the lowest average low-end APRs. And right in the middle of the pack, Citigroup is the only issuer in our study that offers credit cards made exclusively for Costco members.

Citigroup: APR: Discover: APR: Wells Fargo: APR:
Citi Rewards+ 13.49%–23.49% Discover Cash Back 11.99%–22.99% Wells Fargo Reflect 12.99%–24.99%
Citi Diamond Preferred 13.74%–23.74% Discover Travel 11.99%–22.99% Hotels.com Rewards Visa 14.99%–22.99%,
AT&T Access Credit 13.99%–22.99% Discover Gas & Restaurants 11.99%–22.99% Wells Fargo Active Cash 14.99%–24.99%
Citi Custom Cash 13.99%–23.99% NHL Collection 11.99%–22.99%
Citi Double Cash 13.99%–23.99% Discover Student Chrome 12.99%–21.99%
Citi Simplicity 14.74%–24.74% Discover Student Cash Back 12.99%–21.99%
Costco Anywhere Visa 15.24%–15.24% Discover Secured 22.99%
Citi Premier 15.99%–23.99%
Citi/AAdvantage Executive World Elite 15.99%–24.99%
Citi/AAdvantage Platinum Select World Elite 15.99%–24.99%
American Airlines AAdvantage MileUp 15.99%–24.99%
Citi Secured 22.49%
Average APR: 15.47%–23.30% Average APR: 13.85%–22.70% Average APR: 14.32%–24.99%
Median APR: 15.24%–23.99% Median APR: 11.99%–22.99% Median APR: 14.99%–24.99%

Average Credit Card APR for Business

Parsing the data from another 39 business cards, we found that the U.S. average APR ranges from 14.27%–21.87%, and the U.S. median APR ranges from 13.99%–21.97%.

Moreover, Wells Fargo (10.88%) has the lowest average low-end APR, while Capital One (17.74%) has the highest average low-end APR. And though it’s a slight improvement over consumer credit cards, all of the institutions’ business credit cards in our study have average and median high-end APRs that exceed 20%.

Financial Institution: Average APR: Median APR:
Wells Fargo 10.88%–21.24% 11.24%–21.24%
Bank of America 12.59%–22.39% 12.24%–22.24%
Discover 12.99%–20.99% 12.99%–20.99%
American Express 14.78%–22.93% 14.24%–22.24%
Chase 15.28%–21.70% 15.99%–22.99%
Citigroup 15.62%–20.12% 15.62%–20.12%
Capital One 17.74%–23.70% 15.62%–23.99%
U.S. Total 14.27%–21.87% 13.99%–21.97%

In addition, American Express (14) has the most business credit card options to choose from, while Chase (7) and Capital One (7) tie for second. For context, the rows below labeled as “N/A” are like that because the American Express Plum Card and the Capital One Spark Cash Plus Card require businesses to pay their credit card balances in full each month. Also, please note that the former offers a 60-day grace period for late payments. However, no APRs are listed for either option.

American Express Business Credit Cards: APR:
Blue Business Cash 13.24%–19.24%
Blue Business Plus 13.24%–19.24%
Business Platinum 14.24%–22.24%
Business Gold 14.24%–22.24%
Business Green Rewards 14.24%–22.24%
Amazon Business Prime 14.24%–22.24%
Amazon Business 14.24%–22.24%
Delta SkyMiles Reserve Business 15.74%–24.74%
Delta SkyMiles Platinum Business 15.74%–24.74%
Marriott Bonvoy Business 15.74%–24.74%
Delta SkyMiles Gold Business 15.74%–24.74%
Hilton Honors Business 15.74%–24.74%
Lowe’s Business Rewards 15.74%–24.74%
Plum N/A
Chase Business Credit Cards  
Ink Business Unlimited 13.24%–19.24%
Ink Business Cash 13.24%–19.24%
Ink Business Preferred 15.99%–20.99%
Southwest Rapid Rewards Performance Business 15.99%–22.99%
Southwest Rapid Rewards Premier Business 15.99%–22.99%
World of Hyatt Business 15.99%–22.99%
United Business 16.49%–23.49%
Capital One Business Credit Cards  
Capital One Spark Cash Select  – Excellent Credit 13.24%–19.24%
Capital One Spark Miles Select 13.99%–23.99%
CLUB Business 15.24%–26.99%
Capital One Spark Cash Select  – Good Credit 15.99%–23.99%
Capital One Spark Miles 20.99%
Capital One Spark Classic 26.99%
Capital One Spark Cash Plus N/A
Bank of America Business Credit Cards  
Platinum Plus  Business 10.24%–21.24%
Business Advantage Customized Cash Rewards 12.24%–22.24%
Business Advantage Unlimited Cash Rewards 12.24%–22.24%
Business Advantage Travel Rewards 12.24%–22.24%
Alaska Airlines Business 15.99%–23.99%
Wells Fargo Business Credit Cards  
Wells Fargo Business Elite Signature Prime + 3.99%
Wells Fargo Business Platinum Prime + 7.99% to Prime + 17.99%
Wells Fargo Business Secured Prime + 11.90%
Citigroup Business Credit Cards  
Costco Anywhere Visa Business 15.24%–15.24%
CitiBusiness/AAdvantage Platinum Select 15.99%–24.99%
Discover Business Credit Cards  
Discover Business 12.99%–20.99%

Average Credit Card APR for College Students

For credit cards designed specifically for students, Discover (12.99%) and Bank of America (12.99%) offer products with the lowest low-end APRs. Conversely, Capital One’s (26.99%) three student credit cards have the highest low-end APRs.

Across the entire basket, the U.S. average APR for student credit cards ranges from 17.69%–23.49%. However, Capital One’s high student APRs push up the low-end average. As a result, the low-end U.S. average APR for student credit cards is 13.70%, excluding Capital One’s products.

Student Credit Cards: APR:
Discover Student Chrome Card 12.99%–21.99%
Discover Student Cash Back Card 12.99%–21.99%
BankAmericard Card for Students 12.99%–22.99%
Bank of America Customized Cash Rewards Card for Students 13.99%–23.99%
Bank of America Unlimited Cash Rewards Card for Students 13.99%–23.99%
Bank of America Travel Rewards  Card for Students 13.99%–23.99%
Chase Freedom Student 14.99%
Capital One SavorOne Rewards Card for Students 26.99%
Capital One Quicksilver Rewards Card for Students 26.99%
Capital One Journey Student Rewards Card 26.99%
U.S. Average 17.69%–23.49%

Average Credit Card APR for Cash Back Cards

Since cash is king for many Americans, we compared the average, and median APRs offered on cash-back credit cards. American Express (13.99%) has the lowest average low-end APR on one side of the coin. On the other side, Capital One (23.52%) has the highest average low-end APR.

Moreover, the U.S. average APR for cash-back credit cards ranges from 16.10%–23.59%. Likewise, the median ranges from 14.80%–23.99%.

Financial Institution: Average APR: Median APR:
American Express 13.99%–23.99% 13.99%–23.99%
Discover 14.16%–22.59% 12.49%–22.59%
Citigroup 14.41%–21.07% 13.99%–23.99%
Chase 14.80%–23.24% 14.99%–23.74%
Wells Fargo 14.99%–24.99% 14.99%–24.99%
Bank of America 16.85%–23.99% 13.99%–23.99%
Capital One 23.52%–25.24% 24.99%–24.99%
U.S. Total 16.10%–23.59% 14.80%–23.99%

We found that Discover (11.99%) has three products with the lowest low-end APR when analyzing individual credits cards. Moreover, Bank of America, American Express, and Citigroup (13.99%) tie for second place.

For context, Capital One (15) and Bank of America (7) have the highest number of cash-back credit cards in their portfolios. However, the former’s APRs are much less competitive than the latter’s metrics.

Capital One Cash Back Credit Cards: APR:
Capital One Quicksilver Rewards 14.99%–24.99%
Capital One SavorOne Rewards 14.99%–24.99%
Capital One Savor Rewards 15.99%–23.99%
Capital One Walmart Rewards Master 17.99%–26.99%
Pottery Barn Key Rewards Visa 24.99%
Williams Sonoma Key Rewards Visa 24.99%
West Elm Key Rewards Visa 24.99%
The Key Rewards Visa 24.99%
Capital One QuicksilverOne Rewards 26.99%
Capital One Quicksilver Rewards  for Good Credit 26.99%
Capital One SavorOne Rewards  for Good Credit 26.99%
Capital One SavorOne Rewards  for Students 26.99%
Capital One Quicksilver Rewards  for Students 26.99%
Capital One Journey Student Rewards 26.99%
Capital One Quicksilver Secured Rewards 26.99%
Bank of America Cash Back Credit Cards  
Bank of America Customized Cash Rewards 13.99%–23.99%
Bank of America Unlimited Cash Rewards 13.99%–23.99%
Bank of America Customized Cash Rewards  for Students 13.99%–23.99%
Bank of America Unlimited Cash Rewards  for Students 13.99%–23.99%
Susan G. Komen Customized Cash Rewards 13.99%–23.99%
Bank of America Customized Cash Rewards Secured 23.99%
Bank of America Unlimited Cash Rewards Secured 23.99%
Discover Cash Back Credit Cards  
Discover Cash Back 11.99%–22.99%
Discover Gas & Restaurants 11.99%–22.99%
NHL Collection 11.99%–22.99%
Discover Student Chrome 12.99%–21.99%
Discover Student Cash Back 12.99%–21.99%
Discover Secured 22.99%
Chase Cash Back Credit Cards  
Amazon Prime Rewards Visa Signature 14.24%–22.24%
Chase Freedom Student 14.99%
Chase Freedom Unlimited 14.99%–23.74%
Chase Freedom Flex 14.99%–23.74%
American Express Cash Back Credit Cards  
Blue Cash Preferred 13.99%–23.99%
Blue Cash Everyday 13.99%–23.99%
Cash Magnet 13.99%–23.99%
Citigroup Cash Back Credit Cards  
Citi Custom Cash 13.99%–23.99%
Citi Double Cash 13.99%–23.99%
Costco Anywhere Visa 15.24%–15.24%
Wells Fargo Cash Back Credit Cards  
Wells Fargo Active Cash 14.99%–24.99%

Average Credit Card APR for Travel Rewards Cards

Travel rewards credit cards offer an easy way to earn free flights, hotel accommodations, and meals to make the most out of your next vacation. And when isolating the group, we found that Discover (11.99%) has the lowest average low-end APR, while Capital One (18.74%) has the highest average low-end APR.

Likewise, the U.S. average APR for travel rewards credit cards ranges from 15.54%–23.87%, while the median ranges from 15.81%–23.89%.

Financial Institution: Average APR: Median APR:
Discover 11.99%–22.99% 11.99%–22.99%
Wells Fargo 14.99%–22.99% 14.99%–22.99%
Bank of America 15.32%–23.79% 15.99%–23.99%
American Express 15.81%–24.26% 15.74%–24.74%
Chase 15.97%–23.17% 15.99%–22.99%
Citigroup 15.99%–23.99% 15.99%–23.99%
Capital One 18.74%–24.99% 16.49%–24.49%
U.S. Total 15.54%–23.87% 15.81%–23.89%

Zooming in for a closer look, Discover (11.99%) wins the gold medal for the lowest low-end APR within the category. Conversely, Chase and Bank of America (13.99%) earned the silver medal.

However, Chase (20) has the most credit card options available within the travel rewards category, while American Express (11) is a distant second. Moreover, Wells Fargo and Discover only have one credit card available within the travel rewards category, and their only options allowed them to maintain constant average and median statistics.

Chase Travel Rewards Credit Cards: APR:
Disney Premier Visa 13.99%–22.99%
Disney Visa 13.99%–22.99%
Southwest Rapid Rewards Priority 15.99%–22.99%
Southwest Rapid Rewards Premier 15.99%–22.99%
Chase Sapphire Preferred 15.99%–22.99%
British Airways Visa Signature 15.99%–22.99%
Aer Lingus Visa Signature 15.99%–22.99%
Iberia Visa Signature 15.99%–22.99%
Marriott Bonvoy Boundless 15.99%–22.99%
World of Hyatt 15.99%–22.99%
IHG Rewards Club Premier 15.99%–22.99%
Southwest Rapid Rewards Plus 15.99%–22.99%
Marriott Bonvoy Bold 15.99%–22.99%
IHG Rewards Club Traveler 15.99%–22.99%
United Club Infinite 16.49%–23.49%
United Quest 16.49%–23.49%
United Explorer 16.49%–23.49%
Aeroplan 16.49%–23.49%
United Gateway 16.49%–23.49%
Chase Sapphire Reserve 16.99%–23.99%
American Express Travel Rewards Credit Cards  
Delta SkyMiles Reserve 15.74%–24.74%
Marriott Bonvoy Brilliant 15.74%–24.74%
Hilton Honors Aspire 15.74%–24.74%
Delta SkyMiles Platinum 15.74%–24.74%
Delta SkyMiles Gold 15.74%–24.74%
Hilton Honors Surpass 15.74%–24.74%
Hilton Honors 15.74%–24.74%
Delta SkyMiles Blue 15.74%–24.74%
American Express Platinum 15.99%–22.99%
American Express Gold 15.99%–22.99%
American Express Green 15.99%–22.99%
Bank of America Travel Rewards Credit Cards  
Bank of America Travel Rewards 13.99%–23.99%
Bank of America Travel Rewards   for Students 13.99%–23.99%
Bank of America Premium Rewards 15.99%–22.99%
Free Spirit Travel More World Elite 15.99%–23.99%
Allegiant World 15.99%–23.99%
Alaska Airlines Visa 15.99%–23.99%,
Citigroup Travel Rewards Credit Cards  
Citi Premier 15.99%–23.99%
Citi/AAdvantage Executive World Elite 15.99%–24.99%
Citi/AAdvantage Platinum Select World Elite 15.99%–24.99%
American Airlines AAdvantage MileUp 15.99%–24.99%
Capital One Travel Rewards Credit Cards  
Capital One VentureOne Rewards 14.99%–24.99%
Capital One Venture Rewards 15.99%–23.99%
Capital One Venture X Rewards 16.99%–23.99%
Capital One VentureOne Rewards  for Good Credit 26.99%
Wells Fargo Travel Rewards Credit Cards  
Hotels.com Rewards Visa 14.99%–22.99%,
Discover Travel Rewards Credit Cards  
Discover Travel 11.99%–22.99%

Average Credit Card APR by Credit Score

When determining your qualified credit card interest rate, lenders emphasize your credit score. As a result, a high or low score can make or break the APR you obtain.

For example, we found that credit card products requiring excellent credit have lower low-end APRs than options at the other side of the spectrum. Moreover, unsecured credit cards designed for Americans with good credit often have more than 20% flat APRs.

Likewise, secured credit cards — which require you to post collateral — also skip the APR ranges and include flat rates. Furthermore, all of the options in our study have APRs north of 20%.

Credit Card: Credit Level: Purchase APR:
Capital One VentureOne Rewards Excellent 14.99% – 24.99%
Capital One Quicksilver Rewards Excellent 14.99% – 24.99%
Capital One Venture Rewards Excellent 15.99% – 23.99%
Capital One Venture X Rewards Excellent 16.99% – 23.99%
Capital One VentureOne Rewards for Good Credit Good 26.99%
Capital One Quicksilver Rewards for Good Credit Good 26.99%
Capital One SavorOne Rewards for Good Credit Good 26.99%
Citi Secured Rebuilding 22.49%
BankAmericard Secured Rebuilding 22.99%
Discover Secured Rebuilding 22.99%
Bank of America Customized Cash Rewards Secured Rebuilding 23.99%
Bank of America Unlimited Cash Rewards Secured Rebuilding 23.99%
Capital One Platinum Secured Rebuilding 24.99%
Capital One Quicksilver Secured Rewards Card Rebuilding 26.99%

Average Credit Card APR at U.S. Commercial Banks

The latest data from the Fed shows that the average credit card interest rate charged on all accounts by U.S. commercial banks is 14.54%. Moreover, on accounts assessed interest, the figure increases to 17.13%.

Interestingly, while the U.S. 2-Year Treasury interest rate has decreased by 18% since Q1 2010, U.S. commercial banks’ average credit card interest rates on all accounts and accounts assessed interest have increased by 2% and 17%, respectively, during that same timeframe.

Even more striking, the U.S. 2-Year Treasury interest rate has decreased by 53% since Q4 2019. However, U.S. commercial banks’ average credit card interest rates on all accounts and accounts assessed interest have changed by -2% and +1%, respectively.

As a result, lower interest rates across the U.S. Treasury curve have done little to ease the burden on credit card borrowers.

Period: All Accounts: Accounts Assessed Interest:
2010:Q1 14.26% 14.67%
2010:Q2 13.84% 14.48%
2010:Q3 13.59% 14.22%
2010:Q4 13.44% 13.67%
2011:Q1 13.44% 13.44%
2011:Q2 12.89% 13.06%
2011:Q3 12.28% 13.08%
2011:Q4 12.36% 12.78%
2012:Q1 12.34% 13.04%
2012:Q2 12.06% 12.76%
2012:Q3 11.95% 13.21%
2012:Q4 11.88% 12.81%
2013:Q1 11.94% 13.02%
2013:Q2 11.95% 12.76%
2013:Q3 11.88% 13.11%
2013:Q4 11.85% 12.89%
2014:Q1 11.83% 13.14%
2014:Q2 11.83% 12.74%
2014:Q3 11.82% 13.18%
2014:Q4 11.99% 13.68%
2015:Q1 11.98% 13.53%
2015:Q2 12.04% 13.49%
2015:Q3 12.10% 13.93%
2015:Q4 12.22% 13.70%
2016:Q1 12.31% 13.51%
2016:Q2 12.16% 13.35%
2016:Q3 12.51% 13.76%
2016:Q4 12.41% 13.61%
2017:Q1 12.54% 13.86%
2017:Q2 12.77% 14.00%
2017:Q3 13.08% 14.89%
2017:Q4 13.16% 14.99%
2018:Q1 13.63% 15.32%
2018:Q2 14.14% 15.54%
2018:Q3 14.38% 16.46%
2018:Q4 14.73% 16.86%
2019:Q1 15.09% 16.91%
2019:Q2 15.13% 17.14%
2019:Q3 15.10% 16.97%
2019:Q4 14.87% 16.88%
2020:Q1 15.09% 16.61%
2020:Q2 14.52% 15.78%
2020:Q3 14.58% 16.43%
2020:Q4 14.65% 16.28%
2021:Q1 14.75% 15.91%
2021:Q2 14.61% 16.30%
2021:Q3 14.54% 17.13%

How Do I Reduce My Credit Card APR?

While credit card companies determine your APR by assessing your overall creditworthiness, we have a few tips to get you on the fast track to a lower interest rate.

Build a Reliable Credit History:

While somewhat obvious, building a reliable credit history can make you more attractive in the eyes of lenders. The first step is to raise your FICO Score to at least 670. Then, when using existing credit cards, keep monthly purchases to less than 30% of your balance limit.

Shop Around for the Best Offers:

With so much competition in the lending space, institutions often make interest rate concessions to attract new clients. While some lenders may reject your application, others often go out of their way to provide unique offers to secure your business.

Talk to Your Financial Institution:

Often overlooked as a way to lower your credit card APR, simply asking can often move the needle. If you have an existing relationship with an institution and are known as a long-term and loyal customer, they’ll usually work with you to avoid losing your business. When calling, explain your circumstances and ask if they can help. Moreover, if you have readily available offers from other institutions, they’re more likely to accommodate your request.

How We Conducted The Study

To determine the average credit card interest rate 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 the Fed reduced interest rates to help shore up Americans’ finances during the coronavirus pandemic, the largest credit card issuers weren’t so kind. Moreover, with high financing costs poised to move even higher in 2022 — once the Fed begins its expected rate hike cycle — you should consider other types of loans before obtaining a credit card.

For example, U.S. commercial banks charge an average interest rate of 9.39% on 24-month personal loans. As a result, an unsecured personal loan is a more attractive financing option than unsecured credit card debt.

Sources

American Express

Chase

Bank of America

Citigroup

Capital One

Wells Fargo

Discover

MEET THE AUTHOR

ElitePersonalFinance

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