4 Best Credit Cards With No Annual Fee [August 2022] - WalletHub | Best No Annual Fee Credit Cards, Best No Fee Credit Cards, No Annual Fee Credit Card, Credit Card With No Annual Fee

Best Credit Cards With No Annual Fee

Wells Fargo Active Cash® Card

The Wells Fargo Active Cash® Card is the best credit card with no annual fee because it offers cash rewards at an above-average rate on all purchases and is well-rounded overall.

Why We Like It: Wells Fargo Active Cash has a $0 annual fee and offers 2% cash rewards on all purchases, plus an initial bonus of $200 cash rewards after spending $1,000 in the first 3 months. For context, the average cash rewards card offers about 1% back on purchases.

Wells Fargo Active Cash can even save you some money on interest early on with its introductory APR of 0% for 15 months from account opening on purchases and qualifying balance transfers. It does require good credit for approval, though.

What We Don’t Like: This card has a high interest rate after its introductory APR promotion expires – at 17.24% - 27.24% Variable. You also need above-average credit to qualify.

Who Should Get It: Apply for the Wells Fargo Active Cash® Card if you have good credit or better and want a highly rewarding credit card that’s easy to manage.

Alternatives to Consider: Chase Freedom Unlimited® is another rewards card with no annual fee that’s a really good all-around option.

Discover it® Secured Credit Card

Discover it® Secured Credit Card is the best credit card with $0 annual fee for bad credit, especially if you want rewards.

Why We Like It: The Discover it® Secured Credit Card gives 2% cash back on the first $1,000 that you spend at restaurants and gas stations each quarter, along with 1% cash back on all other purchases. The cherry on top is a cash-back match at the end of the first year.

What We Don’t Like: You have to place a refundable security deposit of at least $200, for a credit limit equal to what you put down. But you wouldn’t be able to get a low fee or rewards without such a deposit.

Who Should Get It: Apply for the Discover it® Secured Credit Card if you’re building or rebuilding credit and want to get a card with high approval odds without sacrificing great terms.

Alternatives to Consider: The Secured Sable ONE Credit Card has rewards similar to the Discover it® Secured Credit Card, and there’s no credit check when you apply.

Capital One SavorOne Cash Rewards Credit Card

The Capital One SavorOne Cash Rewards Credit Card is one of the best all-around credit cards with no annual fee, especially if you want bonus rewards.

Why We Like It: In addition to a $0 annual fee, a $0 foreign transaction fee and 0% introductory APRs on purchases and balance transfers, this card offers great cash back rewards. Capital One SavorOne cardholders who spend $500 within 3 months of opening an account get a bonus of $200. All cardholders also earn 1 - 5% cash back in rewards on purchases. Dining, entertainment, popular streaming services and grocery store purchases get bonus rewards.

What We Don’t Like: This card has a high regular APR and its minimum rewards rate is average.

Who Should Get It: Apply for the Capital One SavorOne Cash Rewards Credit Card if you have good credit or better and spend a lot on dining, entertainment, streaming services and groceries.

Alternatives to Consider: The Capital One Savor Cash Rewards Credit Card is worth considering if you’re a big spender. It has an annual fee but gives better rewards.

Petal® 2 Visa® Credit Card

The Petal 2 Visa Credit Card is the best credit card with no annual fee for people with fair credit, or even no credit.

Why We Like It: The key things you need to know are that it has no annual fee, no foreign transaction fee, and rewards of 1 - 1.5% cash back. The more on-time monthly payments you have in a row, the more you’ll earn in rewards. Applicants with limited-to-no credit history shouldn’t have too much trouble getting approved, either. As a result, the Petal 2 Visa Card can help you build credit inexpensively if used responsibly, and it’s an elite starter credit card.

What We Don’t Like: It takes months of good behavior to get a truly competitive rewards rate, and carrying a balance from month to month would be quite expensive.

Who Should Get It: Apply for the Petal 2 Visa Credit Card if you have limited-to-fair credit, plan to pay the bill on time every month and want to earn cash back rewards.

Alternatives to Consider: The Capital One QuicksilverOne Cash Rewards Credit Card is a good rewards card for limited credit or better, but it charges an annual fee.

Discover it® Miles

The Discover it® Miles card is the best travel credit card with no annual fee.

Why We Like It: Discover it® Miles gives 1.5 miles per $1 spent on purchases and doubles whatever you earn the first year as an anniversary bonus. Discover it® Miles also has a 0% foreign transaction fee to go along with its $0 annual fee, and it makes rewards redemption easy.

What We Don’t Like: This card isn’t nearly as rewarding after you earn its first-anniversary bonus. It also has a high regular APR.

Who Should Get It: Apply for Discover it® Miles if you have good credit and plan to spend a lot in the coming 12 months.

Alternatives to Consider: The Chase Freedom Unlimited® and the Capital One VentureOne Rewards Credit Card are both good options for travel rewards with no annual fee.

Chase Freedom Unlimited®

The Chase Freedom Unlimited® card is one of the best all-around credit cards with no annual fee.

Why We Like It: Chase Freedom Unlimited® rewards cardholders with 1.5 - 5% cash back, plus an extra 1.5% cash back on everything, up to $20,000 spent in the first year. New cardholders also enjoy introductory APRs of 0% for 15 months on purchases and balance transfers.

What We Don’t Like: This card does not have a low APR after the introductory promotional rate expires - 16.49% - 25.24% (V). You also need to book travel through Chase to get bonus rewards, which limits your ability to comparison-shop.

Who Should Get It: Apply for Chase Freedom Unlimited® if you have good credit or better and the card’s bonus rewards categories match up well with your spending habits.

Alternatives to Consider: The Wells Fargo Active Cash® Card is another really good all-around credit card offer.

Bank of America® Travel Rewards Credit Card for Students

The Bank of America® Travel Rewards Credit Card for Students is one of the best student credit cards with no annual fee.

Why We Like It: It offers an initial rewards bonus of 25,000 points, in return for spending $1,000 within 90 days of opening an account. It also gives 1.5 - 3 points per $1 in rewards on purchases, with travel booked through Bank of America earning the top rate.

Plus, this card does not charge either annual fees or foreign transaction fees, and it is available to students with limited or no credit.

What We Don’t Like: If you don’t pay the bill in full every month when the regular APR is in effect, interest charges will get quite costly.

Who Should Get It: Apply for the Bank of America® Travel Rewards Credit Card for Students if you’re a college student with limited credit who would like to do some traveling in the fairly near future.

Alternatives to Consider: There are lots of good options to consider among WalletHub’s editors’ picks for the best student credit cards.

Final Thoughts

WalletHub’s editors compared more than 900 credit cards with no annual fees to identify the top options in the most popular categories. There are lots of really good offers, as you can see.

For your convenience, we’ll recap our editor’s picks for the best free credit cards that you can apply for right now, below.

Best Credit Cards with No Annual Fee Comparison

Credit Card	Best For	Annual Fee
Wells Fargo Active Cash® Card	Cash Back	$0
Discover it® Secured Credit Card	Bad Credit	$0
Capital One SavorOne Cash Rewards Credit Card	No Foreign Transaction Fee	$0
Petal® 2 Visa® Credit Card	Fair Credit	$0
Discover it® Miles	Travel	$0
Bank of America® Travel Rewards Credit Card for Students	College Students	$0
Chase Freedom Unlimited®	All-Around	$0

How to Find The Best No Annual Fee Card For Your Needs

Finding the best no annual fee credit card for your needs doesn’t have to be complicated. You just need to know your credit score and how you plan to use your new card. The lower your credit score is, the more important it is for you to get a no annual fee credit card. After all, low-cost credit improvement should be your top priority. And a no annual fee credit card can be completely free to use, as long as you pay any balance owed by the due date every month and avoid actions that will trigger any one-off fees that your card may charge. The best “free” credit cards also eliminate other potential costs, adding 0% introductory APRs and $0 foreign transaction fees to the mix.

Still, things aren’t so clear cut for people with good or excellent credit. Many of the best rewards credit cards charge annual fees, at least beginning the second year your account is open, but their generous benefits can more than make up for the cost if you use your card regularly.

Trying to choose the best no annual fee credit card also is a bit like picking a single greatest movie of all time. You might be able to whittle your list down to five or 10 favorites, but some classics are going to be left out when you pare things down to one choice. It’s tough even with one genre – say, the best comedies or the best no annual fee credit cards with cash back rewards – let alone overall.

The answer can change based on who you are and what you’re in the mood for.

If you want an initial bonus, the best no annual fee credit card is the Capital One SavorOne Cash Rewards Credit Card because it gives people with good or excellent credit $200 for spending $500 within 3 months of opening an account. Similarly, the best credit card with no annual fee and travel rewards is Capital One VentureOne, offering a bonus worth $200 in travel for spending $500 in the first 3 months.

Methodology for Selecting the Best No Annual Fee Credit Cards

To identify the market’s best credit cards with no annual fee, WalletHub’s editors regularly compare more than 1,500 credit card offers. In addition to annual fees, we consider cards’ rewards, interest rates, approval requirements, and secondary benefits in order to pick the best no annual fee credit cards in the most popular usage categories. Selections range from the best rewards credit cards with no annual fee to the best credit cards with no annual fee for building credit.

WalletHub’s editors update their selections for the best credit cards with no annual fees when warranted, based on changes to existing offers, new offers being introduced, and cards being discontinued.

Why People Trust WalletHub

Unlike other sites that only recommend cards from their advertising partners, WalletHub editors focus on finding the best cards.

About the Author

John S Kiernan

John Kiernan has covered the credit card industry for more than 10 years as a writer and editor for WalletHub. His work has been featured by major media outlets such as The Washington Post and The New York Times and has been cited by industry regulators such as the Consumer Financial Protection Bureau.

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Best No Annual Fee Credit Cards FAQ

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What Chase credit card has no annual fee? Reply 49 2

Lawrence Stone, Wallethub Credit Card Analyst

Several Chase credit cards have no annual fee. Some of them also offer good sign-up bonuses, as well as rewards. Others have 0% introductory APRs. One of the best Chase credit cards with $0 annual fee is Chase Freedom Unlimited. This card offers 1.5 - 5% cash back. Plus, it comes with an intro APR of 0% for 15 months on both purchases and balance transfers. The card’s regular APR is 16.49% - 25.24% (V). Most no annual fee Chase credit cards require at least good credit for approval.

Chase credit cards with no annual fee:

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 60,000 points initial bonus with the Chase Sapphire Preferred® Card and those points are worth hundreds of dollars. That pays for the card’s $95 annual fee for several years.

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49 Upvotes

When is a credit card annual fee worth it? Reply 20 0

WalletHub

Credit cards with annual fees are worth it when they save you more than they cost you, especially if your savings exceed what the best no annual fee credit cards available to you would provide. Paying an annual fee on a credit card can unlock bigger initial rewards bonuses, higher ongoing earning rates, and a variety of additional benefits. But you need to make sure you get your money’s worth and actually use the perks you’re paying extra for. If you don't, a credit card that does not charge annual fees may offer better long-term value.

Times When a Credit Card Annual Fee Is Worth It

When you can spend enough on the card to earn rewards worth more than the annual fee

Rewards can come as cash back, points, or miles, and if you spend enough to earn lots of them, the rewards alone can pay for your annual fee. If your card gives 1.5% back on purchases and the annual fee is $95, for instance, you’ll have to spend about $6,350 annually to break even with ongoing rewards alone.

When the perks your card offers are things you’re going to buy and use anyway

Annual travel credits, airport lounge memberships, TSA Pre-Check application credits, and free hotel nights are a few high-value perks offered by some credit cards. If you were planning to spend money on these things anyway, the annual fee on a credit card might start to seem like a deal.

When it would save you more than the best card with no annual fee

If you crunch the numbers and determine that a card with an annual fee would save you the most money at the end of the day, even considering the fixed yearly cost, then go for it. Just make sure to reevaluate if your spending or payment plans change.

To figure out if a credit card’s annual fee is going to be worth paying, consider how much you spend – overall and in the card’s major rewards categories. Then calculate how much you would earn with each card’s rewards structure. And evaluate the practical value of the card’s other perks – it’s good to be realistic about how often you’ll use them. Finally, subtract the annual fee. The remainder is how much the card could save you, assuming you pay the bill in full every month and avoid finance charges.

For personalized credit card recommendations, sign up for a WalletHub account, or use WalletHub’s CardAdvisor for a more general sense of what credit card you should get.

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20 Upvotes

What credit cards can I get with bad credit that have no annual fees? Reply 16 1

Mark Towers, WalletHub Credit Card Analyst

A good credit card that you can get with bad credit and a $0 annual fee is the Capital One Platinum Secured Credit Card. This is a partially-secured credit card, ideal for people who want to build credit at a low cost. Capital One Platinum Secured has a $200 starting credit limit and requires a refundable security deposit of $49, $99 or $200, based on your creditworthiness.

Best Credit Cards for Bad Credit with No Annual Fees in 2022

Overall: Capital One Platinum Secured Credit Card
High Deposit Limit: U.S. Bank Secured Visa® Card
Cash Back: Capital One Quicksilver Secured Cash Rewards Credit Card
Low Minimum Deposit: Secured Sable ONE Credit Card

The best no annual fee credit cards for bad credit are usually secured credit cards. Even though these cards require a security deposit, they can still be a lot cheaper in the long run when compared to unsecured credit cards for damaged credit, which usually do charge annual fees. You can compare more no annual fee credit card offers based on your credit score, on WalletHub.

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16 Upvotes

What are the best credit cards for fair credit with no annual fee? Reply 17 2

Lisa Cahill, Credit Cards Moderator

One of the best credit cards for fair credit with no annual fee is the Upgrade Cash Rewards Visa® because it offers unlimited 1.5% cash back on all purchases (after you pay the bill) and has a $0 annual fee. But there are several other good options, too.

Best Credit Cards for Fair Credit with No Annual Fee

Best Overall: Upgrade Cash Rewards Visa®
Cash Back Rewards: Petal® 2 Visa® Credit Card
Easy Approval: Capital One Platinum Credit Card
No Credit Check: Secured Sable ONE Credit Card
Grocery Shopping: Capital One Walmart Rewards® Mastercard®
Amazon Prime: Amazon.com Store Card

Many credit cards for fair credit with no annual fee are store cards. You can only use them at a particular retailer, but some do still give excellent rewards. For example, the Amazon.com Store Card offers 5% cash back on all Amazon purchases. But you have to be an Amazon Prime member to get that perk.

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17 Upvotes

What's the best travel credit card with no annual fee? Reply 77 3

WalletHub

The best travel credit card with no annual fee is the Bank of America® Travel Rewards credit card because it offers an initial bonus of 25,000 points for spending $1,000 in the first 90 days. It also rewards cardholders with unlimited 1.5 points / $1 spent on all purchases. Plus, the Bank of America Travel Rewards credit card has a 0% foreign transaction fee in addition to its $0 annual fee.

Best Travel Credit Cards with No Annual Fee

Overall Bank of America® Travel Rewards credit card
Flexible Booking Capital One VentureOne Rewards Credit Card
Travel Rewards Chase Freedom Unlimited®
Rewards Match Discover it® Miles
Students Bank of America® Travel Rewards Credit Card for Students
Business Capital One Spark Miles Select for Business

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

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77 Upvotes

What is the best credit card signup bonus with no annual fee? Reply 17 1

WalletHub

The best credit card for a signup bonus with no annual fee is Chase Freedom Unlimited®, which has a $0 annual fee and gives 5% cash back on travel through Chase, 3% back at restaurants and drugstores, and 1.5% back on all other purchases (plus an additional 1.5% cash back on everything, up to $20,000 spent the first year).

Best Credit Card Signup Bonuses with No Annual Fee

Best Cash Back Bonus Chase Freedom Unlimited®
Best Travel Bonus Bank of America® Travel Rewards credit card
Best Airline Bonus United Gateway℠ Credit Card
Best Hotel Bonus Choice Credit Card
Best for Good Credit Capital One SavorOne Cash Rewards Credit Card
Best Business Bonus Ink Business Cash® Credit Card

There are larger signup bonuses out there, but you may have to pay an annual fee to get them. You could still come out ahead though. The best approach is to compare the best credit card bonus offers after subtracting any fees they may charge. You can then pick the card that will save you the most at the end of the day.

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17 Upvotes

Are there any elite credit cards with no annual fee? Reply 95 8

Maria Adams, Credit Cards Moderator

Yes, there are several elite credit cards with no annual fee, the best of which is the Capital One VentureOne Rewards Credit Card. This card requires a minimum of good credit for approval and offers perks such as 1.25 - 5 miles per $1 spent on purchases and an initial bonus of 20,000 miles for spending $500 in the first 3 months of account opening.

Here are some of the best elite credit cards with no annual fee:

Overall: Capital One VentureOne Rewards Credit Card

The Capital One VentureOne is an elite $0 annual fee credit card due to its ample rewards. It gives 20,000 miles for spending $500 in the first 3 months. Plus, you get 5 miles per $1 spent on hotels and rental cars booked through Capital One Travel, and 1.25 miles per $1 on all other purchases. Capital One VentureOne comes with intro APRs of 0% for 15 months on purchases and balance transfers. Its regular APR is 16.49% - 26.49% (V) and the balance transfer fee is 3%. Good credit is required.

Cash back: Citi® Double Cash Card – 18 month BT offer

The Citi Double Cash Card 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% cash back when you pay at least the minimum due on time. And there’s a 0% for 18 months intro APR for balance transfers. There is a 3% intro fee ($5 min) for each transfer in first 4 months, after that 5% ($5 min) for each transfer. This card’s regular APR is 16.24% - 26.24% (V). Good credit is required.

Balance transfers: U.S. Bank Visa® Platinum Card

The U.S. Bank Platinum is elite because of its very long 0% intro APR period. You get a 0% APR on purchases and balance transfers for 20 billing cycles. The card’s regular APR is 16.74% - 26.74% (V). Transfers must be requested in the first 60 days to get the 0% rate, and there’s a 3% (min $5) transfer fee. You also get free cell phone protection. Good credit is required.

0% APR: The Amex EveryDay® Credit Card from American Express

The Amex EveryDay card is elite because of its 0% intro APR for 15 months on purchases. Amex EveryDay’s regular APR is 15.24% - 26.24% (V). You can earn 2 points per $1 spent on travel booked through amextravel.com and at supermarkets (up to $6,000 per year), and 1 point per $1 spent on all other purchases. Using your card 20 times in a month earns you 20% more points. There’s also a welcome bonus of 10,000 points after spending $2,000 in the first 6 months. Good credit is required.

Business: Ink Business Cash® Credit Card

The Ink Cash is an elite $0 annual fee card because it has a lot of bonus categories. You get 1 - 5% cash back, depending on the type of purchase. You can also get an initial bonus of $750 for spending $7,500 in the first 3 months. There’s a 12 months intro APR on purchases. This card’s regular APR is 14.74% - 20.74% (V). You get employee cards at no cost. 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 the Capital One Venture Rewards Credit Card and the Chase Sapphire Preferred® Card.

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Ask the Experts

For more advice on how people should think about no annual fee credit cards, including when getting one is most important, we posed the following questions to a panel of personal finance experts. You can check out their bios and responses below.

Do you think consumers put too much emphasis on a credit card’s annual fee?
Are there any situations when it’s especially important to get a credit card with no annual fee?
How much money do you think people waste on annual fees for cards they no longer use?
Do you think everyone should have at least one no-annual-fee credit card in their wallets?

Andy Terry
Ph.D., CFA, Professor of Finance, Department of Economics and Finance, University of Arkansas at Little Rock
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Andrew Macdonald
CFA, CFP®, Adjunct Professor of Finance, Knauss School of Business, University of San Diego
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Adel Varghese
Instructional Associate Professor, Texas A&M University, Liberal Arts and Social Sciences, Department of Economics
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Akash Dania
Ph.D., Professor of Finance, Editor-in-Chief, Accounting and Finance Research, College of Business, Delaware State University
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Mahmoud Haddad
Professor of Finance, The University of Tennessee at Martin
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Joseph D. Vu
Associate Professor, Department of Finance, DePaul University - Driehaus College of Business
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More Experts

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Best Credit Cards With No Annual Fee