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When was the last time you used cash to make a purchase? If you're like most people, it's been a while. The Federal Reserve reported that credit cards are the most common payment method for consumers, and people prefer using credit cards rather than cash or debit cards.
However, our reliance on credit cards has caused debt to become even more common. After the national credit card debt surpassed $1 trillion for the first time in 2023, it continued to climb to $1.21 trillion at the end of 2024.
We compiled the latest credit card data and statistics to give you an idea of what's going on in the credit card industry and how you compare to other consumers in how you handle your debt.
Credit card industry
Four main networks facilitate credit card transactions: Mastercard, Visa, Discover, and American Express. Visa and Mastercard are by far the largest of the networks; cards issued through the Visa or Mastercard networks make up 85% of the market, with American Express and Discover making up the remaining 15%.
Credit card issuers are banks, credit unions, and other financial institutions that issue cards in partnership with one of the main networks. There are nearly 4,000 issuers nationwide, but the top 10 represent the majority of the market. In the U.S., JPMorgan Chase was the largest credit card issuer.
Source: Consumer Financial Protection Bureau
Credit card usage
According to the Federal Reserve, 82% of American adults have at least one credit card. However, it's common to have several cards in your wallet. On average, people have 3.9 cards.
Nationally, the aggregate credit utilization rate — the average amount of available credit consumers use — was 23%.
How people use their cards varies by their credit scores. On average, consumers spend $8,823 per year on their cards, but those with very good to excellent credit tend to spend significantly more per year than other groups.
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Deep subprime: Scores below 580
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Subprime: 300 to 600
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Near-prime: 601 to 660
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Prime: 661 to 720
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Prime plus: 721 to 780
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Super prime: 781 to 850
Sources: Federal Reserve, Federal Reserve Bank of New York, Consumer Financial Protection Bureau
Credit card rates and fees
The credit card industry is immensely profitable; credit card issuers earned over $130 billion in interest and fees in 2022. Since then, the average annual percentage rate (APR) on credit cards that assessed interest has significantly increased.
In 2020, the average APR on general-use credit cards was 16.28%. As of February 2025, it was 21.91%, an increase of nearly 35%.
Common fees that credit card companies charge include annual fees and late fees.
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Annual fees: Issuers charge annual fees on some cards, particularly those with premium or luxury benefits and for cards designed for consumers with subprime credit. Fees apply whether the consumer uses the card or not, and fees range from $0 to $695 or more per year. According to the Consumer Financial Protection Bureau, the average annual fee was $105.
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Late fees: You may have to pay a late fee if you miss a payment due date. The average late fee is $32.
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Balance transfer: A balance transfer refers to the process of moving the balance from one credit card to another. To complete a balance transfer, you typically pay a percentage of the amount transferred. Balance transfer fees are typically 3% to 5% of the transferred balance.
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Cash advance: Some credit cards allow you to take out cash in a lump sum. To get a cash advance, you have to pay a higher APR and a cash advance fee; cash advance fees are usually 5% of the advance amount.
Sources: Federal Reserve, Consumer Financial Protection Bureau
Credit card balances by age and income
As people increasingly use credit cards as their primary payment method, consumers are accruing larger balances, and 60% carry a balance rather than paying it off in full each month. As of 2024, the average credit card balance was more than $6,700.
Credit card balances vary by age. Generation X — those between the ages of 44 and 59 — had the highest average balance at $9,557. By contrast, Generation Z and the Silent Generation — the youngest and oldest cohorts, respectively — had the lowest average balances at around $3,450.
With higher credit card balances, it's no surprise that credit card payments are more expensive. The average credit card payment was $202 as of February 2024, up from $152 in 2020.
Sources: Federal Reserve Bank of New York, Experian
Credit card delinquency
With credit cards, consumers are required to make a minimum payment each month by the statement due date. In general, this falls between 2% and 4% of the current balance.
Credit card delinquency rates have increased. At the end of 2024, approximately 7.2% of credit card balances became delinquent, incurring late fees and negative reports to the major credit bureaus.
Credit card rewards
One of the biggest draws of credit cards is the ability to earn rewards. With some rewards cards, you can earn airline miles, points, or cash back on select purchases. You can redeem those rewards in a variety of ways, including flights, hotel reservations, merchandise, gift cards, or even statement credits.
The Consumer Financial Protection Bureau reported that consumers earned $41.1 billion in rewards in 2022 — an increase of 58% from the rewards earned in 2019.
Typical rewards rates have also increased. Consumers earned an average of 1.6 cents per dollar, up from 1.4 cents per dollar in 2020.
