Are you looking for the Best Travel Credit Cards with No Annual Fee? If Yes, You are at the right place.
In this article, We are sharing all the information about Best Travel Credit Cards with No Annual Fee.
Many travelers are returning to the skies and taking to the road; airplanes are full, and there’s a good chance you’re planning to travel this year or thinking about it. Earning rewards on travel spending is something you may have in mind when planning a vacation or just taking a weekend getaway.
The majority of Best Travel Credit Cards For Fair Credit, however, charge a yearly fee. That’s a good idea if you’re an avid business traveler who knows the airport check-in agent by name, but what if you travel less frequently? Paying an annual fee might not make sense if you travel occasionally.
What is No Annual Fee Credit Cards?
- 1 What is No Annual Fee Credit Cards?
- 2 Pros and Cons of No Annual Fee Credit Cards
- 3 What is Travel Credit Cards With No Annual Fee?
- 4 How Do Travel Credit Cards with No Annual Fee Work?
- 5 Top 5 Travel Credit Cards with No Annual Fee
- 6 How To Apply for Travel Credit Cards with No Annual Fees?
- 7 Video Guide for Travel Credit Cards with No Annual Fees
- 8 Benefits of Travel Credit Cards with No Annual Fees
- 9 How to Choose a Travel Credit Card with No Annual Fees?
- 10 Who Should Get Travel Credit Cards with No Annual Fee?
- 11 What Do I Need to Know About Travel credit cards with no annual fees?
- 12 FAQs
A credit card with no annual fee allows cardholders to earn rewards and use perks without paying a fee. Credit cards offer a variety of rewards and perks in exchange for an annual fee, so if you’re searching for a credit card, you might have noticed this. There are many instances in which a credit card without an annual fee can provide you with the same long-term value.
Pros and Cons of No Annual Fee Credit Cards
There’s no penalty for not using no-annual-fee cards regularly, which makes them among the more forgiving credit cards available. The downsides to this approach, however, are a few.
- Boost Your Credit at Low Cost: A monthly report of your credit card activity will be sent to the credit bureaus. Your credit history will be built up at no extra cost if you use your card responsibly – such as paying down balances and making payments on time.
- Affordability and Rewards: The best no-annual-fee credit cards provide rewards and useful benefits without charging you a premium.
- No Planning for an Annual Fee: The annual fee on your card must be justified by heavy spending or frequent usage of the benefits. There is no need to worry about annual fees with a no-annual-fee card.
- Sign-up Bonuses are Small: A sign-up bonus is less attractive than those offered by annual fee credit cards if the card features one.
- There are only sometimes as Many Rewards as on Annual Fee Cards: The rewards rate on no-fee credit cards tends to be lower, and they offer fewer extras than their counterparts with annual fees.
- There are Other Fees: It might seem like the best option to get a no-annual-fee credit card initially, but that’s only sometimes true. For a card that fits your budget, you’ll also need to review the terms and conditions to ensure any foreign transaction or balance transfer fees will not be a problem.
What is Travel Credit Cards With No Annual Fee?
Travel Credit Cards with No Annual Fee allow you to earn points or miles without worrying about your rewards being wiped out by the fee. The credit score required for these cards is usually at least 670, with good or excellent credit. Several Travel Credit Cards with No Annual Fee are available to people with fair credit.
Those who travel on a budget or like to travel but need to travel more frequently to justify paying an annual fee will benefit most from these credit cards. Travel credit cards with no annual fees are ideal if you travel less frequently than once a year.
How Do Travel Credit Cards with No Annual Fee Work?
A credit card has no annual fee, meaning the issuer does not charge consumers to carry the card. Issuers typically charge an annual fee to compensate them for other benefits the cardholder may enjoy, such as rewards.
Although annual fees are usually waived for a year or altogether to attract customers, the most benefit-rich cards typically charge them. Credit cards with no annual fees function much like those with annual fees, except for this tradeoff.
Top 5 Travel Credit Cards with No Annual Fee
Using a travel rewards credit card is widely recognized as an easy way to travel the world for less. Rewards credit cards allow consumers to earn points and miles on everyday purchases and redeem them for airfare, hotel stays, rental cars, etc.
When you use the benefits you receive from travel cards, annual fees are well worth it, but only some are interested in paying them. There are many Travel Credit Cards with No Annual Fee benefits.
Here is the list of Travel Credit Cards with No Annual Fee–
Capital One VentureOne Rewards Credit Card
You can start earning travel rewards with Capital One VentureOne Rewards Credit Card if you want to dip your toe into the world of rewards. You won’t have to worry about keeping up with multiple bonus categories since there is no annual fee, and rewards are earned on everything you spend.
Costco Anywhere Visa Card by Citi
The Costco Anywhere Visa Card by Citi is a no-annual-fee card that offers cash back on travel and is available to Costco members. When you use the Costco Anywhere Visa, a 3% cashback bonus is offered on travel categories such as airfare, hotels, car rentals, travel agencies, cruise ships, and Costco Travel. The Costco Anywhere Visa requires that you are a Costco member, but if you’re looking for cash back on travel, no card offers as much cash back on as many categories as the Costco Anywhere Visa.
The Costco Anywhere Visa Credit Card has a peculiar reward structure: you receive your rewards in Costco Cash. Costco Cash rewards are distributed as a credit card reward certificate once your February billing statement closes. The certificate can only be redeemed for cash or merchandise at Costco.
American Airlines AAdvantage MileUp
The American Airlines AAdvantage MileUp card may be the best for earning American Airlines miles on airline purchases. There is a two-mile earning rate when you use a credit card with American Airlines. This rate is the same as those earned with American Airlines’ premium Citi/AAdvantage Executive World Elite Mastercard, priced at $595 annually. You can earn two miles for every dollar you spend at grocery stores in addition to American Airlines purchases.
One of the benefits of American Airlines AAdvantage MileUp is the ability to earn elite status with American Airlines through the card. Every dollar you spend on purchases earns you one loyalty point. The rewards of earning 15,000 loyalty points yearly are boarding privileges for Group 5 and preferred seat coupons. The AAdvantage Gold status, which provides complimentary upgrades, can be earned once you have earned 40,000 loyalty points during a year.
Bank of America Travel Rewards Credit Card
Bank of America Travel Rewards is a great start-up credit card for people new to credit cards and travel rewards. Travelers can take this card on international trips without worrying about annual or foreign transaction fees. Additionally, every purchase will earn points without exceptions or limits.
Hilton Honors American Express Card
The Hilton Honors American Express Card is a great option for traveling within Hilton’s hotel brand family. When you spend money at hotel properties within the Hilton portfolio, you earn seven Hilton Honors Bonus Points. Your everyday purchases, such as groceries and gas, will earn you Hilton points.
When using the card, you earn Hilton Honors bonus points at U.S. restaurants and gas stations. You can also use this card for foreign travel without worrying about transaction fees.
How To Apply for Travel Credit Cards with No Annual Fees?
A credit card issuer’s website is often the easiest place to apply for and compare credit cards. However, convenient and less time-consuming, phone or mail applications may take longer to process.
The applicant should know their credit scores and credit history before starting the application process. Credit cards with no annual fees may require good to excellent credit approval. If your credit score and history are better, your chances of getting approved will be higher.
There are several steps applicants can take to improve their creditworthiness and increase their chances of getting approved for new cards. A person’s credit utilization ratio, a measure of how much of their overall available credit is used, can be decreased by paying off any outstanding debts carried elsewhere and reducing credit utilization.
It is also important for applicants to review the fine print of the card’s terms and conditions before applying for one.
Video Guide for Travel Credit Cards with No Annual Fees
Benefits of Travel Credit Cards with No Annual Fees
There are a variety of benefits offered by each card. The following are some of the features most credit cards offer, although they vary based on the issuer:
Here are the Travel Credit Cards with No Annual Fees-
- There is a certain degree of fraud protection required for all consumer cards.
- The introductory APR
- A welcome bonus
- A cashback reward or a points or miles reward based on purchases (airline tickets, hotel stays, etc.)
- There are no foreign transaction fees.
- Offers on food and beverage purchases in-flight
The benefits offered by no-fee cards may be limited compared to those offered by annual fee cards.
How to Choose a Travel Credit Card with No Annual Fees?
There are a few key features to look for when choosing Travel Credit Cards with No Annual Fees:
Airline Or Hotel Loyalist Program
Do you use an airline frequently, or are you a hotel loyalist? A co-branded credit card that rewards loyalty makes sense if you are. The transfer partners for Chase Ultimate Rewards will provide you with the most value, even if you’re looking for a more flexible point currency.
Some cards can offer over $1,000 in welcome bonuses as a one-time value. If you’re planning a dream vacation, you should take advantage of a lucrative welcome bonus.
It is important to pay attention to the earning rate of the card. Your card’s earnings rate will help you accumulate points long after you’ve earned your sign-up bonus. Consider your spending over the last few months when deciding what earning rate matters most. Do you eat out a lot? It might be a good idea to consider a card that rewards restaurant spending. Are you driving more, or are you driving less? Choose a credit card that offers rewards on gas purchases.
Different types of point currencies are available to travelers with travel credit cards. The value of transferable point currencies is often higher than that of hotel points or airline miles but often requires access to a fee-paying credit card to earn them. ValuePenguin calculates the value of points.
No Foreign Transaction Fee
A credit card that does not charge foreign transaction fees will help you avoid extra charges when you travel abroad. It can quickly add up if you make multiple purchases.
Other Card Benefits
Some cards offer travel insurance, rental car insurance, or elite status. Additional perks can enhance your stay, give you a discount on airline food, allow you to get an upgrade, or even provide you with a free night.
Who Should Get Travel Credit Cards with No Annual Fee?
Travel credit cards with no annual fees can be useful to many people. The best thing about these cards is that you don’t have to pay to hold them, so you don’t have to worry about paying any annual fees.
- For Occasional Travelers: The best travel credit card offers maximum benefits with the lowest fee. If you look around, you can find a no-annual-fee card that will work for you.
- Those Who Travel Frequently: There’s a good chance that you would benefit more from one of the best travel cards, many of which charge an annual fee. Although you may find a no-annual-fee card that works for you, there is a good chance you would benefit more from one of the best travel cards if you do.
What Do I Need to Know About Travel credit cards with no annual fees?
When choosing the best no-fee travel credit card, it’s crucial to decide whether you want to earn travel statement credits or earn travel points or miles that can be redeemed through the card’s travel portal. Travel statement credits are more flexible and easier to use, but if you can find good redemption options, travel points and miles can yield a higher return.
The benefits of a travel portal credit card include free flights and hotel rooms. In contrast, those who travel only occasionally will benefit from travel statement credits, which can be applied to a variety of travel purchases, including Airbnb stays and Uber rides.
Should I Pay an Annual Fee for a Travel Credit Card?
Your travel card annual fee will depend on how much you spend each year. If you are a high spender, then a travel card with no annual fee may be a better choice (which can offer more rewards per $1 spent), while if you are a low spender, then a fee-free card might be a better choice.
Credit cards with no annual fee that offer airline miles tend to reward cardholders with a 1.5% yield when redeemed for travel. Annual fee cards, on the other hand, typically yield more than 2%.
Are No Annual Fee Credit Cards Worth it?
Credit cards don’t require annual fees to earn valuable rewards. All the options listed above provide opportunities for earning rewards, whether in the form of cashback or points redeemable for travel. The benefits of a credit card can sometimes justify its annual fee. However, there are still several excellent options without annual fees.
Can You Get a No Annual Fee Credit Card with Bad Credit?
There are very few annual fee cards for people with bad credit, but they are still available. Secured credit cards probably have no annual fees, making this an attractive option.