Lisa Cahill, Credit Cards Moderator
@lisacahill
The best cash back credit card with no annual fee is the Wells Fargo Active Cash® Card because it gives 2% cash rewards on purchases and has a $0 annual fee. New Wells Fargo Active Cash cardholders also earn $200 cash rewards after spending $500 on purchases in the first 3 months. You will need good credit or better to be eligible for this card.
Best Cash Back Credit Cards with No Annual Fee
Initial Bonus: $200 cash rewards after spending $500 on purchases in the first 3 months
Ongoing Rewards: 2% cash rewards on purchases
Annual Fee: $0
Credit Score: Good
Initial Bonus: $200 online cash rewards bonus for spending $1,000 in the first 90 days after opening the account
Ongoing Rewards: 2% cash back on purchases for the first year from account opening, 1.5% cash back on purchases after that
Annual Fee: $0
Credit Score: Excellent
Initial Bonus: $200 for spending $500 on purchases in the first 3 months
Ongoing Rewards: 5% cash back on travel through Chase Travel, 3% back at restaurants and drugstores, and 1.5% back on all other purchases
Annual Fee: $0
Credit Score: Good
Initial Bonus: $200 for spending $500 on purchases in the first 3 months
Ongoing Rewards: 5% cash back on hotels, vacation rentals and rental cars booked through Capital One Travel, 3% cash back at grocery stores (excluding superstores like Walmart® and Target®), on dining, entertainment and popular streaming services, along with 1% back on all other purchases (except for 8% back on Capital One Entertainment purchases)
Annual Fee: $0
Credit Score: Good
Initial Bonus: N/A
Ongoing Rewards: 1.5% cash back on all purchases, credited when you pay your bill
Annual Fee: $0
Credit Score: Fair
Initial Bonus: N/A
Ongoing Rewards: 1% cash back on all eligible purchases, up to 1.25% back after 6 months of on-time payments, and 1.5% cash back after 12 consecutive months of paying on time
Annual Fee: $0
Credit Score: Limited History
Initial Bonus: N/A
Ongoing Rewards: 2% cash back on all purchases for the first year, and 1.5% cash back thereafter
Annual Fee: $0
Credit Score: Bad
Cash back credit cards give you flexibility and freedom when it comes to earning and using rewards. You’ll get a percentage back on every purchase, and you can spend your rewards however you like. Below, you can get an even better sense of how much you can earn with the top cash back credit cards with no annual fee.
Best Cash Back Credit Cards with No Annual Fee Comparison
| Credit Card | Initial Bonus | Ongoing Rewards |
| $200 cash rewards after spending $500 on purchases in the first 3 months | 2% cash rewards | |
| $200 online cash rewards bonus for spending $1,000 in the first 90 days after opening the account | 1.5 - 2% cash back | |
| $200 for spending $500 on purchases in the first 3 months | 1.5 - 5% cash back | |
| $200 for spending $500 on purchases in the first 3 months | 1 - 8% cash back | |
| None | 1.5% cash back | |
| None | 1 - 1.5% cash back | |
| None | 1.5 - 2% cash back |
Why It’s Good to Have a No Annual Fee Cash Back Credit Card
Having a no annual fee credit card that offers cash back can help you build credit at a low cost, save money with rewards and possibly enjoy low-interest promotions.
- Build credit at a low cost: Having a credit card with no annual fee can help you build a positive credit history without any additional expenses beyond your usual spending. Plus, this type of credit card allows you to keep your account open for longer than you might otherwise, helping you establish a long credit history.
- Save money with rewards: Whether they offer the same cashback rate on all purchases or bonus cashback in certain purchase categories, no annual fee cash back credit cards can help you save hundreds of dollars every year.
- Take advantage of low-interest promotions: Some of the best no annual fee cash back credit cards also come with 0% intro APRs on purchases and/or balance transfers for a certain period of time. You can use WalletHub's credit card interest calculator to see how much you'd save by repaying debt with an interest-free credit card.
Just remember that if you want to maximize the benefits of a no annual fee cash back credit card, you need to use it responsibly. In other words, be sure to pay your monthly bills on time and avoid interest charges, which can quickly negate other savings.
Blue Cash Preferred® Card from American Express
Blue Cash Preferred® Card from American Express
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David Patel, Member
@dpatel_tech
Lots of good options. My favorites are:
- Citi Double Cash - perfect for fair credit.
- Wells Fargo Active Cash - great for good credit.
- Chase Freedom Unlimited - for good credit/bonus categories.
I’m not a big fan of cards that make you sign up for new bonus categories every few months.
Harper Walker, Member
@harperw1
Anything with 2% back on all purchases! There are more options than you might think: Double Cash, Active Cash, Double Up, etc. All are excellent.
Ella Morgan, Member
@ella_morgan
If you want dead simple, go Citi Double Cash or Wells Fargo Active Cash (both 2% flat). Want upside? Discover it® Cash Back doubles your cash back first year (effectively 10% on rotating categories).
Jeffery Gulbro, Member
@jefferyg_34
The PayPal Cashback Mastercard® is much better; $0 annual fee and 1.5 - 3% cash back.
Brandon Bettan, Member
@brandon_bettan
I think it's the Discover it® Cash Back card. It matches all the cash back you've earned during your first year as a new cardholder, so your 5% back will actually be 10%.
People also ask
Is no annual fee better than cash back?
A no-annual-fee credit card is better than a cash back credit card with an annual fee if you won't earn enough cash back rewards to offset the fee based on your typical spending habits. Fortunately, there are many cash-back cards with no annual fee, so you don’t have to choose between the two.
Best Cash Back Credit Cards With No Annual Fee
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- Excellent Credit:
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- Rates & Fees Low Intro APR:
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- Details, Rates & Fees Dining & Entertainment*:
- Details, Rates & Fees Dining & Entertainment*:
- Dining & Entertainment*:
- Fair Credit:
- Fair Credit:
- Fair Credit:
- No Credit:
- No Credit:
- No Credit:
- Overall:
- Excellent Credit:
- Low Intro APR:
- Dining & Entertainment*:
- Fair Credit:
- No Credit:
*(see details, rates & fees)
Choosing whether or not to get a...
read full answer by Adam McCann, Financial WriterAre cash back credit cards worth it?
Cash back cards are worth it because they can save you around 1% - 8% on every purchase that you make. As long as you pay off your balance in full each month and the annual fee does not offset the rewards you earn, cash back credit cards can help you save money.
Notable Cash Back Credit Cards
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- Rates & Fees
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- Rates & Fees Terms Apply
Key Things to Know About Cash Back Credit Cards
- Many cash...
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