No Annual Fee Credit Cards

No annual fee credit cards are generally only good value for a very small section of credit card users. If you rarely use your credit cards at all, then no annual fee credit cards can save you money. However, as no annual fee credit cards are the most likely type of credit card to forego interest free days on purchases, they can often accrue more in interest than you might pay on a low annual fee credit card with interest free days on purchases.

The credit card issuer needs to guarantee some level of return on its investment, thus you will often find that no annual fee credit cards have a high rate on both purchases and cash advances while offering no interest free days. In this manner, as long as you use your credit card a couple of times in a year and are not vigilant about paying it off immediately you will end up paying close to or more than the annual fee of a low annual fee credit card.

See our Best No Annual Fee Credit Card.

If you only use your credit card a few times a year and repay it immediately, then you may find it useful to peruse our selection of no annual fee credit cards.