Nearly 2 in 3 Americans say money in their bank accounts not up with inflation, survey says
Expert on retirement savings
Indira Venkat serves as the Senior Vice President of Research at AARP, she joins LiveNOW from FOX to discuss a recent survey that found more than 20% of adults ages 50 and older have no retirement savings. Venkat explains how Americans are worried about covering basic expenses.
LOS ANGELES - Nearly two-thirds of Americans say their savings aren’t keeping up with inflation, according to a new WalletHub survey. Even as some banks offer interest rates above 5%, many consumers feel their financial institutions aren’t doing enough to help them weather rising costs.
The survey also reveals other frustrations, with 40% of Americans prioritizing low fees when choosing a bank and 75% supporting a $5 cap on overdraft fees. Meanwhile, concerns about unfamiliarity are holding some back from exploring smaller banks and credit unions that could offer better deals.
Why are Americans worried about inflation and savings?
Big picture view:
With inflation outpacing savings, 65% of Americans say their bank accounts aren’t keeping up. Even with interest rates on some savings accounts and CDs exceeding 5%, many feel these gains fall short of offsetting rising costs.
High interest rates are also changing how people manage their money, with 64% of respondents saying they’re spending less. These shifts highlight the growing struggle to maintain financial stability in today’s uncertain economic climate.
FILE - A banking customer withdraws money from a ATM machine. (Photo by Robert Alexander/Getty Images)
What do people value most in a bank account?
By the numbers:
When choosing a bank, fees are the biggest factor, cited by 40% of respondents. Interest rates come in second at 30%, while branch locations (15%), customer service (10%), and reviews (5%) round out the list.
The survey also found that 65% of Americans say they would switch bank accounts for lower fees, and 53% would switch for higher interest rates. However, familiarity with a bank plays a role—39% of people are hesitant to try smaller banks or credit unions due to a lack of familiarity, despite their potential for better deals.
What are Americans saying about overdraft fees?
What they're saying:
Overdraft fees remain a sore point for many consumers. A strong majority—75% of respondents—support a $5 cap on overdraft fees, which could save account holders money while boosting trust in financial institutions.
The Source: This article is based on a WalletHub survey conducted from January 6–9, 2025.