Best no annual fee credit cards of February 2025
Tired of paying credit card annual fees? You don’t have to sacrifice rewards, perks, or intro APR offers to avoid them. CardRatings editors have curated a list of the top no annual fee credit cards that deliver exceptional value.
Contrary to popular belief, no annual fee credit cards aren’t just basic plastic. They can offer robust rewards, generous welcome bonuses, intro 0% APR periods, and additional perks like exclusive travel benefits and rental car insurance.
Don’t settle for a mediocre card. Choose a no annual fee credit card that fits your lifestyle and financial goals!
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CardRatings’ top picks for no annual fee credit cards
Looking for a credit card that won’t break the bank? Our experts have handpicked the top no annual fee credit cards that offer exceptional value. Whether you’re seeking rewards, low-interest rates, or travel perks, you’re sure to find the perfect card to fit your needs.
Why we like it
Discover will match all of the rewards you've earned at the end of your first year as a cardholder. For example, $300 in rewards will actually equate to $600 in rewards thanks to this offer. That's an incredibly lucrative offer for a card with no annual fee.
Discover will match all of the rewards you've earned at the end of your first year as a cardholder. For example, $300 in rewards will actually equate to $600 in rewards thanks to this offer. That's an incredibly lucrative offer for a card with no annual fee.
- You can earn 5% cash back in multiple categories (up to a quarterly max and activation is required) which is one of the highest rewards rates available for day-to-day purchases.
- The welcome bonus could be quite lucrative thanks to the Cashback Match offer.
- This card also offers a nice intro 0% APR period which can really add to cardholder savings.
- There are a lot of purchase categories to keep track of which can get confusing. You’ll also need to remember to activate the 5% rotating categories.
- The welcome bonus could be worth quite a lot but it's a delayed gratification situation – you'll have to wait to the end of your first year as a cardholder for Discover to match the cash back you earned during that year.
Why we like it
This card offers a straightforward 1.5% cash back on every purchase, all with no annual fee. Even better, Bank of America Preferred Rewards clients can earn a substantial bonus, boosting their cash back by 25% to 75% over the standard rate.
This card offers a straightforward 1.5% cash back on every purchase, all with no annual fee. Even better, Bank of America Preferred Rewards clients can earn a substantial bonus, boosting their cash back by 25% to 75% over the standard rate.
- If you are a Bank of America Preferred Rewards member, you can earn 25% to 75% more cash back. So instead of 1.5% cash back, you might get as much as 2.62% cash back on every purchase.
- This card works great along other Bank of America credit cards which earn cash back in bonus categories. Use this card alongside those cards for a bonus on all "other" purchases.
- This card comes with a welcome bonus which isn’t always a guarantee with no-annual-fee cards.
- This card is all about simplicity. Its ongoing rewards rate is fine for a no-annual-fee card, but if you’re willing to implement a little strategy, you could stand to earn more with a tiered or rotating-rewards option. Even one without an annual fee.
Why we like it
This cardholder-choice cash-back rewards card offers solid rewards on everyday purchases, but it's the opportunity to choose a category in which you'll earn top rewards (from among a list of six options) that makes it truly special.
This cardholder-choice cash-back rewards card offers solid rewards on everyday purchases, but it's the opportunity to choose a category in which you'll earn top rewards (from among a list of six options) that makes it truly special.
- One of the largest benefits of this card revolves around the ability to choose your preferred top rewards-earning category so you're earning top rewards where you spend the most (up to $2,500 in combined choice category/grocery store/wholesale club purchases quarterly).
- If you are a Preferred Rewards client at Bank of America, you can earn 25%-75% more on every purchase depending on your Preferred Rewards tier (tiers are based on total account balances).
- Take advantage of a intro_apr_rate intro_apr_duration as well as on balance transfers made within the first 60 days. After the intro periods, the APR becomes a RegAPR.
- This card does charge foreign transaction fees, so this is one you may want to leave in your wallet when traveling internationally.
- If you aren’t a Bank of America Preferred Rewards client, you don’t get nearly as much cash back value out of the card.
- Be aware that you can only change your 3% rewards earning category once per month, so if you have a large upcoming expense in a different category than you already chose you may not earn the full cashback potential of the card.
Why we like it
Travel rewards cards often come with annual fees, which is why a card that features no annual fee, no foreign transaction fees and healthy rewards opportunities really catches our attention.
Travel rewards cards often come with annual fees, which is why a card that features no annual fee, no foreign transaction fees and healthy rewards opportunities really catches our attention.
- Being able to redeem credit card rewards to cover dining purchases could transform your travel budget.
- The welcome bonus offer is very good for a no-annual-fee travel rewards card.
- A flat-rate rewards card is easy, but it isn't the fastest way to earn rewards.
- There aren't a lot of extra perks and features on this card, which isn't unexpected given it doesn't charge an annual fee, but it's still something to keep in mind.
Why we like it
This is a tiered cash-back card that accumulates rewards as Ultimate Rewards bonus points. Those points can be combined with the points you earn through some other Chase cards, which means that you can think of this card as either a cash-back card or, if you want, a travel rewards card since points through Chase Travel℠ are coveted travel rewards.
This is a tiered cash-back card that accumulates rewards as Ultimate Rewards bonus points. Those points can be combined with the points you earn through some other Chase cards, which means that you can think of this card as either a cash-back card or, if you want, a travel rewards card since points through Chase Travel℠ are coveted travel rewards.
- The points that are earned with the Freedom Unlimited® card can be combined with the Ultimate Rewards points earned from other Chase cards, like the CardName, and redeemed to possibly make the points earned worth even more.
- With at least 1.5% cash back earned on every purchase this card has a very good and simple rewards earning rate.
- Chase Freedom Unlimited® does charge a foreign transaction fee of foreign_fee, so you may want to use a different card while travelling abroad.
- There are a lot of tiers to keep up with to truly maximize your earning; therefore, if simplicity is your goal, you might look for a flat-rate card instead.
Why we like it
Four words: No foreign transaction fees. That rarity among cash-back rewards cards, plus the rewards-earning opportunity, make this an excellent no-annual-fee option in our books.
Four words: No foreign transaction fees. That rarity among cash-back rewards cards, plus the rewards-earning opportunity, make this an excellent no-annual-fee option in our books.
- The intro 0% APR offer is a valuable perk that could help save cardholders money on interest charges.
- The 1.5% cash back earned on every purchase is easy-to-remember and can be lucrative. It's a nice combo for a no-annual-fee card.
- There are no foreign transaction fees charged by this card, a rarity among cash-back rewards cards.
- The 1.5% earned on every purchase is great for straightforward earning, but you can earn higher rewards on specific categories with different cards if you're willing to be strategic.
- Savvy credit cardholders may want to have this card in their wallet and use it in tandem with a card with rotating spending categories to earn the most rewards possible on purchases made.
Why we like it
Tiered rewards cards offer a balanced approach to credit card rewards. They demand more strategic thinking than flat-rate cards but less than rotating category or cardholder-choice cards. This card is a great option for anyone looking to up their rewards strategy without overcomplicating things. American Express is a CardRatings advertiser.
Tiered rewards cards offer a balanced approach to credit card rewards. They demand more strategic thinking than flat-rate cards but less than rotating category or cardholder-choice cards. This card is a great option for anyone looking to up their rewards strategy without overcomplicating things. American Express is a CardRatings advertiser.
- This card has excellent everyday rewards earning making it a great option for a wide group of spenders.
- The new cardholder welcome bonus offer is solid for a no-annual-fee card.
- Take advantage of an intro 0% APR offer that can help to save you some money on interest payments.
- Foreign transactions fees with the card should dissuade you from using it internationally or you will be paying these fees with every purchase made in a foreign currency.
- The bonus cash back earning categories can be great for those who spend in these categories regularly, but if not there are likely cards that have either more broad bonus categories or categories that fit your spending habits better.
Why we like it
This is a card designed to reward all your food adventures, from dining out to experimenting in your own kitchen. And, since everyone has to eat and this card doesn't even charge an annual fee, this could be the perfect card for a lot of different people.
This is a card designed to reward all your food adventures, from dining out to experimenting in your own kitchen. And, since everyone has to eat and this card doesn't even charge an annual fee, this could be the perfect card for a lot of different people.
- No foreign transaction fees allows you to use this card with peace of mind while traveling abroad.
- Unlimited 3% cash back at grocery stores (excluding superstores like Walmart® and Target®), on dining, entertainment and popular streaming services are some of the best rewards earning rates on the market for a no-annual-fee card.
- As this card is designed as a cash-back rewards card, it is difficult to redeem rewards earned for things other than cash back and still get good redemption values.
Why we like it
This card lets you earn a generous 5% cash back on up to $1,500 in combined purchases within rotating bonus categories each quarter you activate. Since these categories often align with everyday spending, this card can be incredibly rewarding. Information has been collected independently by CardRatings and was neither reviewed nor provided by the card issuer.
This card lets you earn a generous 5% cash back on up to $1,500 in combined purchases within rotating bonus categories each quarter you activate. Since these categories often align with everyday spending, this card can be incredibly rewarding. Information has been collected independently by CardRatings and was neither reviewed nor provided by the card issuer.
- There’s a nice intro APR offer for cardholders looking for some extra time to pay off purchases interest free.
- The welcome bonus should be quite manageable for many cardholders to obtain. No-annual-fee cards don’t always offer welcome bonuses so it’s nice that this card offers that, as well as an intro APR offer.
- There's a ton of rewards-earning potential here, but there are several categories to keep up with. If you'd rather not think about when and where you use your credit card, a flat-rate card may be a better fit for you.
- You must opt in to the rewards categories each quarter. It’s quick and easy, but unfortunately, if you forget, you won’t earn the bonus.
Why we like it
No annual fee and no work on your end to earn rewards? That’s what we like to see! Enjoy effortless rewards with automatic 5% cash back in your top spending category each billing cycle—putting money back in your pocket without any hassle. Citi is a CardRatings advertiser. Information has been collected independently by CardRatings and was neither reviewed nor provided by the card issuer.
No annual fee and no work on your end to earn rewards? That’s what we like to see! Enjoy effortless rewards with automatic 5% cash back in your top spending category each billing cycle—putting money back in your pocket without any hassle. Citi is a CardRatings advertiser. Information has been collected independently by CardRatings and was neither reviewed nor provided by the card issuer.
- Earn 5% cash back on purchases in your top eligible spend category each billing cycle, up to the first $500 spent (1% cash back thereafter) - there are no category enrollments to worry about or no need to juggle reward tiers. On everything else you purchase, you’ll get 1% cash back.
- This card offers a valuable intro APR opportunity so it’s good for cardholders looking for some extra time to pay off purchases interest free before the regular APR applies.
- There’s a decent welcome bonus which is always a nice perk for a no-annual-fee card.
- If you're willing to keep up with rotating bonus categories or you're okay managing a tiered-rewards structure, you may stand to earn more rewards with another card.
Why we like it
A flat-rate cash-back rewards card that offers you as much as 2% cash back on your purchases is certainly a card worth considering. As an added perk, this card features a lengthy intro 0% APR offer so it could save you some serious money if you have an existing balance on another card that you need a little extra time to pay off.
A flat-rate cash-back rewards card that offers you as much as 2% cash back on your purchases is certainly a card worth considering. As an added perk, this card features a lengthy intro 0% APR offer so it could save you some serious money if you have an existing balance on another card that you need a little extra time to pay off.
- One of the largest benefits of this card is the ability to earn unlimited 1% cash back when a purchase is made and an additional 1% when you pay for the purchase – encouraging you to pay off your purchases made with card.
- Earning effectively 2% cash back on a card (after purchases have been paid) for all purchases is very good in the no-annual-fee card space.
- For a little extra bonus, the card offers a nice intro APR offer, allowing you the flexibility to transfer in another balance and save on interest.
- Even though the card does not have an annual fee, it does charge a balance transfer fee: BalanceTransferFees.
- This card does have a foreign_fee foreign transaction fees, so it may be the card that you leave at home for your next international trip.
- The intro APR offer is one of the best on the market, but it does not apply to new purchases, so if you are transferring in other balances this is a benefit but not if you are looking to carry a balance with new purchases made.
Why we like it
Business owners are always looking to cut expenses, so a no-annual-fee credit card that rewards you for your everyday business purchases is a nice find. And, this one offers you up to 5% cash back on some common business purchases.
Business owners are always looking to cut expenses, so a no-annual-fee credit card that rewards you for your everyday business purchases is a nice find. And, this one offers you up to 5% cash back on some common business purchases.
- For frequent spend categories like office supplies, internet, cable and phone services, the 5% cash back earned, up to $25,000 annually, is among of the best in the market.
- The intro 0% APR on purchases for intro_apr_duration (then, RegAPR) is a great benefit for a business owner with some start-up costs or a major purchase on the horizon.
- The new cardholder welcome bonus is a solid offer, especially for a no-annual-fee card.
- The $25,000 annual cap on bonus category spend could be limiting if you frequently make purchases in these categories.
- This card does charge foreign transaction fees.
- The 5% cash back is specific to these categories, so if your business expenses are more varied, you might be better off with a card that offers bonus rewards on all purchases instead of just in select categories.
Why we like it
No two businesses are exactly alike, which is why it's nice that this card offers cardholders the opportunity to earn 2x points on all your eligible purchases up to $50,000 spent in a calendar year (then, one point per $1 spent; terms and limitations apply). No categories to worry about means this card could be an excellent fit for just about any small business.
No two businesses are exactly alike, which is why it's nice that this card offers cardholders the opportunity to earn 2x points on all your eligible purchases up to $50,000 spent in a calendar year (then, one point per $1 spent; terms and limitations apply). No categories to worry about means this card could be an excellent fit for just about any small business.
- With Expanded Buying Power, you can spend beyond your credit limit. Just remember, the amount you can spend above your credit limit is not unlimited. It adjusts with your use of the card, your payment history, and credit record.
- With the 0% intro APR offer on purchases for intro_apr_duration (then RegAPR) you can make some initial business purchases without incurring additional fees.
- This card does charge a foreign transaction fee, so it may be best to leave this one at home while abroad.
- If your spending is beyond the $50,000 annual spend cap on bonus rewards, a card with no spending cap or at least a higher one might translate to more rewards.
Why we like it
Flat-rate cash back means one less thing for busy business owners to think about. Rack up cash-back rewards no matter where your (or your employees) use the card.
Flat-rate cash back means one less thing for busy business owners to think about. Rack up cash-back rewards no matter where your (or your employees) use the card.
- With unlimited 1.5% cash back earned on all purchases made, this card makes rewards earning very simple and straightforward.
- The welcome bonus available to new cardholders is generous.
- There are no foreign transaction fees with this card so you can use it while traveling internationally without additional fees incurred. Even if your business doesn't travel abroad often, you could save those fees if you purchase with merchants who charge in a foreign currency.
- If your business spend is in particular categories, there may be a better card that will help you to earn maximum rewards in the categories that your business frequently spends in.
- If you spend more than $1,000 monthly with this card, especially after the first year, you may be better off with the annual fee version of this card, CardNamediscontinued. See Rates and Fees
Compare the best no annual fee credit cards by perks and features
Want to see how our picks for the best no annual fee credit cards stack up against each other? Our comparison tool makes it easy to compare up to three cards at a time. Simply select the cards you’re interested in and we’ll automatically display their key perks and features side-by-side. With a quick glance, you can easily identify the card that best suits your needs and preferences.
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Compare the best credit cards with no annual fee by user ratings
By analyzing real-world user experiences, we have developed a robust rating system that reflects the performance and value of various credit cards based on consumer insights. This chart allows you to easily compare these ratings side-by-side, enabling informed decision-making based on the feedback of actual cardholders.
How did each of our winning cards rate according to you?
CardRatings commissioned Slice MR in November 2024 to survey 1,666 cardholders nationwide. Responses were given on a scale of 1-10 and respondents’ ratings were then averaged under broad topics.
How did each of our winning cards rate according to you?
CardRatings commissioned Slice MR in November 2024 to survey 1,666 cardholders nationwide. Responses were given on a scale of 1-10 and respondents’ ratings were then averaged under broad topics.
COST EFFECTIVENESS
REWARDS SATISFACTION
CUSTOMER SERVICE
WEBSITE/APP USABILITY
LIKELIHOOD OF CONTINUING TO USE
RECOMMEND TO A FRIEND/COLLEAGUE
Survey results by card
Select a card below to see the results for each card.
Survey methodology: CardRatings commissioned Slice MR in November 2024 to survey 1,666 cardholders nationwide. CardRatings’ website analytics from Jan. 1, 2024-Oct. 31, 2024 were used to determine a selection of the most popular cards. Responses to 10 questions were given on a scale of 1-10. For nine of these questions, respondents’ scores were averaged under broad topics. The overall rating represents an average of respondents’ responses to their overall rating of each card. “Cardholder favorite” cards are those scored in the top 10 overall.
Ask CardRatings’ experts
Are no annual fee credit cards worth it?
Some of the best cash back credit cards on the market today don't have an annual fee, which makes them absolutely worth it if you can earn rewards without paying interest on new purchases. Several offer 2% cash back on everything you buy, plus generous sign-up bonuses when you meet a minimum spending requirement in the first few months.
No annual fee credit cards can be worth it for anyone who can’t stomach the idea of paying for a card, regardless of what that card may offer. There are plenty of no annual fee cards that earn cash back or rewards and some offer other potential valuable benefits like intro APR offers or purchase protections.
I find that no annual fee credit cards are an excellent tool in a card strategy. They're often easier to get approved for, which is helpful if you're building credit. I like the cash-back feature many offer, which is a bonus since the card is costing you nothing as far as annual fees go.
What features should cardholders look for in a no-annual-fee credit card?
Compare cards based on the rewards and other benefits they offer, which may include purchase protection against damage or theft, extended warranties or travel insurance coverage. Some credit cards with no annual fee also come with no foreign transaction fees, which makes them a good choice for purchases when you're traveling overseas.
One of my credit cards offers elevated rewards across several categories where I spend. It also offers an array of shopping and travel protections that offer peace of mind. When trying to choose a no annual fee, look for the card attributes that match your needs and wants.
Just because you're choosing a no-annual-fee card doesn't mean you have to skimp on features. Numerous options offer perks like rewards, protections, and bonus categories. I believe it's best to know your goals and search for cards that align with them.
Our CardFinder tool is also a great way to find the right card for you!
Tired of searching for the right credit card? CardFinder makes it quick and easy. Simply tell us your preferences and we’ll do the heavy lifting. Our three-step process saves you time and effort, so you can spend less time searching and more time enjoying the rewards. Get started today!
Frequently asked questions
What is a no annual fee credit card?
When a card has no annual fee, it means you do not get charged a yearly fee for holding an account. You can think of it as a kind of membership fee.
Depending on the card, not being charged an annual fee can save you around $25 to as much as $500 each year (obviously, a $500 fee is not at all common, though that high and higher annual fees are out there). Although this can be a significant factor in choosing a certain credit card, it’s important to keep in mind that you may still be charged other fees, such as late payment, balance transfer and international purchase fees, none of which are directly tied to the annual fee.
No-annual-fee credit cards are a good option for people who do not use credit cards frequently, but want to keep an account open to improve or maintain their credit. No annual fee means you don’t have to think about whether the rewards, perks and features of the card are valuable enough to you to offset it, but that doesn’t necessarily mean that you should never consider a card with an annual fee.
Do you have to pay an annual fee when you don’t use the credit card?
If you have a credit card with an annual fee, you’ll be charged that fee regardless of how often you use the card. It’s similar to a gym membership: you pay the fee, whether you work out or not.
If you no longer need your annual fee card, you have two main options. You can close the card, but this can negatively impact your credit history. It’s generally better to keep it open, even if you don’t use it often. Alternatively, you can downgrade the card to a no-annual-fee version within the same bank’s portfolio. This way, you can maintain your credit history without paying the fee.
Keeping your credit cards open, even if you don’t use them regularly, can help maintain a good credit history. Banks may close unused accounts, which can harm your credit score. So, it’s best to use your cards occasionally and responsibly to keep them active.
Are no annual fee credit cards good for building credit?
Yes, no annual fee credit cards can be a fantastic way to start building a strong credit history. By using your card responsibly, you’re essentially training your credit score to recognize you as a reliable borrower. This means making timely payments, keeping your balance low, and avoiding maxing out your credit limit. A no-annual-fee card is a great place to begin this journey, as it allows you to practice these habits without incurring additional costs. As your creditworthiness improves, you may unlock access to credit cards with higher limits, better rewards, and potentially lower interest rates.
Are annual fees ever worth it?
A credit card annual fee can certainly be worth it, but it depends on the specific card and how you plan to use it. The ideal scenario is when the annual fee is outweighed by the value of the card’s rewards and perks. A generous new cardholder bonus can help offset the fee in the first year, but it’s important to assess the ongoing value beyond that initial period.
In some cases, an annual fee might be justified for credit-building purposes. Many cards designed for those looking to build or rebuild their credit charge an annual fee. While this may seem counterintuitive, maintaining a good credit history with such a card can positively impact your credit score in the long run.
Learn more about when annual fees are worth it and see our favorite cards with annual fees.
Can you get a no-annual-fee credit card with bad credit?
Many people with bad or no credit may worry about annual fees, but there are plenty of no-annual-fee options available. Interestingly, it’s often cards designed for those with excellent credit that charge annual fees. This is because these cards typically offer premium perks and rewards that can justify the cost.
A common tool for building or rebuilding credit is a secured credit card. While not all secured cards have annual fees, they do require a refundable security deposit to establish a credit line. This one-time fee, rather than an ongoing annual fee, is used to secure your credit limit.
Who should get a no-annual-fee credit card?
No-annual-fee credit cards offer a great way to start building credit or simply enjoy the convenience of plastic without the added cost. While annual fee cards often come with premium perks and rewards, no-annual-fee cards can still offer significant value.
For example, if you’re looking to maximize rewards, a no-annual-fee card can complement a premium card with an annual fee. You can use the no-annual-fee card for everyday purchases and the premium card for specific categories that offer higher rewards.
Additionally, no-annual-fee cards can be a great option for those seeking a 0% introductory APR on purchases or balance transfers. While many premium cards focus on travel and other perks, no-annual-fee cards often offer competitive interest rates.
Finally, if you’re new to credit cards or don’t use them frequently, a no-annual-fee card can be a low-risk way to build credit and enjoy the benefits of plastic. You can use it to make regular purchases and pay off your balance in full each month to establish a positive credit history.
Remember, keeping a no-annual-fee card open can contribute to a healthy credit mix and can be beneficial for your credit score. So, even if you decide to upgrade to a premium card, consider keeping your no-annual-fee card active.
How do no annual fee cards compare with low annual fee cards?
No-annual-fee cards are the humble heroes of the credit card world. They offer a straightforward approach to credit, providing a solid foundation for building credit history without the annual fee overhead. While annual-fee cards often come with additional perks like travel benefits or higher rewards, the question is: Are these perks worth the extra cost? It’s a balancing act. No-annual-fee cards may not offer the same level of luxury, but they provide a reliable, no-frills option that can be a great fit for many people.
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Rating methodology: CardRatings experts review the fine print, details, perks, rewards and features of hundreds of cards and compare them side-by-side with similar cards. A card that makes an excellent balance transfer card may not make a great cash-back rewards card even though it offers those rewards. While the Best of the Year list is announced annually, that list – and all other “best of” lists on CardRatings – are regularly reviewed and updated as issuers change the terms and features of each card often.
To see the rates and fees for the American Express cards featured in this post, please visit the follow links: CardName (See Rates and Fees); CardName (See Rates and Fees)
For Capital One products listed on this page, some of the benefits may be provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.
The information in this article is believed to be accurate as of the date it was written. Please keep in mind that credit card offers change frequently. Therefore, we cannot guarantee the accuracy of the information in this article. Reasonable efforts are made to maintain accurate information. See the online credit card application for full terms and conditions on offers and rewards. Please verify all terms and conditions of any credit card prior to applying.
This content is not provided by any company mentioned in this article. Any opinions, analyses, reviews or recommendations expressed here are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any such company. CardRatings.com does not review every company or every offer available on the market.
