Bank Use and Fees

According to a Pew report, 5.3% of Connecticut households in 2009 did not have a checking or savings account, compared to 7.7% nationally. Of all Connecticut households, 13.8% were “underbanked,” or had a checking or savings account but relied on alternative financial services. Nationally, 17.9% of households were “underbanked.” This data, based on a 2009 survey by the Federal Deposit Insurance Corporation, also showed that 31% of U.S. households that dropped a bank account did so because of service charges, minimum balance requirements, or overdraft fees.

Pew also studied checking account fees and requirements around the country by surveying the nation’s 10 largest banks in October 2010, which accounted for almost 60% of the nation’s deposits. Seven of these banks had branches in Connecticut that accounted for 43% of all deposits in the state. Based on this data, Connecticut had the same median monthly checking account fee as the nation as a whole ($8.95), a lower median monthly combined balance to waive the fee ($1,500 compared to $2,500), and the same median overdraft penalty ($35) and median overdraft transfer fee ($10).

The Pew report provides data on each state, including Connecticut.