There’s no need to pay an annual fee for a credit card. Many cards still offer great rewards and perks. Here are our favorite no annual fee cards.
Many of us prefer credit cards with no annual fee, since it can often be substantial and greatly diminish the rewards offered by credit cards. I can personally attest to saying that it can be annoying to watch your hard-earned rewards get dramatically reduced by high annual fees.
If you’re not extra cautious, the annual fee can easily exceed the rewards you earn during the year with your credit card. This represents a net loss, and it’s not acceptable to an average customer. With annual fees, there is pressure on you to spend a lot of cash.
Thus, many consumers are interested in no-fee credit cards.
These are the best no annual fee credit cards:
Overview of the best no annual fee credit cards
- Chase Freedom Unlimited® – Best for 0% intro APR on purchases and balance transfers.
- Capital One Platinum Credit Card – Best for beginners.
- Citi® Diamond Preferred® Card – Best for balance transfers.
- Discover it® Cash Back – Best for cash back rewards.
- Citi Custom Cash® Card – Best for general rewards.
- Discover it® Student Cash Back – Best for students.
- Ink Business Unlimited® Credit Card – Best for businesses.
Chase Freedom Unlimited®
Chase Freedom Unlimited®
Annual Fee
Intro APR, Purchases
Intro APR, Balance Transfers
Regular APR
Credit Needed
$0
0% Intro APR on Purchases for 15 months
0% Intro APR on Balance Transfers for 15 months
20.49% - 29.24% Variable
Excellent/Good
With the Chase Freedom Unlimited® you get the perks of having no annual fee which is huge if you’re interested in getting another credit card without paying any outright cost. Plus you’ll actually earn some stellar straightforward rewards.
Enjoy 0% Intro APR on Purchases for 15 months and 0% Intro APR on Balance Transfers for 15 months from account opening, then an APR of 20.49% - 29.24% Variable.
The sign-up bonus is perky – earn an additional 1.5% cash back on everything you buy (on up to $20,000 spent in the first year) - worth up to $300 cash back!
But the cash back keeps on coming. You’ll earn 5% cash back on all travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1.5% on all other purchases you make.
If you’re looking for another credit card without annual fees to add to your basket, note that you’re going to need a higher credit score to qualify for the card; the recommended minimum credit score is 690.
Check out our full review for Chase Freedom Unlimited® the here.
Capital One Platinum Credit Card
Capital One Platinum Credit Card
Annual Fee
Intro APR, Purchases
Intro APR, Balance Transfers
Regular APR
Credit Needed
$0
N/A
N/A
30.74% (Variable)
In addition to having no annual fee, we like the Capital One Platinum Credit Card for starters or those with average credit because it doesn’t require a stellar credit history to get and it still reports to all three major credit reporting agencies. Having no annual fee makes it a great way to build your credit on the cheap without getting a secured card. Plus, after six months of timely payments, you might be eligible for a credit line increase.
You won’t find promotional rates or rewards with this card, but it’s not a secured card (meaning, you don’t need a deposit to open it) and it’s designed for those who are building or rebuilding their credit. Plus, it has no foreign transaction fees, travel accident coverage, 24-hour travel assistance, and auto rental collision insurance; lots of incentives here.
Read our full review for Capital One Platinum Credit Card the here.
Citi® Diamond Preferred® Card
All information about the Citi Diamond Preferred Card has been independently collected by MoneyUnder30.com. Content has not been reviewed or approved by the issuer Enjoy 0% intro APR for 21 months on balance transfers from date of first transfer and 0% intro APR on purchases for the first 12 months of account opening. This card does not offer any rewards on purchases. $0 A no-frills credit card meant for those interested in paying off a large purchase or to complete a balance transfer. Offer details accurate as of 9/6/23Citi® Diamond Preferred® Card
Welcome Offer
Rewards
Annual Fee
Our Thoughts
The Citi® Diamond Preferred® Card also has no annual fee as well as a few other perks we love including being awesome for balance transfers. With an intro APR of 12 months on purchases and 0% intro APR on balance transfers from date of first transfer (the ongoing variable APR applies after), the Citi® Diamond Preferred® Card has one of the longest promotions out there right now.
These benefits along with no annual fee definitely make this an attractive choice for cards – especially for someone who is looking to finance a large purchase or pay down existing debt. A promotional offer like this is definitely one that is hard to not stop and consider carefully.
Learn more in our full review for the Citi® Diamond Preferred® Card here.
Discover it® Cash Back
All information about Discover it Cash Back has been collected independently by MoneyUnder30.com. Content has not been reviewed or approved by the issuer. Unlimited Cash Back Match on cash back earned the first year. Earn 5% Cash Back on everyday purchases that rotate every quarter. Rotating categories include purchases at restaurants, grocery stores, gas stations, and more (up to the quarterly maximum). Earn 1% Cash Back on all other eligible purchases. $0 A decent all-around card with high rewards on everyday purchases, 0% intro APR period, and no annual fee. Offer details accurate as of 9/6/23Discover it® Cash Back
Welcome Offer
Rewards
Annual Fee
Our Thoughts
As far as no annual fee cards go, the Discover it® Cash Back credit card is hands down one of our favorites. Because of the cash incentives, the match Discover gives, and the rotating bonus categories earning up to 5% ($1,500 max spend per quarter, activation required), this is a no annual fee card that goes unmatched when it comes to cash back rewards.
The fact that the Discover it® Cash Back credit card does not charge foreign transaction fees makes it a card you’ll want to take while traveling abroad. Couple all of this with Discover’s awesome service, and it’s one you should definitely have in your wallet.
Citi Custom Cash®
All information about Citi Custom Cash Card has been independently collected by MoneyUnder30.com. Content has not been reviewed or approved by the issuer Spend $1,500 on purchases within the first six months of opening an account and you’ll receive 20,000 ThankYou Points, worth $200 in cash back. 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. Eligible 5% categories include: restaurants, grocery stores, gas stations, select travel, select transit, select streaming services, fitness clubs, live entertainment, drugstores, and home improvement stores. You’ll get 1% cash back on everything else you purchase. $0 Earn bonus 5% cash-back on the category of purchases you make most, up to $500 spent per billing cycle. Offer details accurate as of 9/6/23Citi Custom Cash® Card
Welcome Offer
Rewards
Annual Fee
Our Thoughts
In terms of intro APR and overall rewards, the Citi Custom Cash Card offers everything but the kitchen sink. To start, you’ll get 0% Intro APR for 15 months on purchases and balance transfers (then a variable APR applies). Balance Transfers must be completed within 4 months of account opening.. Plus a generous $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening.
The card’s most compelling and clever feature, however, is its unique approach to 5% rewards. Rather than shoehorn you into rotating categories you may or may be spending in, the Citi Custom Cash Card simply gives you 5% cash back in whichever category you spent the most in last billing cycle. But the buck doesn’t stop there. You’ll also get $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening.
If you’re seeking a card that helps you eliminate and avoid credit card debt while also heavily rewarding you for everyday purchases, the Citi Custom Cash Card is a top choice. Note that you’ll need a credit score of at least 670 for a solid chance of approval.
Learn more in our full review for the Citi Custom Cash℠ here.
Discover it® Student Cash Back
All information about Discover it Student has been collected independently by MoneyUnder30.com. Content has not been reviewed or approved by the issuer. Unlimited Cashback Match on all cash back earned in the first year of card opening. Earn 5% Cash Back on everyday purchases that rotate every quarter. Rotating categories include purchases at restaurants, grocery stores, gas stations, and more (up to the quarterly maximum). Earn 1% Cash Back on all other eligible purchases. $0 Students will score big with this no-annual-fee card that earns a high rate of cash back on everyday purchases, all while building credit with responsible use. Offer details accurate as of 9/6/23Discover it® Student
Welcome Offer
Rewards
Annual Fee
Our Thoughts
The Discover it® Student Cash Back is our favorite no annual fee card for students. Aside from not having an annual fee, there are no foreign transaction fees, which makes it a perfect card to study abroad with.
And Discover will reward you for getting good grades, too. You’ll receive a $20 statement credit each school year that your GPA is 3.0 or higher, for up to the next five years. It’s not a lot, but when you’re in school every dollar counts. Plus there are great cash rewards and if you are a new card member, Discover matches all the cash back you earn at the end of your first year with the card. That’s definitely attractive in our book.
Finally, Discover has an excellent reputation on the customer satisfaction end of things. So in our mind, there are lots of benefits here.
Ink Business Unlimited® Credit Card
Ink Business Unlimited® Credit Card
- Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
- Earn unlimited 1.5% cash back on every purchase made for your business
- No Annual Fee
- Redeem rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®.
- Earn rewards faster with employee cards at no additional cost. Set individual spending limits for greater control.
- Round-the-clock monitoring for unusual credit card purchases
- With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information.
- 0% introductory APR for 12 months on purchases
- Member FDIC
| Annual Fee | Intro APR, Purchases | Intro APR, Balance Transfers | Regular APR | Credit Needed |
| $0 | 0% Intro APR on Purchases for 12 Months | N/A | 18.49% - 24.49% Variable | Good, Excellent |
The Ink Business Unlimited® Credit Card is a great card if you’re self-employed or a small business owner, as you’ll be hard-pressed to find a business card that has no annual fee AND a robust rewards structure like this one does.
To start, you’ll earn a hefty $900 bonus cash back after you spend $6,000 on purchases in the first 3 months after account opening. That’s a lot of value for a $0 annual fee, making this card a no-brainer if you have a variety of business expenses.
The Ink Business Unlimited® Credit Card also earns an impressive 1.5% cash back on all purchases, with no spending categories or earning limits – for cardholders that don’t like the headache of keeping track of rotating categories, the straightforward cash back is a huge plus.
Other business-friendly features include 0% Intro APR on Purchases for 12 Months (ongoing rate applies after), additional cards for employees at no extra cost, fraud protection, and purchase protection.
Read more in our full Ink Business Unlimited® Credit Card review here.
Best no annual fee credit cards summary
| Credit Card | Credit Needed⁺ | Unique Features |
|---|---|---|
| Chase Freedom Unlimited® | 700 | Earn an additional 1.5% cash back on everything you buy (on up to $20,000 spent in the first year) - worth up to $300 cash back! |
| Citi® Diamond Preferred® Card | 700 | Intro APR for 12 months on purchases and 21 months for balance transfer (ongoing rate applies after) |
| Discover it® Cash Back | 700 | Discover will match the cash back you earn at the end of the first year |
| Citi Custom Cash℠ Card | 700+ | 5% cash back on your top spending category each billing cycle |
| Capital One Platinum Credit Card | 500 | Unsecured credit card, low credit scores welcome to apply |
| Discover it® Student Cash Back | 640 | $20 statement credit each school year that your GPA is 3.0 |
| Ink Business Unlimited® Credit Card | 700 | $900 bonus cash back after you spend $6,000 on purchases in the first 3 months after account opening. |
⁺ Credit Score requirements are based on Money Under 30’s own research of approval rates; meeting the minimum score will give you the best chance to be approved for the credit card of your choice. If you don’t know your credit score, get your free credit score to get a better idea of which cards you’ll qualify for.
How we came up with this list
Typically, you get the best rewards credit cards when you pay an annual fee. This is so the issuing company doesn’t lose money when you pay your balance in full (i.e., you’re not paying any interest) and you rake in the rewards for using it.
Therefore, cards without an annual fee tend to have lower rewards. We selected this list based on cost-to-value, and in this case, no cost. As we scoured the offers out there, we came up with the above list as the best cards you can get – from a rewards and benefits perspective – without having to pay an annual fee.
Important things to know about no annual fee credit cards
The single most important feature of a no annual fee credit card is having no fee whatsoever. But since this entire list doesn’t, the next most important thing is rewards. As I said above, many cards without an annual fee offer little to no rewards – making them somewhat useless to a person who pays their balance in full.
Here are some other things we think are important with no annual fee cards:
- Signup bonus. If they don’t have rewards, they almost never have a worthwhile signup bonus. Look for balance transfer offers, bonus points, or cash back.
- No foreign transaction fee. One of the best uses I can see for a no annual fee credit card with not-so-great rewards is to use it when traveling. Look for cards without a foreign transaction fee.
- Non-monetary perks. Aside from rewards, look for cards that have additional travel insurance, return protection, or warranty extension bonuses. Some cards will throw you Visa gift cards, too. Anything outside of what a standard credit card would offer is always great to have.
Who are no annual fee credit cards good for?
Credit cards with no annual fees are definitely a good option for all users of credit cards. Paying an annual fee doesn’t mean you get a better card. As you can see above, we outlined no annual fee cards for just about every situation you can have, so I’m confident that these types of cards are great for anyone.
The only thing to be aware of, and that you probably give up by not paying an annual fee, is that the rewards program is usually lesser.
My advice is to still go for the no annual fee card first, use it and see how you spend, then call your card company to see if you can upgrade later if you so choose.
FAQs on no annual fee cards
Can I get a no annual fee card with bad credit?
Yes, but your options will be more limited. One of the ways card issuers mitigate risk is by charging a fee to those with poor credit. If you can’t find anything without an annual fee that you like, look into a secured card.
Do most no annual fee cards have a signup bonus?
No, that’s why if you find a no annual fee card with good rewards AND a signup bonus, you should probably take it.
Is there anything specific I should look for with a no annual fee travel card?
Any extra insurance for traveling and no foreign transaction fees are the first features I would look for. I would even forego points in some cases if the card was stellar for travel otherwise. If you’re willing to shell out a little extra money though, you can find an awesome travel card here.
Summary
So here’s what’s pretty clear about no annual fee credit cards: you can get some pretty awesome credit cards without having to pay even a penny to get the card. And most of these cards offer some type of major perks such as rewards, an intro offer, or something else that is likely to entice you.
Yes, you’ll tend to earn higher rewards with cards that have fees, but for those of you who are more casual spenders, any of these cards will work well for you.