Energy

Drivers Waste $2.1 Billion a Year on Premium Gas

Thinkstock

Premium gasoline is supposed to be for high-performance cars. It turns out that many people have mistaken when they need it rather than regular. According to AAA, Americans waste $2.1 billion a year buying premium they don’t need.

The organization found:

American drivers wasted more than $2.1 billion dollars in the last year by using premium-grade gasoline in vehicles designed to run on regular fuel. With 16.5 million U.S. drivers having used premium fuel despite the vehicle manufacturer’s recommendation in the last 12 months, AAA conducted a comprehensive fuel evaluation to determine what, if any, benefit the practice offers to consumers. After using industry-standard test protocols designed to evaluate vehicle performance, fuel economy and emissions, AAA found no benefit to using premium gasoline in a vehicle that only requires regular-grade fuel.

“Drivers see the ‘premium’ name at the pump and may assume the fuel is better for their vehicle,” said John Nielsen, AAA’s managing director of Automotive Engineering and Repair. “AAA cautions drivers that premium gasoline is higher octane, not higher quality, and urges drivers to follow the owner’s manual recommendations for their vehicle’s fuel.”

If only people would read the manuals that come with their cars.

The AAA Fuel Gauge shows exactly how large the difference between premium and regular is. Monday, the average price of regular nationwide was $2.21, while premium was $2.26. In California, the average price of premium has risen to $3.00, against regular at $2.76 a gallon.

Fortunately, $2.1 billion spread across tens of millions of drivers is not very much per car driven.

In 20 Years, I Haven’t Seen A Cash Back Card This Good

After two decades of reviewing financial products I haven’t seen anything like this. Credit card companies are at war, handing out free rewards and benefits to win the best customers. 

A good cash back card can be worth thousands of dollars a year in free money, not to mention other perks like travel, insurance, and access to fancy lounges.

Our top pick today pays up to 5% cash back, a $200 bonus on top, and $0 annual fee. Click here to apply before they stop offering rewards this generous. 

 

Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.

AI Portfolio

Discover Our Top AI Stocks

Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.

You can follow him investing $500,000 of his own money on our top AI stocks for free.