No Annual Fee Credit Cards

No annual fee means you will not be charged every year for using your credit card. You’ll save anywhere from $25 to $550 in annual fees, depending on the on a credit card.

Annual fees are often tied to high-end rewards cards, travel rewards cards, business cards and secured cards for people with fair, limited, or bad credit. The annual fee helps the issue recoup the costs of rewards and benefits the card offers.

However, there are a number of no annual fee credit cards that offer rewards such as cash back or rewards earned on purchases. But you will need good credit or better to qualify for most of these cards.

A good go-between is a credit card that waives the annual fee for the first year you have the card. After the first year, the fee will be charged to your account. If, after that first 12 months, you’ve determined that having the card isn’t beneficial, you can close the account. Keep in mind that closing a credit card account, especially after only a year, could have a negative effect on your credit score. In addition, when your card is closed, you will be unable to redeem any rewards you’ve earned with the card.

Whether you should have a no annual fee card depends on your spending habits and preferences. If you’ll earn enough in rewards to warrant the cost of an annual fee, it might be worth the investment. But if you know you won’t make too many purchases over the course of a year, your best bet would be to stick with the no annual fee card.

Elite credit cards with no annual fee include Capital One VentureOne, Citi Double Cash and Amex EveryDay. These high-end cards require a minimum of good credit for approval and offer perks such as high everyday earning rates, big initial bonuses and 0% introductory APRs. VentureOne gives 1.25 miles per $1 on all purchases and a 20,000-point initial bonus. Citi Double Cash gives 2% cash back on all purchases, plus 0% on balance transfers for 18 months. And Amex EveryDay offers 0% for 15 months with no balance transfer fee for the first 60 days.  

Other elite credit cards with no annual fee include Bank of America Travel Rewards and Chase Ink Business Cash. They too offer benefits worthy of elite status. They also have strict credit requirements. You’ll need a 700+ credit score to even be considered for most of these cards.

Top 5 Elite Credit Cards with No Annual Fee:

• Travel: Capital One VentureOne Rewards
• Cash Back: Citi Double Cash
• Balance Transfer: Amex EveryDay
• 0% Purchases: U.S. Bank Platinum
• Business: Chase Ink Business Cash

​​​​​​​Closer Look: Elite Travel Cards with No Annual Fee

Bank of America Travel Rewards is an elite credit card with no annual fee because it has a large bonus and high earning rates. You get 20,000 bonus points when you spend $1,000 in your first 90 days. That ’s worth a $200 statement credit toward travel. You also earn 1.5 points per $1 on all purchases. And people with a Bank of America checking or savings account get an additional 10% per $1 spent on all purchases. Excellent credit is required.

Capital One VentureOne Rewards is an elite no annual fee credit card due to its ample rewards. It gives 20,000 bonus miles when you spend $1,000 in your first 3 months. That’s worth $200 toward travel. And you get 1.25 miles per $1 on all purchases, with 10 miles per $1 at hotels.com/venture. Good credit is required.

Elite Cash Back Cards with No Annual Fee

Chase Freedom Unlimited is an elite no annual fee card because of its bonus and 0% APR. You get a $150 cash bonus when you spend $500 in your first 3 months. And you earn 1.5% cash back on all purchases. There’s a 0% APR for 15 months on purchases and balance transfers (5% transfer fee). Excellent credit is required.

Citi Double Cash is an elite $0 annual fee credit card because it gives one of the highest cash back rates on the market for all purchases: 2% when you pay your bill in full. And there’s a 0% APR for 18 months on purchases and balance transfers (5% transfer fee). Good credit is required.

Elite Business Card with No Annual Fee

Chase Ink Business Cash is an elite no fee card because it has a lot of bonus categories. You get 5% cash back, up to $25,000 spent per year, on purchases at office supply stores and internet, cable and phone services. There’s 2% cash back, up to $25,000 spent per year, on gas and dining and 1% on all other purchases. You get a $500 cash back bonus when you spend $3,000 in your first 3 months. There’s a 0% APR for 12 months on purchases and balance transfers (5% transfer fee). You get employee cards at no cost. Excellent credit is required.

Elite 0% APR Cards with No Annual Fee

U.S. Bank Visa Platinum is elite because of its very long 0% APR period. You get 0% on purchases and balance transfers for 20 months. Transfers must be requested in the first 60 days to get the 0% rate, and there’s a 3% transfer fee. You also get free cell phone protection. Excellent credit is required.   

Amex EveryDay is elite because of its no-fee 0% balance transfers and extra points on groceries. You get a 0% APR for 15 months on purchases and balance transfers ($0 transfer fee in the first 60 days). You get 2 points per $1 on your first $6,000 spent on groceries per year and 1 point per $1 on all other purchases. Using your card 20 times in a month gets you 20% more points. There’s also a 10,000-point bonus when you spend $1,000 in your first 3 months. Good credit is required.

At the end of the day, elite and no annual fee are not always synonymous when it comes to credit cards. Cards with annual fees tend to offer more rewards and benefits. Generally, the higher the annual fee, the more rewards you get. Some of the most elite credit cards with fees include Capital One Venture and Barclaycard Arrival Plus.  

The best travel credit card with no annual fee is the Capital One VentureOne card because it offers an initial bonus of 20,000 miles for spending $1,000 in the first 3 months. It also rewards cardholders with at least 1.25 miles per $1 spent on all purchases (10 per $1 at hotels.com). VentureOne has a $0 foreign transaction fee in addition to its $0 annual fee.

If you aren’t planning to go anywhere too adventurous, consider the Discover it Miles card. Discover’s not accepted in as many international locations as Visa or Mastercard, but its US acceptance is pretty good. The Discover Miles card also has good rewards. It offers 1.5 miles per $1 spent on all purchases, doubled year one.

The best credit card with no annual fee and cash back is the Citi Double Cash Card, which gives unlimited 2% cash back on all purchases. But there are plenty of other great contenders. Among the rest of the best cash back credit cards with no annual fee are Capital One Quicksilver (unlimited 1.5% cash back and 0% financing for 15 months), the Wells Fargo Cash Wise Visa (unlimited 1.5% - 1.8% cash back) and Blue Cash Everyday from American Express (3% cash back on up to $6,000 spent per year on groceries). And the Discover it Cashback card gives 5% back in bonus categories that change every three months. It also doubles what you’ve earned at the end of your first year. 

The price you pay for no annual fee and cash back is the credit score needed for high approval odds  (700+). The one exception is the Discover it Secured card, which people with bad credit can get, as long as they’re willing to pony up a $200 refundable security deposit.

Here are the best credit cards with no annual fee and cash back:

• Citi Double Cash Card: no annual fee, unlimited 2% cash back, no initial bonus.
• Capital One Quicksilver Card: no annual fee, unlimited 1.5% cash back, $150 cash bonus for spending $500 in 3 months.
• Discover it Cashback Match: no annual fee, up to 5% cash back in certain categories, 1st year cash back doubled.
• Wells Fargo Cash Wise Visa Card: no annual fee, unlimited 1.5%+ cash back.
• Discover it Secured: no annual fee, up to 2% cash back, 1st year cash back doubled.
• Blue Cash Everyday Card from American Express: no annual fee, 3% cash back on first $6,000 spent on groceries, 2% back at gas stations and select departments stores.

Cash back gives flexibility and freedom when it comes to earning rewards. You’ll get a percentage back on every purchase, and you can spend your rewards however you like. Most of these cards offer great financing options as well. There’s 12 months no interest with the Wells Fargo Cash Wise and Amex Blue Cash Everyday cards. Or better yet, 15 months no interest with Capital One Quicksilver. So pick a card based on whatever secondary benefits work best for you.  

The best no annual fee credit card for no credit is the Capital One Platinum Card. In addition to its $0 annual fee, the Platinum Card has a $300 initial credit limit and gives access to a higher limit after the first 5 on-time payments. Capital One Platinum does not have rewards, but no annual fee and rewards are a tough combination to find if you have no credit.

You could consider secured cards, too. You’ll have to put up a security deposit to open the account and set your credit limit. But it’s fully refundable once you close your account with a $0 balance. One of the best secured cards is Discover it Secured. It gives 2% cash back on restaurant and gas purchases (first $1,000 spent per quarter). All other purchases get you 1% back. The minimum security deposit is $200.

One-third of Chase credit cards have no annual fee. Some offer sign-up bonuses, worth up to $500, and points, miles or cash back on every purchase. Others have 0% introductory APRs. All of the no annual fee Chase credit cards require good credit or excellent credit for approval.

The best Chase credit card with no annual fee is Chase Freedom because it offers a $150 bonus for spending $500 in the first 3 months and 5% back on the first $1,500 spent per quarter in rotating categories. Other top contenders are Chase Freedom Unlimited ($150 bonus and 1.5% cash back on purchases) and Chase Slate (0% APR on purchases and balance transfers for 15 months). There are also a few more options with a $0 annual fee for the first year only, including Chase Sapphire Preferred.

Here are the Chase credit cards with no annual fee:

• Chase Freedom
• Chase Freedom Unlimited
• Chase Slate
• Amazon Rewards Visa Signature
• Ink Business Unlimited
• Ink Business Cash
• United TravelBank
• Disney Visa
• AARP Credit Card

A Chase credit card with no annual fee will save you money in the long run, as you’re not paying to use the card every year. But that shouldn’t deter you from applying for a Chase card that charges an annual fee. If you travel regularly or plan to make a big purchase, you may end up earning enough rewards where the annual fee will pay for itself.

For example, if you earn the 50,000-point initial bonus with Chase Sapphire Preferred, those points are worth either a $500 statement credit or $625 in travel rewards. That pays for the Preferred card’s $95 annual fee for 5-6 years, in addition to the free first  year.

No, there is not a Southwest credit card with no annual fee. The lowest annual fee for a Southwest credit card is $69 with the Southwest Rapid Rewards® Plus Credit Card. Even though all of the Southwest credit cards currently have annual fees, they come with plenty of benefits to make that fee worth it for frequent Southwest Airlines flyers.

All Southwest credit cards come with signup bonuses, from 40,000 to 80,000 points. The cards also come with good ongoing rewards rates, and benefits like 2 free checked bags and upgraded boarding. Unlike some other airlines, Southwest doesn’t have any transfer partners. That means you can’t get a $0 annual fee credit card from another airline and transfer the rewards to Southwest. Because of that, Southwest credit cards are really only intended for frequent Southwest Airlines flyers.

There are a few credit cards whose rewards you can transfer to Southwest through the Chase Ultimate Rewards travel portal. Those cards include the Chase Sapphire Preferred and Sapphire Reserve cards, and the Chase Ink Business Preferred card. However, each of those credit cards has an annual fee. The best card for transferring points to Southwest is Sapphire Preferred, because it has the lowest annual fee at $95 and comes with a big signup bonus: 60,000 points after spending $4,000 in the first three months.

There are also a few credit cards from other airlines that have no annual fee.

A black credit card with no annual fee is the RBC Bank Visa Signature Black Credit Card. You’ll earn 1 point per $1 spent on all purchases. There’s also 0% interest for 6 months on purchases and balance transfers, with a 3% transfer fee. You’ll also get hotel upgrades, discounts on fine dining, and other travel privileges.

Black credit cards are a class of super-exclusive, high end credit cards that are black in color. While the RBC black card offers a decent set of benefits for no annual fee, it is hardly in the same league as the Black Gold Standard of black cards: The American Express Centurion card.

Shrouded in secrecy, the Centurion reportedly requires you to spend at least at least $250,000 a year on American Express cards. And that’s just to get an invitation to apply. If you are lucky enough to garner an invitation, you’re still on the hook for some hefty fees. The initiation fee is rumored to run between $5,000 and $7,000, and the annual fee is $2500.

The Mastercard Black Card doesn’t require an invitation or an initiation fee like the Centurion, but it does command a $495 annual fee.

A black credit card with no annual fee is a good deal when compared to its high-priced brethren. But for customers who don’t have the money high-end cards require, there’s much better value in rewards cards of all colors.

Rewards cards such as the Capital One Venture, Citi Double Cash and Chase Sapphire Preferred cards offer little in terms of social status. But cardholders will come away with a solid array of rewards and benefits without the ridiculously high fees.

The Discover it Secured Card is the best secured credit card with no annual fee because it gives 1% to 2% cash back on purchases and has a $0 foreign transaction fee to go along with its $0 annual fee. Discover it Secured also matches 100% of the cash rewards a new cardholder earns the first year. And it reports to all 3 major credit bureaus each month.

There are some other worthwhile options, too. The Capital One Secured Mastercard is the best secured card with no annual fee and a low deposit (as low as $49). And motorcycle fans will benefit from the Harley-Davidson Secured Card’s rewards. Whichever no annual fee secured card you choose, you’ll have the opportunity to build your credit for free if you pay your bill in full every month, since your deposit is fully refundable. But it pays to compare offers.

Best Secured Credit Cards with No Annual Fee:

• Discover it Secured Card. $0 annual fee. $0 foreign transaction fee. 2% cash back on the first $1,000 per quarter at restaurants and gas stations and 1% everywhere else. $200 minimum deposit.
• Capital One Secured Mastercard. $0 annual fee. $0 foreign transaction fee. No rewards. $49, $99 or $200 minimum deposit depending on creditworthiness. $200 credit limit.
• Harley-Davidson Secured Card. $0 annual fee. 3% foreign transaction fee. 1 Harley-Davidson rewards point per $1 spent. 2,500 points gets a $25 gift card. Entered for a chance to win a free motorcycle every time card is used through 12/31/2018.
• Citi Secured Mastercard. $0 annual fee. 3% foreign transaction fee. No rewards. $200 minimum deposit.

There are several really good secured credit cards with no annual fee, and they’re available even to people whose credit is damaged. Some actually offer competitive rewards.

Any no annual fee secured credit card is an excellent way to start building up a positive payment history and rebuilding one’s credit score. Eventually, it will be easier to qualify for unsecured credit cards with better terms. But unsecured cards for people with poor credit almost always charge annual fees.

The best credit cards with no annual fee and no foreign transaction fee are the Capital One VentureOne Visa and the HSBC Cash Rewards Mastercard. That’s because they offer the most rewards in addition to their lack of fees. Capital One VentureOne gives you a 20,000-mile bonus for spending $1,000 in the first three months, 10 miles per dollar at Hotels.com, and 1.25 miles per dollar everywhere else. With the HSBC Cash Rewards Mastercard, you get 1.5% cash back on all purchases. You also get a $150 initial bonus for spending $500 in the first three months, and 10% of all the cash you’ve earned over the year as an anniversary bonus

But the best credit card with no annual or foreign fees really depends on your credit standing and what type of rewards you’re looking for. Fortunately, there’s a whole range of attractive possibilities.

Here are the best credit cards with no annual fee and no foreign transaction fee:

• Travel Rewards: Capital One VentureOne Rewards Credit Card - 20,000-mile initial bonus for spending $1,000 in the first three months. 10 miles per $1 spent on hotels booked through hotels.com/venture, and 1.25 miles per $1 on all other purchases. The VentureOne card requires good credit.
• Cash Back: HSBC Cash Rewards Mastercard - 1.5% cash back on all purchases. $150 bonus for spending $500 in the first 3 months, and 10% of all the cash you’ve earned in the past year as an anniversary bonus. You’ll need good credit to get the HSBC Cash Rewards Mastercard. The Capital One Quicksilver Card is a close second.
• Hotel Points: Best Western Credit Card - 16,000 bonus points after you make your first purchase, and another 16,000 after your first Best Western stay. 13 points per $1 on Best Western stays, and 2 points per $1 on all other purchases. 10% discount when you book a room at the Rewards Member Rate on the Best Western site.This card requires good credit.
• Airline Miles: United TravelBank Card - $150 in TravelBank cash for spending $1,000 in your first three months. Each TravelBank dollar can be redeemed for $1 toward a United flight. 2% back on United tickets, and 1.5% on all other purchases. 25% off in-flight purchases on United flights. This card requires excellent credit.
• Bonus Rewards: Discover it - 5% cash back on a new set of bonus categories every three months, plus 1% cash back on all other purchases. 1st year anniversary bonus matches all the cash back you’ve earned. You need good credit to get this card.
• Dining: Capital One Savor Cash Rewards Card - $150 bonus for spending $500 in your first three months of card membership. 3% cash back on dining, 2% on groceries, and 1% on all other purchases. This card requires good credit.
• Students: Bank of America Travel Rewards Credit Card for Students - 20,000-point bonus for spending $1,000 in purchases within 90 days of opening your account. 3 points per $1 at the Bank of America Travel Center, and 1 point per $1 everywhere else. You can get this card with limited credit.
• Small Business: Capital One Spark Cash for Business - $500 bonus for spending $4,500 on purchases within 3 months of account opening. 2% cash back on all purchases. You need excellent credit to get this card.
• No Credit: Capital One QuicksilverOne Cash Rewards Credit Card - 1.5% cash back on all purchases. 50% statement credit for your Spotify Premium subscription until April 2018.
• Bad Credit: Discover it Secured Credit Card - 2% cash back at restaurants and gas stations, up to $1,000 spent each quarter. 1% cash back everywhere else. 1st year anniversary bonus matches all the rewards you’ve earned. You can get this card with bad credit.