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Best credit cards with no annual fee in March 2024

Updated March 18, 2024

Though credit cards with annual fees can be worth it, cardholders may sometimes struggle to maximize usage to outweigh the cost. If you're uncomfortable with a yearly fee or use your credit card only occasionally, a no-annual-fee card is a smart choice.

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2024 Bankrate Awards Winner
Best flat-rate cash rewards card
Rating: 4.3 stars out of 5
4.3
Info
Apply now Lock
on Wells Fargo's secure site
Good to Excellent (670 – 850)
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Recommended Credit
Info

Intro offer

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2%

Rewards rate

Info

Annual fee

Regular APR

Info
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2024 Bankrate Awards Winner
Best for dining & entertainment
Rating: 5 stars out of 5
5.0
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Apply now Lock
on Capital One's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit
Info

Intro offer

Info

1% - 8%

Rewards rate

Info

Annual fee

Regular APR

Best for rotating bonus categories
Rating: 4.4 stars out of 5
4.4
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Apply now Lock
on Discover's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit

Intro offer

Info

1% - 5%

Rewards rate

Info

Annual fee

Regular APR

Info
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2024 Bankrate Awards Winner
Best for automatic custom category
Rating: 4.4 stars out of 5
4.4
Info
Apply now Lock
on Citi's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit
Info

Intro offer

Info

1% - 5%

Rewards rate

Info

Annual fee

Regular APR

Info
Best for cash back after intro APR
Rating: 4.2 stars out of 5
4.2
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Apply now Lock
on Citi's secure site
Fair to Good (580 – 740)
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Recommended Credit
Info

Intro offer

Info

1% - 5%

Rewards rate

Info

Annual fee

Regular APR

Info
Best overall cash back card with no annual fee
Rating: 3.8 stars out of 5
3.8
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Apply now Lock
on Capital One's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit
Info

Intro offer

Info

1.5% - 5%

Rewards rate

Info

Annual fee

Regular APR

Info
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2024 Bankrate Awards Winner
BEST FOR SHOPPING
Rating: 4.3 stars out of 5
4.3
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Apply now Lock
on Bank of America's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit
Info

Intro offer

Info

1% - 3%

Rewards rate

Info

Annual fee

Regular APR

Best for occasional travelers
Rating: 4.1 stars out of 5
4.1
Info
Apply now Lock
on Capital One's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit

Intro offer

Info

$340

Offer valuation

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1.25 Miles - 5 Miles

Rewards rate

Info

Annual fee

Regular APR

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Best for Bank of America customers
Rating: 3.8 stars out of 5
3.8
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Apply now Lock
on Bank of America's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit
Info

Intro offer

Info

1.5%

Rewards rate

Info

Annual fee

Regular APR

Best for transit and commuting
Rating: 4 stars out of 5
4.0
Info
Apply now Lock
on Wells Fargo's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit

Intro offer

Info

$200

Offer valuation

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1X - 3X

Rewards rate

Info

Annual fee

Regular APR

awards-badge
2024 Bankrate Awards Winner
BEST FOR RENTERS
Rating: 4 stars out of 5
4.0
Info
Apply now Lock
on Wells Fargo's secure site
Good to Excellent (670 – 850)
Info
Recommended Credit

N/A

Intro offer

Info

N/A

Offer valuation

Info

1X Points - 3X Points

Rewards rate

Info

Annual fee

Regular APR

Info
Best for credit builders
Rating: 4.2 stars out of 5
4.2
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Apply now Lock
on Capital One's secure site
Fair to Good (580 – 740)
Info
Recommended Credit
Info

N/A

Intro offer

Info

Annual fee

Regular APR

Compare the best credit cards with no annual fee

Card name Our pick for Bankrate review score

Flat-rate cash rewards card

4.3 / 5

Info
(Read card review)
Apply now Lock
on Wells Fargo's secure site
Dining & entertainment

5.0 / 5

Info
(Read card review)
Apply now Lock
on Capital One's secure site

Rotating bonus categories

4.4 / 5

Info
(Read card review)
Apply now Lock
on Discover's secure site

Automatic custom category

4.4 / 5

Info
(Read card review)
Apply now Lock
on Citi's secure site

Cash back after intro APR

4.2 / 5

Info
(Read card review)
Apply now Lock
on Citi's secure site

Overall cash back card with no annual fee

3.8 / 5

Info
(Read card review)
Apply now Lock
on Capital One's secure site
Shopping

4.3 / 5

Info
(Read card review)
Apply now Lock
on Bank of America's secure site

Occasional travelers

4.1 / 5

Info
(Read card review)
Apply now Lock
on Capital One's secure site
Bank of America customers

3.8 / 5

Info
(Read card review)
Apply now Lock
on Bank of America's secure site

Transit and commuting

4.0 / 5

Info
(Read card review)
Apply now Lock
on Wells Fargo's secure site

Renters

4.0 / 5

Info
(Read card review)
Apply now Lock
on Wells Fargo's secure site

Credit builders

4.2 / 5

Info
(Read card review)
Apply now Lock
on Capital One's secure site

What to know about no-annual-fee cards

A no-annual-fee credit card gives cardholders an opportunity to earn rewards and use perks without charging a yearly fee to keep. If you're searching for a credit card, you’ve probably noticed that some charge an annual fee but make up for it with lucrative rewards and perks. In many cases, you’ll still get the same long-term value from a credit card without an annual fee.

Pros and cons of no-annual-fee credit cards

No-annual-fee credit cards are one of the more forgiving credit card options available since there’s no penalty for not using it regularly. With that said, there are a few potential downsides to consider. 

Pros

  • Checkmark

    A low-cost method to build up your credit: Your credit card activity will be reported to the credit bureaus each month. Responsible use — like paying down your balances and making payments on time — will help you to build up a positive credit history at no extra cost.

  • Checkmark

    Affordability with rewards opportunity: You don’t have to pay a premium to get rewards or useful benefits with the best no-annual-fee credit cards.

  • Checkmark

    No planning to cover the cost of an annual fee: If your card carries an annual fee, you have to justify the cost through heavy spending or benefits usage. A no-annual-fee card takes away this worry.

Cons

  • Small sign-up bonuses: If the card has a sign-up bonus at all, it’s typically smaller than the offers associated with annual fee credit cards.

  • Rewards aren’t usually as valuable as annual fee card counterparts: No-annual-fee credit cards usually have lower rewards rates and fewer extras than their fee-charging counterparts.

  • The card may carry other fees: No-annual-fee cards might always seem like the best choice at first glance, but that’s not necessarily the case. Other fees to note could be foreign transaction and balance transfer fees, so you’ll need to review a card’s full terms and conditions to ensure it fits your budget.

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Bankrate Insight

A no-annual-fee card can be a great choice for those who don’t want to deal with card category bonuses. For some cards, the best way to maximize their rewards is to stick to specific categories and spend as much as you can using that card. However, some consumers may want a more laid-back approach without sacrificing too many rewards, in which case a no-annual-fee card can fit that niche.

When a no-annual-fee card is a good idea

So should you get a no-annual-fee credit card? If you want one, consider how you might use the card, your typical spending habits and overall financial priorities. A credit card with no annual fee may be right for you in the following situations:

  • If you’re new to credit cards, a card with no annual fee might be the right choice while you gain more experience. You won’t have to worry about developing a strategy to maximize the card’s benefits to compensate for an annual fee.
  • Not having an annual credit card fee added to the mix makes it easier to simplify your budget, which can be a welcome relief for anyone building or rebuilding their credit. There are several cards for people with no credit history or bad credit that don’t charge annual fees (although secured credit cards typically require a one-time security deposit).
  • Some no-annual-fee cards offer 0 percent introductory APR on purchases, balance transfers or both. For debt managers, these cards can provide a temporary interest-free window to pay for a large purchase or a balance transferred from a different credit account.
  • Experienced cardholders who already own top-tier cards might find the addition of a carefully chosen no-annual-fee card worth their time. Credit card combinations like a premier travel card with an everyday cash back card, can round out your credit portfolio.

When a no-annual-fee card isn’t ideal

With some card types, having an annual fee is just unavoidable. A credit card without an annual fee won’t be a good choice in these cases:

  • If you want luxury perks and benefits, no-annual-fee cards may disappoint you since they often come with fewer features. Cards with annual fees usually have premium benefits like concierge service, travel insurance or airport lounge access, which no-annual fee cards usually don’t offer.
  • If you're a rewards maximizer, you may discover that cards with annual fees have higher reward rates or more variable spending categories compared to no-annual-fee cards. In this case, picking an annual fee card may earn more rewards.

Still unsure if a no-annual-fee credit card is right for you? Check out our Credit Card Spender Type Tool where you can get personalized credit card recommendations based on your credit score, spending habits and daily needs.

Tips on choosing the best no-annual-fee card for you

Plenty of cards on the market don't charge an annual fee but still offer some notable perks. Here’s how to choose the best no-annual-fee credit card for your needs:

  • Understand your spending habits. Recognizing your spending habits is key to figuring out which no-annual-fee card will be most beneficial for you. Many cards offer boosted reward rates for spending in certain categories. Knowing which of these categories you spend the most in will help you pinpoint the card that gives you the most bang for your buck.
  • Choose cash back, points or miles. Some cards offer rewards in the form of cash back, while other cards offer travel points and miles. Rewards can vary in redemption value, so figuring out how you’ll redeem most of your rewards can help you pick the best card.
  • Figure out your payment strategy. Is there a chance you’ll need to carry a balance? If so, choose a card with an intro APR offer. While you should always plan to pay your bill in full each month, an intro APR offer can be helpful to finance a big purchase or transferred balance. Just be sure to pay your balance off before the intro period ends. If you may need to carry a debt for a longer period of time, consider a debt consolidation loan, which generally has lower interest rates than credit cards.

How a Bankrate editor chose his no-annual-fee card

Bankrate editor Steve Dashiell chose a no-annual-fee card with rotating reward categories to help him keep an eye on his spending:

“Having crashed and burned on my first attempt at using a credit card, I needed my second attempt to keep things simple. But at the same time, I also wanted some extra depth. My thought was pretty simple: I can set up the card to pay off my balance in full at the end of each statement period so that it effectively runs itself. But once I felt comfortable managing the card, I could lean into some extra card features to take advantage of any perks or rewards.

The Chase Freedom — now the Chase Freedom Flex — came highly recommended by a friend of mine, and it was easy to see why. The card’s rotating reward categories offer an extra incentive to monitor and plan out your spending, something I wasn’t great at doing. And even if I didn’t feel like chasing a quarter’s categories, I could still earn a reliable 1 percent cash back on all other purchases.

During my research, I also learned about the Chase Trifecta, which was just the type of value ‘expansion’ I was hoping for in the event everything went well with my credit card revenge arc. The fact that the card offered so much potential for no annual fee (along with a recommendation from a friend) made choosing the card a no-brainer.”

— Steve Dashiell, Editor, Credit Cards

 

Expert advice for no-annual-fee cards

No-annual-fee credit cards tend to be less complex than annual fee cards, though there are still a few tricks to getting the most out of them. Here’s our advice. 

When to downgrade to a no-annual-fee card

Not all credit cards with annual fees have the long-term value you may need. However, instead of canceling your card, you can downgrade to a no-annual-fee card.

When you downgrade, your credit score is unaffected as it maintains your credit utilization and account age while also avoiding a hard pull. However, you probably won’t be eligible for any sign-up bonuses on the new credit card when you downgrade. You’ll also want to use all of your rewards on your current card, as some issuers may not allow those points to transfer to the new card. 

Are no-annual-fee credit cards worth it?

A credit card’s annual fee is generally worth it when the benefits of the card equal or outweigh the cost. It’s rarely a mistake to open a no-annual-fee credit card, as you’re benefiting from borrowing and building credit without paying a yearly fee.

Many cards with annual fees include perks that offset the annual fee, such as higher welcome bonuses, higher rewards rates and travel perks. According to the Consumer Finance Protection Bureau’s 2023 market report, annual fees are one of the biggest areas of increased costs on credit cards — from $3.0 billion in 2015 to $6.4 billion in 2022.

Depending on the card’s points and miles value, these additional perks and features can greatly benefit big spenders or people who want rewards on purchases. However, these perks are only great if you use them. If you don’t use the card often or the perks don’t fit your lifestyle, it becomes an extra bill.

No-annual-fee credit cards vs. annual-fee credit cards

If you’re a frequent traveler, upgrading to the Capital One Venture Rewards Credit Card from the Capital One VentureOne may be worth it when considering the additional benefits like TSA Precheck or Global Entry credits and lost luggage reimbursement. But the Venture and VentureOne earn the same rate on travel you book through Capital One Travel, so it’s important to understand how earning rewards can offset annual fees.

In the table below, we calculate how much rewards value you can earn when booking eligible travel with the no-annual-fee VentureOne versus the premium Capital One Venture Rewards Credit Card based on your travel spending and Bankrate’s latest reward valuations — about 1.7 cents per Capital One mile with the right transfer partner.

Card Annual fee Miles earned with $1,500 spend Value minus annual fee Miles earned with $3,000 spend Value minus annual fee
Capital One 

VentureOne

(See Rates & Fees)

$0 7,500 $127 15,000 $255

Capital One Venture

(See Rates & Fees)

$95 7,500 $32 15,000 $160

How can you maximize your no-annual-fee credit card?

How we assess the best no-annual-fee cards

Checkmark
250+
cards rated
Rewards
50+
rewards programs valued
Search
5000
data points analyzed
Congrats
40+
perks evaluated

When evaluating the best credit cards with no annual fee, we take into account several factors, including how cards score in our proprietary card rating system and whether they offer features that fit the priorities of a diverse group of cardholders, from earning rewards to scoring a large sign-up bonus to saving on interest. 

We analyzed over 250 of the most popular credit cards and selected standouts that carry no annual fee. We scored each card based on the factors most relevant to its primary category, including its rewards rate, estimated annual earnings, intro APR period, ongoing APR, perks and more to determine whether it belonged in this month’s roundup. 

Here are some of the key factors that we considered:  

Have more questions for our credit cards editors? Feel free to send us an email, find us on Facebook, or Tweet us @Bankrate.

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply

Ask the experts

We’ve asked a few personal finance experts about the best perks you should look for on a no-annual-fee credit card.

Many no-annual-fee credit cards also have great perks, including: 

  • Intro APR. If you're looking for a card that doesn’t charge interest for several months, you’re in luck. There are plenty of cards on the market that offer a low intro APR, such as the Chase Freedom Unlimited®, which can help you save on interest for the first 15 months after opening the account. 
  • Cell phone protection. The Wells Fargo Active Cash® Card doesn't charge an annual fee and has cell phone protection, which will reimburse you for the cost to repair or replace your phone if it's damaged or stolen (up to $600 per claim, up to two claims per year, minus a $25 deductible). Although cracked screens and cosmetic damages are not covered, this coverage can definitely give you peace of mind, at no cost. 
  • Free credit score access. If you want to keep track of your credit score, the Citi® Diamond Preferred® Card is a great option since it offers free access to your FICO Score. 

So it really depends on what you’re looking for! 

— Erica Sandberg, personal Finance expert

No-annual-fee cards can still have a variety of perks and rewards. The best perks are ones you will actually use, so choose a card with a rewards program that offers a high rewards rate on the types of spending that you do the most. Other perks, like purchase protection and insurance coverages, are also included on many no-annual-fee cards. Take time to review all the details and select the one that makes the most sense for you. 

— Thomas Nitzsche, personal finance expert

For any card you consider, you’ll want to look for benefits that match your spending style. For cards that have no annual fee, every benefit that you can take advantage of is a gain (since you don't have an annual fee to offset). Start by looking for options that offer a sign-up bonus. If you want to keep your earning simple, look for a card with a high flat rewards rate (like the Citi Double Cash® Card). If you want to max out your earnings and are willing to take the time to track rotating categories, choose a card that offers a high rewards rate in categories that fit your spending habits (consider a card like the Chase Freedom Flex*).

— Stephanie Zito, personal finance expert

* Information about the Chase Freedom Flex℠ has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.

Frequently asked questions about no-annual-fee credit cards