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A common rule of thumb for renters states that no more than 30% of your income should go to rent and utility payments each month. This guideline dates back to housing initiatives introduced by the federal government in the 1960s via the Brooke Amendment.

Deciding what percentage of your income should go to rent and utilities is central to making a realistic budget as a renter. The less you can spend on these items each month, the more money you’ll have to fund your financial goals. Read on for more about calculating a housing budget that’s right for you as well as creative ways to cut your housing costs.

What Is the 30% Rule?

The 30% rule says that households should spend no more than 30% of their income on housing costs, including rent and utilities. This housing affordability advice dates back to the 1969 Brooke Amendment, which was passed in response to rental price increases and complaints about public housing services.

The Brooke Amendment capped rent for public housing at 25% of residents’ income. This measure was designed to offer financial relief to low-income households participating in public housing programs. In 1981, Congress increased the 25% threshold to 30%, where it has remained to the present day.

Recommended: Should I Sell My House Now or Wait

What Is 30% Based On?

The 30% rule for housing affordability considers two distinct cost categories: housing and utilities. For renters, this generally means rental payments and basic utilities such as electricity, water, and heating. Collectively, these expenses should total no more than 30% of a renter’s gross monthly income.

Gross income is what someone earns before taxes and other deductions are taken out. Net income, on the other hand, is what they actually take home in their paychecks. Basing the 30% rule on someone’s gross income versus their net income will result in a higher dollar amount to allocate to rent and utilities.

It’s also important to remember that the 30% rule isn’t set in stone. The average monthly expenses for one person will vary depending on your location’s cost of living, optional costs such as renters insurance, and whether you have a very low or high income.

If you need help managing your finances, online tools such as a money tracker can help you monitor spending, set budgets, and keep tabs on your credit score.

Calculating the Percentage to Go to Rent and Utilities

Figuring out what percentage of income should go to rent and utilities using the 30% rule is a fairly simple calculation. You multiply your gross monthly income by 0.30 to figure out the maximum amount you should be budgeting for rent and utility costs. How complicated this calculation is can depend on how often you’re paid and whether your paychecks are always the same amount.

If You Are Paid the Same Amount Every Two Weeks

If you’re paid biweekly and your paychecks are the same, you can calculate your target rent and utilities in one of two ways. First, you take the gross amount reported on one of your paychecks and multiply it by 0.30. You then double that result to find the monthly amount.

So, say your biweekly gross income is $2,500. Thirty percent of that number is $750 ($2,500 x 0.30). If you double it, then your rent and utilities budget should be no more than $1,500 per month.

However, this strategy doesn’t take into account the two months each year when there are three biweekly paychecks. If you want to find the average amount to spend on rent and utilities each month, you can multiply your biweekly gross paycheck amount by 26 (for 26 paychecks in one year), divide by 12 (for 12 months), then find 30% of that amount.

Using the $2,500 figure once again, if you multiply that by 26, you’d get $65,000. Divide that by 12 to get $5,417 (rounded up), your monthly pay. Thirty percent of that is $1,625, the amount you’d allocate to rent and utilities per month.

If You Are Paid Varying Amounts Every Paycheck

Pinpointing what percentage of income should go to rent and utilities can be a little more challenging if your paychecks aren’t the same from one pay period to the next. That might happen if you’re paid hourly and work different hours each week, receive vacation or sick pay, or part of your income is based on commission.

In that scenario, you’d want to look at your annual income in its entirety. You can do that by looking at all of your pay stubs for the previous 12 months or checking your most recent W-2 form. Again, you’re looking at gross income, not net pay.

You’d take the gross income for the year, then multiply it by 0.30 to figure out how much of your pay should go to rent and utilities overall. If your gross annual income were $70,000, then your target number would be $21,000 for the year. Divide that by 12 and you’ll find that you should be spending no more than $1,750 per month on rent and utilities using the 30% rule.

How to Reduce Your Rent to 30% or Less of Your Income

If you’ve done the calculations and you’re spending more than 30% of your income on rent and utilities, there are some things you may be able to do to reduce those costs.

Split the Rent With Roommates

Taking on one or more roommates could ease some of the financial load. Remember, it’s important to have a written agreement in place specifying what percentage of rent and utilities each roommate is responsible for.

Also, determine who will pay the rent and utility bills when everyone is chipping in. For example, one person may volunteer to collect payments from everyone else and then cut a check to the landlord or utility company. Consider using a budget planner app to keep track of household bills and payments.

Recommended: 25 Tips for Sharing Expenses With Roommates

Consider a New Location

Moving is another way to decrease rent and utility costs if you’re relocating to an area with a lower cost of living. Rent in rural areas may be cheaper than in a trendy urban center, for example. There can even be significant variation in rents in different neighborhoods within the same city.

Keep in mind that relocating can have its trade-offs. For instance, living in a less expensive area may mean giving up certain amenities you enjoyed in your old neighborhood, such as walkability or convenient access to stores and restaurants. And of course, you’ll also have to budget for the cost of moving, which can average $1,400 for a local move or $5,450 for a long-distance move.

Work Remotely

Working remotely can have its advantages, including saving money on certain expenses. For example, you may spend less on gas, meals out with coworkers, or office attire.

That said, if you are on a computer all day, you’ll want to take steps to lower your energy bill, such as by unplugging at the end of the day and buying energy-efficient lights.

Opting for remote work could also save you money on rent if you’re able to become location-independent. When you’re not tied to a particular city, that frees you up to seek out cheaper areas to live. You could even forgo renting altogether and become a digital nomad. That has its own costs, such as short-term accommodation or travel expenses, but you’re not locked in to paying rent to a landlord or utility payments long-term.

Negotiate With Your Landlord

The most effective way to reduce your rent may be to go straight to the landlord and negotiate your rent. Your landlord may be willing to offer a discount or reduced rental rate under certain conditions.

For example, your landlord might agree to reduce your rent by 10% or 15% if you pay six months in advance or agree to a longer lease term. The prospect of guaranteed rental income might be attractive enough for them to offer you a better deal.

You may also be able to get a rate discount by offering to take care of certain maintenance and upkeep tasks yourself. If your landlord normally pays for lawn care, for example, they may be willing to let you pay less in rent if you’re working off the difference by cutting the grass and maintaining the property’s landscaping.

Ask for a Promotion or Find a New Job

Instead of attempting to reduce your costs, you could try a different tactic: Making more money means you can budget more for rent and utility costs.

Asking your boss for a raise or promotion might boost your paycheck. If you hit a dead end, you may consider a more drastic move and look for a higher-paying job. Taking on a part-time job or starting a side hustle can also help you bring in more money to cover rent and utility payments.

What to Consider if 30% Doesn’t Work for You

As noted above, the 30% rule for housing is a somewhat arbitrary number and may not work for everyone. Spending more than 30% of your income on rent and utilities doesn’t automatically mean that you’re living beyond your means, for a variety of reasons.

There are, however, a few actions you can take to streamline your finances and determine what percentage of your income should go to rent and utilities.

Try the 50/30/20 Rule

The 50/30/20 budget rule recommends spending 50% of your income on needs, 30% on wants, and the remaining 20% on savings and debt repayment. This budgeting method doesn’t specify an exact percentage or dollar amount to spend on rent and utilities. Instead, those expenses get grouped into the 50% of income allocated to needs.

You still need to keep track of your spending to make sure you’re staying within the 50% limit. Using an online budget planner can help you figure out if the 50/30/20 rule is realistic based on your income and expenses.

Pay Down Loans and Debt

Total U.S. household debt reached $18.59 trillion in the third quarter of 2025, according to Federal Reserve data. While a big chunk of that is mortgage debt, Americans also pay a sizable amount of money to credit cards, student loans, personal loans, auto loans, and other debts.

Working to pay off debts can free up more money to allocate to rent and utilities. There are different methods you can use, including the debt snowball method and the debt avalanche method.

Look for Cost Savings in Recurring Expenses

One more way to make shouldering higher rent costs easier is to lower your other expenses. Making small changes at home can lead to lower electricity and water bills. Cutting out subscriptions you don’t use, looking for a better deal on car insurance, and eating more meals at home instead of dining out are all simple ways to lower your expenses.

The Takeaway

If you’re spending 30% or less of your gross (before tax) income on rent and utilities, pat yourself on the back. You can spend up to 50% of your income on housing if you have no debt and a healthy savings balance. The important thing is to look at your entire financial picture, including your income, debts, and goals, to decide the figure that’s right for you.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

SoFi helps you stay on top of your finances.

FAQ

What is a good percentage of income to spend on rent?

The 30% rule says that renters should spend no more than a third of their gross income on rent and utility payments. The less you spend on rent and utilities, the more money you’ll have to fund other financial goals, such as saving for emergencies, paying off debt, and planning for retirement.

Is 30% of income on rent too much?

Spending 30% of income on rent may be too much if a significant part of your income is also going toward debt repayment. That may leave you with little money to cover other necessary expenses or discretionary spending.

How much of your monthly income should go to rent?

A common rule of thumb says that roughly one-third of your monthly gross income can go to rent. But if you have substantial savings and no debt, you may be okay with spending a larger percentage of income on rent. On the other hand, if you’re trying to pay off debt or build savings, you may prefer to spend less on rent payments.

Does the 30% rule include utilities?

The 30% housing rule generally includes both rent and basic utilities. Utilities may include electricity, water, heating, and sometimes trash or sewer services. Because utility costs vary by location and season, renters may want to estimate an average monthly cost and include it when calculating whether their housing expenses fall within the 30% guideline.

What happens if you spend more than 30% of your income on housing?

Spending more than 30% of income on housing is often described as being cost-burdened, but it doesn’t automatically mean your finances are in trouble. Some households choose to spend a larger share of income on housing because of location preferences, career opportunities, or access to amenities. The key is ensuring that other financial priorities, such as saving and paying down debt, can still be met.

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Photo credit: iStock/deliormanli

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SORL-Q126-053

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Credit references are documents that verify your credit history. They can come in the form of a credit check report, asset documentation, or character references.

A limited or poor credit history can potentially impact your approval when applying for a rental. If you have a spotty payment history, a low credit score, or little to no history, your chances of getting approved may go down. Landlords or property management companies can approve or deny rental applications based on these references.

If this description of a less-than-stellar reference fits you, don’t fret. There are ways to put your best foot forward with credit references in today’s competitive market.

Definition of a Credit Reference

Credit references paint a picture of your borrowing and payment habits and history. Property managers and landlords use it to help determine whether you’re likely to pay rent on time and in full.

Documents of financial agreements can be used as credit references. Credit references also come in the form of:

•   Credit reports

•   Asset documentation

•   Character references

•   Financial support letters

In some cases, letters from personal lenders or documents from a car loan can be used. Be sure to clarify what the landlord needs when applying for an apartment. It’s also helpful to pull together the documents ahead of time, so you can pull together references for multiple apartments at once.

💡 Quick Tip: Online tools make tracking your spending a breeze: You can easily set up budgets, then get instant updates on your progress, spot upcoming bills, analyze your spending habits, and more.

When You Need Credit References

At the end of the day, landlords want to know if you’re able to pay rent. Getting an apartment rental is a business transaction between two strangers. Credit needed for an apartment plays a key role in rental applications.

Why Landlords Want Credit References

A credit reference is proof of your financial history. It details how much debt you have, how timely your payments are, and your credit score, among other factors.

For instance, if your credit references show that you’ve been able to pay off your debts in full in a timely manner, a landlord will likely approve your rental forms.

Applicants with low credit scores or poor payment histories have lower chances of being approved.

Recommended: Does Net Worth Include Home Equity?

Types of Credit References

As mentioned, credit references come in different forms, such as credit reports, character references, or formal letters from bank loan officers.

Credit Report

The most available type is a credit report. Three major credit bureaus provide credit reports: Equifax®, Experian®, and TransUnion®. You can obtain a free credit report every 12 months to check your score and scan for errors. The credit scoring system known as FICO® can be used by all three.

Credit reports contain information such as your credit history, current debt, bankruptcies and foreclosures. It can also include the age of your debt and how many credit inquiries you’ve had. Importantly, it’ll also contain your score. Credit scores range from 300 to 850.

Landlords will look at this report to determine the financial risk of each applicant. Generally speaking, a credit score of 670 or higher is considered acceptable, though requirements may vary based on the lender or circumstances.

Another factor that can impact your credit score and report is the number of inquiries into your credit history. If there are a lot of inquiries, they may lower your score since it can be perceived that you may be struggling financially. Some rental applications will include a fee for running the credit check.

Bad or no credit may give a landlord pause, but it may be possible to strengthen your case.

Recommended: What Is The Difference Between Transunion and Equifax?

Asset Documentation

Asset documentation is proof of income, liquid cash, or investments. It shows landlords that you are financially stable and able to handle unforeseen circumstances, such as a job loss.

Your landlord may request a verification letter from your employer, pay stubs, or an offer letter to prove income. You may also have to provide documentation of your savings or investment funds, such as mutual funds or retirement plans. Reach out to your financial institution or brokerage to provide you with documents of your accounts.

The more assets you have, the stronger your application will be.

Recommended: What Credit Score Is Needed to Buy a Car?

Character and Credit Reference Letters

Credit reports and asset documentation only tell part of the story. A character or credit reference letter may give context to a spotty part of your credit history. Someone you’ve had financial transactions with, such as an employer, previous landlord, or business partner, can write a letter confirming your character and values. For example, if you went through hardship, such as a medical illness, but still met your financial obligations, someone such as a prior landlord can vouch for you.

If you have bad credit, for example, an institution can demonstrate if you have taken courses, been given resources such as a debt payoff planner, or worked out a new payment plan to successfully pay off your debt. It demonstrates a commitment to improving personal finance.

Don’t be afraid to ask for a reference letter — many may be willing to write on your behalf. Remember, however, that these types of letters are not as concrete as credit and asset reports. They work better as supporting documentation.

Financier Support Letters

If you have a troubled credit history, a financial support letter from a cosigner on a lease can help. These letters are typically for business owners who need to prove they have the capital to rent or buy.

For a lessee, a guarantor would write a letter with context on how they can support your rent if needed. This can be helpful if you have an adverse credit history. For business owners, the letters would be obtained from financial institutions or financial partners backing a business lease or purchase.

Credit Reference Examples

If a landlord requests written credit reference letters, have a list of people in mind who can type up a quick letter. You could also ask them to type up a generic letter that you can use across multiple applications, or you might offer to supply a draft of the letter for them to edit as they see fit. Sometimes a property management company or landlord will have their own template, so be sure to clarify which format is acceptable.

A credit reference letter can be brief. But it must include key details such as:

•   Reference full name and contact information

•   Length of relationship

•   Payment history

Additional details may be required depending on what your landlord requests. Below is a sample template:

   Dear [Landlord Name]:

   I have known Ben as a tenant for three years. He paid rent ahead of time, was quiet and respectful, and took care of our property. Also, he ended his lease in search of a bigger space. He got his deposit returned in full, so he’s highly recommended as a tenant.

If you do not have a history of renting, you can ask a financial institution to vouch for you. Here’s an example letter:

   [ABC Bank] lent $30,000 to Tina Jones in 2014. She made her payments on time and paid off the loan ahead of schedule in 2017.

If you’re still short a reference, try an employer to vouch for your stability at your current job:

   Tim has been an employee of ACB Company for three years and has been promoted once. His current salary is $92,000. He’s responsible and puts our clients’ interests first. He will make a great tenant.

How to Secure a Credit or Character Reference Letter

Before you send a mass email to all your contacts, confirm with your landlord what details are needed. If there’s a template letter to use, so much the better. Once details are confirmed, reach out to your contacts. Be sure to provide them with all the information they need to include in the letter.

There’s no formal process to request a letter from financial institutions. You can go in person to speak to a banker who can provide you a letter, or you can contact your bank and ask how to obtain one.

How to Improve the Chances of Getting a Reference Letter

Asking with plenty of time vs. saying you need a letter tomorrow is obviously a good move. Also consider authorizing your institution to release personal information while you are actively applying for rentals. Not doing so could cause delays as the letter goes through the chain of command.

The Takeaway

Landlords want to see that you earn income and honor your debts. Credit references are formal documents that support your profile as a reliable tenant. They come in the form of records from credit bureaus and character reference letters from employers, among others.

If budgeting is not your strong suit and you want to build your financial profile, a money tracker app can help.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

See exactly how your money comes and goes at a glance.

FAQ

What do I put as a credit reference?

That depends. Ask your landlord what documents they require for a reference. It can mean a credit report, bank statements, character reference — or all three.

Who counts as a credit reference?

A credit reference can be someone with whom you have a tenant-landlord or business relationship. They can be a representative at a bank who can give a formal written letter of loans or accounts you have with them. Or, if you have limited or no credit history, a reference can be a current or former employer who can highlight your reliability.

Why do I need a credit reference?

Most property management agencies or landlords require credit references in order to approve a tenant application. This gives them an idea of your financial history and whether you’ll pay rent on time.

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Photo credit: iStock/damircudic

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

SORL-Q126-060

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When something goes wrong with their car on the road, most people have two options: call an emergency towing service or contact their roadside assistance program. Those choices may sound like the same thing, but there are important differences.

Read on for a breakdown of what you can expect from each of these services, including their pros and cons and average costs.

What Is Roadside Assistance?

If you’re stranded on the road, roadside assistance will send a mechanic, a locksmith, or a tow truck to get your car up and running, to a repair shop, or to your home.

Roadside assistance packages vary from one provider to the next, but most include the following:

•  Flat tire change

•  Battery jump-starts

•  Fuel delivery

•  Lockout assistance

•  Winching/extrication

•  Quick-fix services

Any benefits you receive on top of these basics are determined by your roadside assistance plan. For example, some plans include trip interruption coverage or a guaranteed arrest bond if you’re charged with a traffic violation. Premium plans may also offer savings on car maintenance costs, car rentals, hotels, and other perks. Extra benefits may come at an extra cost, however, so it’s important to compare plans carefully.

There are a few different ways you can get a roadside assistance plan:

•  Many insurance companies offer some type of roadside assistance coverage, usually as an add-on to your auto insurance policy. If you’re concerned about cost, there are other ways to lower car insurance premiums.

•  Another option is to pay for an auto club membership separately from your auto insurance.

•  Your car manufacturer may include a roadside assistance package as part of your warranty or as a limited free trial for a service that you can later purchase.

•  Some credit card companies offer access to roadside assistance as a cardholder perk.

Recommended: Why Personal Insurance Planning Is Important

What Can You Expect When Calling Roadside Assistance?

One of the benefits of participating in a roadside assistance program is that you’ll know exactly who to contact if you need help with your car. You can program the customer assistance number into your phone, download the program’s app, or tuck your membership card into your wallet or glove compartment.

Here’s what to expect when you call roadside assistance.

Calling for Help

First things first: If your child is locked in the car or you’re in a situation where you feel unsafe, you may want to first call 911. The 911 dispatcher will determine whether to send an officer to help.

If you’re not in any danger but facing issues with your car, you can just call roadside assistance. You may be asked to verify that you have an account or that the car is yours, so have your license and registration, proof of insurance, and your roadside assistance plan’s membership card on hand.

Your roadside assistance dispatcher will send the appropriate help from a network of service providers to your location. A technician may try to fix your car on site. But if that isn’t possible, they can tow your vehicle to a repair shop or to your home if you prefer and it’s within your plan’s mileage limit.

Getting Home

If your car needs towing to a repair shop, you may be able to ride with the tow truck driver. However, whether you get a ride home after depends on the company’s policy.

If you’re out of town when your car breaks down, roadside assistance with optional trip interruption coverage may pay for an overnight stay in a hotel. (If you travel a lot, you may want to check if this benefit is available when you’re comparing plans.)

Wait Times

Many roadside assistance programs work with a network of providers, so when you call, there may be someone nearby who can get to you quickly and offer the services you need. Generally, you can expect help to arrive in less than an hour.

Several factors can impact your wait time, however. If there’s heavy rain, wind, or a snowstorm, for example, you may have a longer wait. It can also take a while to get help if you’re in a rural location that’s far from a locksmith, mechanic, or towing service — or if you’re in a big city during rush hour.

Some plans provide updates through texts or an app so callers can track their wait time in real time.

Payment

Payment to the service provider who comes to your aid depends on the plan you’re enrolled in. With some programs, if you use the toll-free number or an app and the dispatcher sends a technician to help, you may not have to pay anything upfront for covered services. But if you contact a tow service, mechanic, or locksmith directly, you’ll likely pay out of pocket and then submit receipts to your plan for reimbursement.

Some plans may not have a central dispatcher. In that case, you’d call a provider directly, pay for the services, and then file a reimbursement claim. No matter how your plan handles payments, it’s a good idea to have your credit card with you when driving.

There’s no deductible for roadside assistance, and most programs have very specific limits on what they’ll cover. For example, if a service technician delivers fuel to your car because you’ve run out of gas, the delivery may be free, but you may have to pay for the gas.

What Is the Average Cost of Roadside Assistance?

The price of a roadside assistance plan varies based on several factors, including:

•  How many vehicles or drivers do you want covered

•  Where you live

•  Whether coverage occurs through your auto insurance or another source

•  The level of coverage you choose

Some plans may charge less for annual coverage and more for services received or vice versa. It can be useful to compare online insurance benefits and quotes to get a sense of what’s available and at what cost.

Generally, you’ll pay less for a plan that’s an add-on to your auto policy compared with a stand-alone membership. Allstate, for example, offers a roadside assistance insurance add-on for as little as $59 per year for one vehicle. Without an Allstate policy, the cost of a roadside assistance membership starts at $73 for the first year.

If your insurer doesn’t offer 24-hour roadside assistance or if you don’t like your insurer’s plan, you may want to check out what other insurance companies are offering.

Pros and Cons of Roadside Assistance

One of the biggest pros of roadside assistance coverage is that you know you’ll have someone to contact whenever you run into car trouble for advice or hands-on assistance.

As noted above, some plans will post a bond if you’re charged with a traffic violation or reimburse you (within limits) if you need to stay in a hotel overnight. Plans may also include benefits that go beyond roadside breakdowns, such as discounts on travel and entertainment.

Even if you call roadside assistance only once, you may save enough on the services rendered to cover your cost for the year.

Still, no one likes the idea of paying for something they may never use. If you have a newish car that’s well-maintained or you seldom drive far from home, you may decide roadside assistance isn’t for you.

Coverage limits can also be disappointing. Enrolling in a roadside assistance plan doesn’t mean you’ve got a blank check that will cover any cost you incur. You may have to pay a certain amount to have your car towed if you go beyond the mileage limit, for example, or you may have to pay for a new battery or tire if yours needs replacing. There may also be an annual limit on the number of calls for service that you can make.

Also, not all costs are covered upfront. Your plan may require you to submit receipts for reimbursement in some or all instances. If you’re averse to paperwork, that may be something to consider.

What Is an Emergency Towing Service?

The main purpose of emergency towing services is to move a vehicle when the driver can’t get back on the road. Several circumstances might require an emergency tow, including:

•  When you’re in an accident and your car can’t be driven or you’re in no shape to drive

•  If your car isn’t running, and it’s blocking traffic or putting you and other drivers in danger

•  If the police pull you over and determine that you’re in no condition to drive

There are a couple of circumstances in which your car insurance may pay for towing, even if you don’t have roadside assistance coverage:

•  After an accident, if you have collision coverage

•  If your car is damaged in a flood, fire, etc., and you have comprehensive coverage

But in most cases, if you don’t have roadside assistance or towing and labor coverage through your auto insurance policy, an auto club membership, or a car warranty, you’ll be liable to pay for your vehicle’s towing.

What Can You Expect When Calling an Emergency Towing Service?

If your car breaks down close to home, you may be able to directly call a reliable repair shop or towing service you’ve worked with in the past. Having that connection can be a benefit if you want to choose a company that can quickly help you.

But if you’re far from home and unfamiliar with the service providers available, you may have to cross your fingers and hope for the best when you call a towing service.

Here’s what you can expect when you call for emergency towing without a roadside assistance plan.

Calling for Help

If your regular mechanic or garage has the right equipment for your needs (a tow truck, a flatbed trailer, a winch, etc.), you may be good to go. They can pick up your car and get you the help you need.

But if you can’t call your favorite repair shop — because you’re out of town or it’s after hours — you may have to make a few calls before you find the appropriate help.

Some companies don’t require a subscription to use their towing and roadside assistance network, so you can try contacting them for help. But if their network doesn’t include services where you are, you may have to try your luck dialing local tow truck companies.

When a tow truck comes to your location, the driver may be able to offer on-site assistance with a flat tire, dead battery, or other problem. But you can’t necessarily count on getting the same help you’d get with a roadside assistance plan. The driver may be equipped only to tow your car back to your house or to a repair shop, and you can expect to pay in full for every service you receive if you don’t have roadside assistance coverage.

No matter who you call, it’s important to be clear about what you need. And of course, if you are in an accident or feel you may be in danger, you should call 911 first.

Getting Home

You may be able to get a ride home from the tow truck driver after they take your car to the garage. But as with a roadside assistance plan, it will likely be up to the individual driver’s discretion or company rules. If you aren’t sure if there will be a cost for the ride, you may want to ask before you get in the truck. And if you’re far from home, you also may want to ask for hotel recommendations.

Wait Times

Response times for tow trucks generally are determined by availability. If you call a tow company directly and there’s a truck close to your location, you may be able to get faster service than you would by calling a roadside assistance plan because you’re eliminating the middleman.

But the factors that can hold up a truck coming through a roadside assistance dispatcher can also delay a company you call directly, including inclement weather, rush-hour traffic, and distance.

Payment

If you call a tow truck directly, you can expect to pay the bill out of pocket. Depending on why you’re calling and the type of insurance coverage you have, you might be reimbursed for some costs. But if you’re calling about an overheated engine, a dead battery, or a flat tire and you don’t have roadside assistance coverage, your insurance company typically won’t reimburse you for the costs.

What Is the Average Cost of Emergency Towing Services?

Towing rates in the U.S. can range between $2.50 and $7 per mile, and the average cost of a tow is about $109. Besides distance, several other factors can affect the overall cost of a tow.

It may cost less to have your car towed after a breakdown than if you’ve been in an accident. And if the tow company needs to use special equipment because your car is stuck in mud, snow, or a deep ditch, for example, the cost may increase.

Many tow companies also include a base charge or hook-up fee that can range from $35 to $100. Some tow companies have a list of basic charges on their website, but if you can’t find pricing, you may want to ask to avoid surprises.

Pros and Cons of Emergency Towing Services

One of the biggest upsides to using an emergency towing service may be that you’re eliminating the middleman. You don’t have to wait for the dispatcher to find a network-approved provider to come and get you; you can call any company you like.

Of course, this can also be a drawback if you’re far from your favorite mechanic or repair shop. You may have to make multiple calls to find a tow truck that can come to your rescue.

Another plus to consider is that you won’t have to worry about paying for roadside assistance coverage every year, whether you use it or not. You’ll only pay for services you actually use.

But if you end up calling a tow truck even once and you don’t have coverage, it could cost you a substantial amount. You can end up paying more for that one tow than you would for a year of roadside assistance coverage — and you won’t be getting the perks.

How to Decide Between Roadside Assistance and Emergency Towing Services

Because there are pros and cons to both roadside assistance coverage and emergency towing services, here are some things you may want to look at when you’re trying to decide between the two.

Your Comfort Level

Are you someone who likes planning for when things go wrong, or are you OK with winging it? If you want the security of knowing you’ll have just one call to make if you need help on the road, you may prefer roadside assistance coverage.

Your Car

If your car is new or it’s well-maintained and the chances of a breakdown are slim, you may decide you don’t need to pay for roadside assistance coverage.

If your car is still under warranty, it may cover the cost of some roadside repairs. And if you have collision or comprehensive coverage through your auto insurance policy, towing costs may be paid in some circumstances.

Your Family’s Needs

If your car is an older model that isn’t exactly reliable or you have some first-time drivers in the family, and you want to feel confident they’ll know who to call (besides you) if they run into trouble on the road, consider getting new drivers’ roadside assistance coverage for the whole family.

Value

You may want to compare the costs of having a roadside assistance plan with the potential out-of-pocket expenses for a tow or other services. Can you afford a plan that fits your needs and budget? Can you afford not to have coverage? Keep in mind that if you use your plan just once, it may pay for itself for the year.

Recommended: Auto Insurance Terms, Explained

The Takeaway

When the unexpected happens on the road, you can wing it and call for a tow truck. Or you can contact roadside assistance and feel confident that someone will come help you out as soon as possible. What’s more, some or all of the cost of getting your car back on the road could be covered under your plan.

Many drivers consider roadside assistance a good deal for the money: The cost of just one tow is often more than the annual cost of roadside assistance. If you travel a lot or have young children or new drivers in the family, roadside assistance may be what you need.

When you’re ready to shop for auto insurance, SoFi can help. Our online auto insurance comparison tool lets you see quotes from a network of top insurance providers within minutes, saving you time and hassle.

SoFi brings you real rates, with no bait and switch.

FAQ

What is emergency roadside assistance good for?

Roadside assistance coverage can help you deal with and pay for a range of unexpected costs you might run into while on the road. These can range from fixing a flat tire on site to towing you to a repair shop for major repairs.

Is emergency roadside assistance worth it?

No one likes paying for something they may never use. But if your car breaks down just once, the convenience and savings you get through your roadside assistance plan may make it worth paying the annual cost.

What is the difference between emergency towing and roadside assistance?

Roadside assistance coverage is meant to help you get the service you need when you have car trouble — on the road or at a repair shop. Depending on the problem, roadside assistance may cover all or a portion of the costs. On the other hand, emergency towing is meant to get your car off the road and to a repair shop where it can be fixed. Generally, you can expect to pay for all the costs related to this service.

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Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOPRO-Q126-057

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In the ever-evolving landscape of real estate, the U.S. foreclosure market often unveils key trends that will shape the future of homeownership. According to property data provider ATTOM, 38,840 properties had foreclosure filings in February 2026, a slight dip from the previous month but still higher than a year ago. Rob Barber, CEO of ATTOM, notes that “foreclosure activity in February marked the twelfth consecutive month of annual increases, extending a gradual upward trend that began early last year.”

Nationwide, one in every 3,701 housing units had a foreclosure filing in February 2026. Foreclosure starts increased nationwide by 14% year over year. States with the worst foreclosures rates in February 2026 included Indiana, South Carolina, and Florida. Borrowers should stay up to date on their home loan payments and work closely with their lenders to explore options for assistance if needed.

Read on for the foreclosure rates in February 2026 – plus the top three counties with the worst foreclosure rates in each state.

50 State Foreclosure Rates

Read on for the February 2026 foreclosure rates for all 50 states — beginning with the state that had the lowest rate of foreclosure filings per housing unit.

50. West Virginia

Ranked 39th in population, the Mountain State claimed the 50th spot in February, 2026. It has a total of 861,325 housing units, of which 20 were in foreclosure. This means that the foreclosure rate was one in every 43,066 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Tyler, Roane, and Lincoln.

49. Vermont

In 49th place for population, the Green Mountain State also ranked 49th for its foreclosure rate in February. Of the state’s 339,042 housing units, nine homes went into foreclosure at a rate of one in every 33,904 households. The three counties in the state with the most foreclosures were: Washington, Windham, and Franklin.

48. South Dakota

The Mount Rushmore State nabbed the 48th spot for its foreclosure rate in February. Having 405,114 total housing units, the fifth-least populous state had a foreclosure rate of one in every 23,830 households with 16 new foreclosures in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Pennington, Minnehaha, and Codington.

47. Montana

Listed as 44th in population, the Treasure State rated 47th for its foreclosure rate in February. With 16 foreclosures out of 528,419 housing units, Montana’s foreclosure rate was one in every 16,513 homes. The counties with the most foreclosures per housing unit were: Toole, Glacier, and Jefferson.

46. Rhode Island

The eighth-least populous state placed 46th for highest foreclosure rate in February. A total of 37 homes were in foreclosure out of 485,932 total housing units, making the foreclosure rate for the Ocean State one in every 13,133 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Bristol, Providence, and Kent.

45. Kansas

The Sunflower State ranked 45th for highest foreclosure rate in February. With 1,293,635 homes and a total of 106 housing units in foreclosure, the 35th most populous state’s foreclosure rate was one in every 12,204 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Anderson, Ness, and Brown.

44. North Dakota

The Peace Garden State’s foreclosure rate was one in every 11,097 homes. This puts the fourth-least populous state — with 377,281 housing units and 34 foreclosures — into 44th place. The counties with the most foreclosures per housing unit were (from highest to lowest): Traill, Bottineau, and Richland.

Recommended: Tips on Buying a Foreclosed Home

43. New Hampshire

The Granite State, and the 41st most populous state in the U.S., ranked 43rd for its foreclosure rate. New Hampshire had 60 of its 648,472 homes in foreclosure, making for a foreclosure rate of one in every 10,808 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Cheshire, Grafton, and Strafford.

42. Nebraska

Ranking 37th in population, the Cornhusker State placed 42nd in February, just as it did in January. This time it had a foreclosure rate of one in every 9,594 homes. With a total of 863,444 housing units, the state had 90 properties in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Hamilton, Washington, and Red Willow.

41. Mississippi

Ranked 34th in population, the Magnolia State had 141 foreclosures out of 1,341,114 total housing units. This puts the foreclosure rate at one in every 9,511 homes and into the 41st spot in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Lawrence, Sunflower, and Pike.

40. Virginia

With 411 homes in foreclosure, the 12th most populous state ranked 40th for highest foreclosure rate in February. Having 3,684,756 total housing units, the Old Dominion saw a foreclosure rate of one in every 8,965 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Galax City, Charles City, and Wythe.

39. Wisconsin

With 342 foreclosures out of 2,778,572 total housing units, America’s Dairyland and the 20th most populous state secured the 39th spot with a foreclosure rate of one in every 8,124 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Taylor, Langlade, and Juneau.

38. Washington

Sorted as 13th in population, the Evergreen State ranked 38th for its foreclosure rate in February. Of its 3,306,620 housing units, 417 were in foreclosure, making the state’s foreclosure rate one in every 7,930 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Lewis, Pierce, and Island.

37. Hawaii

The Paradise of the Pacific, and the 40th most populous state, came in 37th for highest foreclosure rate. Of its 567,896 homes, 73 were in foreclosure, making for a foreclosure rate of one in every 7,779 households. The three counties with the most foreclosures were (from highest to lowest): Honolulu, Hawaii, and Maui. Thinking of buying a home in Hawaii — or any state where you don’t currently live? Study the cost of living by state to understand what to expect.

36. Oregon

The 27th most populous state ranked 36th for highest foreclosure rate in February. Of the Pacific Wonderland’s 1,857,992 homes, 245 were in foreclosure, making for a foreclosure rate of one in every 7,584 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Malheur, Lake, and Jefferson.

35. Minnesota

Ranked 22nd for most populous state, the Land of 10,000 Lakes obtained the 35th spot for its foreclosure rate in February. It has 2,545,030 housing units, of which 343 were in foreclosure, making the state’s foreclosure rate one in every 7,420 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Waseca, Stearns, and McLeod.

34. Alaska

The Last Frontier saw 47 foreclosures in progress in February, making the foreclosure rate one in every 6,804 homes. This caused the third-least populous state, with a total of 319,781 housing units, to claim the 34th spot. The boroughs with the most foreclosures per housing unit were (from highest to lowest): Juneau, Dillingham, and Sitka.

33. Kentucky

With a total of 2,023,116 housing units, the Bluegrass State saw 313 homes in foreclosure, landing it in 33rd place in February. This puts the foreclosure rate for the 29th most populous state at one in every 6,464 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Menifee, Jackson, and Barren.

32. Tennessee

Ranked 16th in population, the Volunteer State endured 506 foreclosures out of its 3,143,670 housing units. This puts the foreclosure rate at one in every 6,213 households and in 32nd place for the month of February. The counties with the most foreclosures per housing unit were (from highest to lowest): Meigs, Pickett, and Humphreys.

31. Massachusetts

The 15th most populous state ranked 31st for highest foreclosure rate in February. Of the Bay State’s 3,030,406 housing units, 539 were in foreclosure, making for a foreclosure rate of one in every 5,622 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Hampden, Berkshire, and Franklin.

30. Missouri

Coming in at 19th in population, the Show-Me State took the 30th spot for highest foreclosure rate in February. Of its 2,825,287 homes, 505 were in foreclosure, making for a foreclosure rate of one in every 5,595 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Webster, Oregon, and Mississippi.

29. Maine

Ranked 42nd in population, the Pine Tree State placed 29th for highest foreclosure rate in February. With a total of 751,876 housing units, Maine saw 136 foreclosures happening, for a foreclosure rate of one in every 5,529 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Aroostook, Kennebeck, and Penobscot.

28. Louisiana

Sorted as 25th in population, the Pelican State placed 28th for highest foreclosure rate. Louisiana had a February foreclosure rate of one in every 5,463households, with 386 out of 2,108,902 homes going into foreclosure. The parishes with the most foreclosures per housing unit were (from highest to lowest): Plaquemines, Calcasieu, and Iberville.

27. Arkansas

Listed as the 33rd most populous state, the Land of Opportunity ranked 27th for highest foreclosure rate in February. The state contains 1,394,673 housing units, of which 257 were in foreclosure, making its latest foreclosure rate one in every 5,427 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Dallas, Bradley, and Clay.

26. New York

With 1,790 out of a total 8,585,241 housing units in foreclosure, the Empire State claimed the 26th spot in February. The fourth-most populous state’s foreclosure rate was one in every 4,796 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Rockland, Orange, and Chemung. Utility costs can be high in New York, and understanding what percentage of income should go to utilities can help homeowners budget for mortgage payments.

25. Colorado

The 21st most populous state ranked 25th for highest foreclosure rate in February. Of the Centennial State’s 2,589,053 housing units, 616 were in foreclosure, making for a foreclosure rate of one in every 4,203 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Morgan, Washington, and Pueblo.

24. Pennsylvania

The Keystone State had the 24th highest foreclosure rate. The fifth-most populous state saw 1,389 homes out of 5,806,452 total housing units in foreclosure, making the state’s foreclosure rate one in every 4,180 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Montour, Washington, and Jefferson.

23. Oklahoma

The Sooners State landed the 23 spot in February. With housing units totaling 1,775,127, the 28th most populous state saw 425 homes in foreclosure,a rate of one in every 4,177 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Seminole, Coal, and Murray.

22. Connecticut

With 370 of its 1,541,822 homes in foreclosure, the Constitution State had the 22nd-highest foreclosure rate at one in every 4,167 households. In this 29th most populous state, the counties that had the most foreclosures per housing unit were (from highest to lowest): Greater Bridgeport, Northeastern Connecticut, and South Central Connecticut, . The cost of living can have an impact on homeowners’ ability to afford their mortgage payments, and Connecticut has a relatively high cost of living compared to other U.S. states.

21. Idaho

Ranked 38th in population, the Gem State received the 21st spot due to its 192 housing units in foreclosure in February. With 795,014 total housing units, the state’s foreclosure rate was one in every 4,141 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Clark, Gem, and Bingham.

20. Arizona

Sorted as 14th in population, the Grand Canyon State withstood 779 foreclosures out of its total 3,192,839 housing units. This puts the foreclosure rate at one in every 4,099 homes and into the 20th spot in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Pinal, Cochise, and Graham.

19. New Mexico

The 36th most populous state claimed the 19th spot for highest foreclosure rate in February. Of the Land of Enchantment’s 956,964 homes, 235 were in foreclosure, making for a foreclosure rate of one in every 4,072 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Eddy, Dona Ana, and Quay.

18. Wyoming

The country’s least populous state claimed the 18th spot for highest foreclosure rate in February, as it did in January. With 277,141 housing units, of which 69 were in foreclosure, the Equality State’s foreclosure rate was one in every 4,017 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Carbon, Niobrara, Converse.

Recommended: What Is a Short Sale?

17. Alabama

Listed as 24th in population, the Yellowhammer State came in 17th for highest foreclosure rate in February. Of its 2,337,265 homes, 615 were in foreclosure, making for a foreclosure rate of one in every 3,800 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Clarke, Calhoun, and Jefferson.

16. California

The country’s most populous state ranked 16th for highest foreclosure rate in February. Of its impressive 14,644,735 housing units, 4,055 were in foreclosure, making the Golden State’s foreclosure rate one in every 3,612 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Lake, Shasta, and Kings.

15. North Carolina

The ninth-most populous state claimed 15th place for highest foreclosure rate. Out of 4,895,668 homes, 1,416 were in foreclosure. This puts the Tar Heel State’s foreclosure rate at one in every 3,457 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Nash, Pasquotank, and Hoke.

14. Iowa

The Hawkeye State had the 14th highest foreclosure rate in February. With 416 out of 1,437,699 homes in foreclosure, the 31st most populous state’s foreclosure rate was one in every 3,456 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Van Buren, Palo Alto, and Fayette.

13. Michigan

Ranked 10th in population, the Wolverine State secured the 13th spot with a foreclosure rate of one in every 3,419 homes. With a total of 4,622,236 housing units, the state had 1,352 active foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Wayne, Gratiot, and Hillsdale.

12. Georgia

Ranked eighth in population, the Peach State took the 12th spot for highest foreclosure rate in February. Of its 4,541,835 homes, 1,403 were in foreclosure. This puts the state’s foreclosure rate at one in every 3,237 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Troup, Baldwin, and Henry.

11. Maryland

The state known as America in Miniature took 11th place for highest foreclosure rate in February. Ranked 18th for population size and with a total of 2,560,784 housing units, the state has a foreclosure rate of one in every 3,201 households due to its 800 properties in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Baltimore City, Somerset, and Calvert.

10. Texas

The Lone Star State withstood 3,843 foreclosures in February. With a foreclosure rate of one in every 3,156 households, this puts the second-most populous state in the U.S., with a whopping 12,128,515 housing units, into tenth place. The counties with the most foreclosures per housing unit were (from highest to lowest): Liberty, Johnson, and Culberson.

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9. Utah

The Beehive State placed ninth for highest foreclosure rate in February, unchanged from its January position. Of its 1,193,082 housing units, 410 homes were in foreclosure, making the 17th most populous state’s foreclosure rate one in every 2,984 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Millard, Wayne, and Box Elder.

8. Nevada

Ranked 32nd in population, the Silver State took eighth place for highest foreclosure rate in February. With one in every 2,915 homes in foreclosure, and a total of 1,326,471 housing units, the state had 445 homes in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Mineral, Lander, Lyon.

7. New Jersey

With a foreclosure rate of one in every 2,798 homes, the Garden State ranked seventh for highest foreclosure rate in February. The 11th most populous state contains 3,791,354 housing units, of which 1,355 were in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Cumberland, Salem, and Camden.

6. Ohio

The Buckeye State placed sixth in February with a foreclosure rate of one in every 2,797 homes. With a sum of 5,292,391 housing units, the seventh-most populous state had a total of 1,899 homes in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Cuyahoga, Highland, and Jefferson.

5. Illinois

The Land of Lincoln had the fifth-highest foreclosure rate in all 50 states in February. Of its 5,457,452 homes, 2,590 were in foreclosure, making the sixth-most populous state’s foreclosure rate one in every 2,107 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Clay, Stephenson, and St. Clair.

4. Delaware

The sixth-least populous state in the country, the Small Wonder nabbed fourth place on this list in February. With one in every 2,443 homes going into foreclosure and a total of 464,203 housing units, the state had 190 homes in foreclosure. Having only three counties in the state, the most foreclosures per housing unit were (from highest to lowest): Kent, New Castle, and Sussex.

3. Florida

The third-most populous state in the country has a total of 10,256,470 housing units, of which 4,504 were in foreclosure. This puts the Sunshine State’s foreclosure rate at one in every 2,277 homes and into third place in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Taylor, Highlands, and Polk.

2. South Carolina

The 23rd most populous state had the second-highest foreclosure rate in February with one in every 2,217 homes going into foreclosure. Of the Palmetto State’s 2,443,039 housing units, 1,102 were in foreclosure in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Dorchester, Kershaw, and Chester.

1. Indiana

The 17th largest state by population, the Crossroads of America landed in the first place spot in February with a foreclosure rate of one in every 1,597 homes. Of its 2,976,568 housing units, 1,864 were in foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Morgan, Grant, and Madison.

The Takeaway

Of all 50 states, Indiana had the most properties in foreclosure (1,864), and West Virginia had the least (20). As for the states with the highest foreclosure rates, Florida, South Carolina, and Indiana took the top three spots.

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SOHL-Q126-200

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Think of 24-hour roadside assistance coverage for your truck or car as having an extra tool in your emergency kit. Roadside assistance can provide the services you need to get you back behind the wheel ASAP. Services usually include changing flat tires, fuel delivery, jump-starts, and lockout assistance. The cost for roadside assistance when added on to an auto insurance policy is around $15 to $60 a year, although it can be more expensive, depending on the plan level you choose.

Before you sign up for roadside assistance, it can be useful to know some basics. In this guide, we’ll look at what you can expect when you enroll in a roadside assistance program.

What Is 24-Hour Roadside Assistance?

Roadside assistance plans cover a range of problems that commonly affect motorists. Whether you’re stuck on a busy highway or a lonely roadside, in a mall parking lot or your own driveway, you can ask for help with a dead battery, flat tire, being locked out, and more.

Since problems can happen at any time, roadside assistance programs make their services available around the clock. Service calls don’t usually require a deductible, and depending on your plan, costs you incur in an emergency may even be reimbursed.

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What Are Some Benefits of 24-Hour Roadside Assistance?

Roadside assistance is designed to protect all drivers, but it can be especially useful for parents of young children, new drivers, and people with physical limitations. Probably the top benefit of having 24-hour roadside assistance coverage is that you can call any time you’re in need. You can keep the number programmed in your phone, or put it in your wallet or glove compartment — your provider may even offer an app.

You can call for advice or hands-on assistance, and someone will help you get what you need. Some plans may even provide legal assistance if you’re charged with a traffic violation or reimburse you if you need to stay in a hotel overnight because your car broke down. Some plans also include benefits such as travel discounts and rewards points.

Recommended: How to Get Car Insurance

What Does 24-Hour Roadside Assistance Cover?

Assistance programs vary significantly depending on the service provider, the coverage level, and what you’re willing to pay. So, when you’re comparing roadside assistance for cars and trucks, it’s important to understand the details of what each plan covers. Roadside assistance is not intended for use after an accident. In that case, 911 will arrange for help to arrive.

Most companies that offer roadside assistance programs set limits on what they will and won’t pay for. Some plans may include free fuel delivery, for example, but charge extra for the gas you receive. Similarly, providers who include free lockout assistance may charge you to have a new key made. If your car needs a tow, there may be a limit on how many miles you can go for free. There may also be a limit on how many service calls you can make in a year.

Plans have different rules on whether a particular driver or vehicle qualifies for a service call. With some plans, you must be driving your own car when you call for assistance. Other plans will cover you even if you’re the passenger or driver in someone else’s car.

Programs generally include some amount of coverage for the following.

Vehicle Towing

If your vehicle can’t be safely repaired or restarted on-site, roadside assistance can tow it to a nearby repair shop.

Battery Jump-Start or Replacement

Roadside assistance can give your dead battery a jump and, if that doesn’t work, install a new battery on-site or give you a tow.

Changing a Flat Tire

If you have a usable spare tire, your service provider will likely change a flat or blown-out tire on-site.

Lockout Assistance

If you’ve locked your keys in your car, roadside assistance can get a locksmith to help. Even if you’ve lost your keys, the service may be able to get you back in your vehicle and back on the road.

Winching Service

Stuck in snow, mud, sand, or water? Your service provider may bring in a winch to extricate your car or truck.

Fuel Delivery

If you run out of gas, your provider can deliver fuel to your location. And if the battery in your electric car needs a charge, you can ask for a tow to the nearest charging station.

Quick Fix Vehicular First Aid

If you have a minor mechanical problem that can be fixed quickly, it may be possible to do so on-site. If not, the service can tow your car to a nearby repair shop.

What Are Some Ways Drivers Can Get 24-Hour Roadside Protection?

There are several different ways you can get roadside assistance coverage for yourself and your family members. If you’ve set aside time for personal insurance planning, such as applying for life insurance, you might also consider adding roadside assistance to your list.

Auto Club Membership

Probably the best-known way to get 24-hour roadside assistance is through an auto club like AAA (pronounced “triple A”). The company will issue you a membership card with numbers to call for service. You may also be able to download an app or send a text.

Plans range from $64.99 to $124.99 per year, plus extra costs for add-ons. Your price will depend on how many family members are covered, your location, and the services you’ve selected.

Credit Card Company Benefits

You may be able to access roadside assistance through one of your credit cards. Again, the cost of overall coverage or a specific service will vary depending on the plan you choose. For example, some credit cards may provide the service for free to their members but with a cap on each claim or on the number of claims a cardmember can make. Others may offer a pay-per-use service or prenegotiated discounts on certain services.

Vehicle Manufacturer

Many car and truck manufacturers also offer roadside assistance as a perk for new car buyers. Your vehicle may include protection that lasts for a few years or the length of your limited warranty. Your sales agreement should provide details on what your plan covers, or you can ask the dealership.

Car Insurance Company

Many car insurance companies have some type of roadside assistance coverage available for their customers. Some plans provide only the basics, while others may offer two or three levels of coverage. Costs generally range from around $15 to $60 or more a year.

When you’re considering cost, keep in mind that you may be able to lower your car insurance cost by bundling it with other types of insurance coverage.

Which Insurance Companies Offer 24-Hour Roadside Assistance?

Insurance companies that provide 24-hour roadside assistance typically offer the service as an add-on to an auto policy. However, some companies may provide a roadside protection membership to non-policyholders.

If you’re not sure whether you already have roadside protection, contact your agent or log in to your account on your insurer’s website to get information about your coverage. You may also find the information on your insurance card. If all else fails, you can also check out the benefits of each provider via online insurance comparison sites.

Here are a few companies that offer roadside assistance:

Allstate

Allstate offers 24-hour roadside assistance programs to both policyholders and non-policyholders. Costs and limitations will vary based on the plan you choose.

GEICO

GEICO’s roadside assistance program is available to policyholders as an add-on, and it covers most of the basics other plans offer. The cost is determined by the number of vehicles you want to cover.

Liberty Mutual

To access Liberty Mutual’s 24-hour assistance program, which offers basic roadside services, you must purchase optional towing and labor coverage as an add-on to your policy.

Nationwide

Nationwide offers 24-hour roadside assistance as an optional add-on for policyholders. The basic plan covers the same services offered by other insurers, but optional features and program details vary by state.

Progressive

Emergency roadside assistance is available as an optional add-on for Progressive auto insurance policyholders. Progressive’s program covers service basics, such as towing, jump-starts, and lockout assistance.

State Farm

State Farm’s roadside assistance program is an add-on for policyholders. If you have this coverage and need assistance, State Farm will mostly be billed directly for any basic services you receive, in which case, you won’t have to worry about waiting to be reimbursed.

(The above coverages are accurate as of the writing of this article but may differ in the future.)

What Is the Average Cost of 24-Hour Roadside Assistance for Cars?

When added to your car insurance policy, roadside assistance coverage costs anywhere between $15 and $60 per year on average. The price of a roadside assistance plan can vary based on how many vehicles you want to cover, where you live, whether your coverage is through your auto insurance or some other source, and the level of coverage you choose.

It’s a good idea to compare several plans and choose the best one for your individual needs and budget.

What Is the Average Cost of 24-Hour Roadside Assistance for Trucks?

The cost of roadside assistance for a pickup truck can be the same or similar to the cost for a car. However, most insurance companies offer separate coverage for RVs, boats, and motorcycles, which often need specialized services.

How Much Does 24-Hour Roadside Assistance Cost Without Insurance?

The national average cost of a local tow without roadside assistance coverage is between $75 and $125, or between $2 and $4 per mile.

What Makes 24-Hour Roadside Assistance Different From Other Coverage?

Standard car insurance is designed to protect car owners against financial losses when they’re in an accident or if their car is damaged, stolen, or vandalized. But a standard auto policy doesn’t typically include roadside assistance for situations such as a flat tire or running out of gas. That’s a different kind of coverage, and it usually costs extra to add it to a car insurance policy.

Another difference is that in most states, you are required to carry a minimum level of car insurance. However, you aren’t required to carry roadside assistance coverage. It’s your choice.

How Do You Choose a 24-Hour Roadside Assistance Program?

There are a few points you should consider when you’re shopping for a roadside assistance program.

Do You Already Have Protection?

If you aren’t sure, check your car warranty, credit cards, and your car insurance policy. Even if you are covered, it can be a good idea to compare your coverage to what’s available to make sure you have everything you need.

What Are the Coverage Limits?

Read the fine print for details and coverage limits before you sign up for a plan. Be sure you’re getting the services you expect and need most.

What Will It Cost?

Plans are generally low cost, ranging from $15 to $60, perhaps more, per year. It’s a good idea to compare prices of different plans to determine which one works best for your budget.

Does the Provider Get Good Reviews?

Don’t forget to check the provider’s reputation. Reliability is important when you’re stuck on the side of the road waiting for a tow or a jump-start. An important part of researching different plans includes reading customer reviews.

The Takeaway

A 24-hour roadside assistance plan is designed to provide drivers with the help they need to get back on the road as soon as possible. Drivers typically get roadside assistance through their auto insurance, but you can also find it via credit card benefits, car manufacturers, and auto clubs, such as AAA. Prices vary from around $15 to $60 per year as an auto insurance add-on to $125 or more per year through an auto club. Considering that a single tow without coverage can cost as much as $125, paying for a roadside-assistance plan can prove well worth the investment.

If you’d like to check out roadside assistance options, start by going online to compare your current auto insurance plan and benefits with those of other major companies.

When you’re ready to shop for auto insurance, SoFi can help. Our online auto insurance comparison tool lets you see quotes from a network of top insurance providers within minutes, saving you time and hassle.

SoFi brings you real rates, with no bait and switch.

FAQ

Does using roadside assistance increase your premium?

If you make only one or two claims a year, utilizing roadside assistance is unlikely to affect your insurance premium. But if roadside assistance claims are frequent or excessive, they may contribute to rate increases.

What does roadside assistance cover?

Every plan is different, but most include basic coverage for lockout assistance, changing a flat tire, jump-starting a battery, fuel delivery, minor engine fixes, and towing. Some providers also have premium plans that include extra services, such as more towing miles and trip interruption coverage.

How many times can I use roadside assistance?

Most policies limit the number of service calls you can make to three to five per year. It’s in your best interest to stay within these numbers to keep your premiums stable.

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Photo credit: iStock/nopponpat

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