No annual fee credit cards: the $0 cards, and the fees that remain
A no annual fee credit card costs nothing to hold each year, which makes it the cheapest card to keep if you pay the balance in full or use a card only occasionally. The trade-off is usually fewer extras: lower or no rewards, fewer complimentary insurances, and often a higher purchase rate than a dedicated low rate card.
No annual fee doesn't mean no fees. This guide lists the cards whose issuers showed a $0 annual fee every year when we checked, the cards where $0 depends on a condition, the fees that still apply, and how to decide between a $0 card and one with a fee.
By Better Rate Mate Editorial Team · Last reviewed
General information only. It doesn't take into account your objectives, financial situation or needs. Check the lender's key facts sheet, credit guide and TMD before you apply. We don't compare every lender, and we may earn a commission if you apply through our links.
Credit cards with no annual fee (checked 10 October 2026)
These cards showed a $0 annual fee every year on the issuer's own page, not just in the first year. They're listed alphabetically by issuer.
| Issuer | Card | Purchase rate | Interest-free days | Rewards and extras | Checked | Source |
|---|---|---|---|---|---|---|
| American Express | Qantas American Express Discovery Card | 23.99% p.a. | Up to 44 | 0.75 Qantas Points per $1 on card purchases | 10 Oct 2026 | Issuer's page |
| BankVic | Qantas Visa (for members of certain police, ambulance and firefighter associations and unions) | 18.95% p.a. ongoing (8.99% for the first 6 months) | Not shown on the page we checked | Qantas Points (1 per $2, as listed by Qantas) | 10 Oct 2026 | Issuer's page |
| Bankwest | Zero Platinum Mastercard | 18.99% p.a. | Up to 55 | None; 0% foreign transaction fee | 10 Oct 2026 | Issuer's page |
| Bendigo Bank | Bendigo Ready Credit Card | 19.99% p.a. | Up to 55 | None; $0 international transaction fee | 10 Oct 2026 | Issuer's page |
| Coles (issued by NAB) | No Annual Fee Mastercard | 21.99% p.a. | Up to 44 | Flybuys points: 1 per $2 on eligible purchases, more at Coles | 10 Oct 2026 | Issuer's page |
| Virgin Money | No Annual Fee Credit Card | 19.99% p.a. | Up to 55 on retail purchases | Virgin Money Bonus Points from personalised partner offers in its app (no earn rate shown) | 10 Oct 2026 | Issuer's page |
Cards where $0 depends on a condition
Some cards waive the fee only in the first year or only if you spend a set amount. They can still cost nothing, but only if you meet the condition every year.
| Issuer | Card | Fee | Checked | Source |
|---|---|---|---|---|
| CommBank | Low Fee credit card | $3 a month, or $0 in a statement period with $300 of spend | 10 Oct 2026 | Issuer's page |
| Latitude | 28° Global Platinum Mastercard | $0 in the first year, then $96 a year unless you spend $12,000 | 10 Oct 2026 | Issuer's page |
| NAB | NAB Low Fee Card | $0 in the first year, then $49 a year | 10 Oct 2026 | Issuer's page |
| Westpac | Low Fee card | $0 in the first year, then $30 a year, or $0 with $5,000 of spend a year | 10 Oct 2026 | Issuer's page |
What makes a no annual fee card the best for you?
There's no single best one. Judge a $0 card on the criteria that matter for how you'll use it:
- If you pay in full every month: the fees you could still trigger (late payment, overseas, cash advance) and any rewards it earns.
- If you might carry a balance: the purchase rate, which on $0 cards is often well above a low rate card's.
- If you travel or shop on overseas websites: the international transaction fee. Two cards in the table, Bankwest's Zero Platinum and Bendigo Ready, charge 0%.
- If it's a backup card: just the fees that apply when you don't use it, which on these cards is nothing.
No annual fee cards that earn points
A few $0 cards earn rewards, usually at a lower rate than fee-paying cards. In the table, the Qantas American Express Discovery Card earns 0.75 Qantas Points per $1, BankVic's Qantas Visa earns Qantas Points for eligible members, and Coles's No Annual Fee Mastercard earns Flybuys points. Since 1 October 2026 the RBA's cap on consumer credit card interchange has fallen from 0.8% to 0.3%, and rewards on no-fee cards rely heavily on that revenue, so check the program hasn't changed recently. See the frequent flyer cards with no annual fee on Qantas's list and rewards vs cashback cards.
Fees that still apply on a $0 annual fee card
Moneysmart's checklist of card costs applies to every card, whatever the annual fee:
| Fee | When it's charged | How to avoid it |
|---|---|---|
| Late payment fee | The minimum repayment isn't made by the due date | Automatic repayment of at least the minimum |
| Cash advance fee (plus interest from day one) | ATM withdrawals and cash-like transactions | Don't use a credit card for cash |
| Overseas or foreign transaction fee | Purchases in a foreign currency or processed overseas, including some online stores | Use a card without these fees for travel |
| Over-limit fee | Only if you've expressly agreed to go over your limit | Don't opt in |
| Rewards program fee | Some cards charge separately for rewards | Check whether rewards are included |
| Monthly fee | Some cards charge a monthly fee instead of an annual one | Compare the yearly total |
No annual fee, or a monthly fee instead?
Some cards advertise no annual fee or no interest but charge a monthly fee. CommBank's Neo card, for example, charges $15, $20 or $25 a month for a $1,000, $2,000 or $3,000 limit, as listed on CommBank's site on 10 October 2026. That can be good value for someone who carries a balance, but it is not a $0 card. Multiply any monthly fee by 12 before you compare.
Who a no annual fee card suits
If you carry a balance most months, the rate matters more than the fee; compare with low rate cards. If you spend a lot and pay in full, a card with a fee can still come out ahead; the break-even method shows how to check.
- People who pay in full every month and don't spend enough to earn back a rewards card's fee.
- A backup or emergency card you rarely use.
- A first card, where a low limit and no fee keep the downside small.
- Anyone consolidating cards: keeping one $0 card and cancelling the rest cuts fees and the total limit lenders count against you.
Did the surcharge ban remove card fees?
No. From 1 October 2026 the RBA's changes removed the surcharges merchants could add when you pay by eftpos, Mastercard or Visa, and American Express, UnionPay and PayPal said they would remove theirs too. That covers what a shop charges you at the checkout.
The fees your card issuer charges you are set by your card's terms: annual or monthly fees, late payment, cash advance and foreign transaction fees. Some are going up. ANZ, for example, says its cash advance fee increases and new points earn caps start from 28 October 2026. Check your card's key facts sheet and any notices from your issuer.
Annual fee waivers
A "first year free" offer is a fee-paying card with a discount, not a no annual fee card. The full fee arrives in year two. Put the date in your calendar and decide then whether to keep, downgrade or cancel. Moneysmart's cancellation checklist: redeem points, move direct debits, pay the card to $0 and get written confirmation.
General information only. It doesn't take into account your objectives, financial situation or needs. Check the lender's key facts sheet, credit guide and TMD before you apply. We don't compare every lender, and we may earn a commission if you apply through our links.
What to watch for
- Monthly fees that replace an annual fee.
- "First year free" offers that revert to a full annual fee.
- Higher purchase rates than a dedicated low rate card.
- Foreign transaction fees if you travel or shop overseas online.
- Rewards on $0 cards changing after the October 2026 interchange cut.
Common questions
Which credit cards have no annual fee?
On 10 October 2026, issuers' own pages showed a $0 annual fee every year on the cards in the table on this page, including Bankwest's Zero Platinum Mastercard, Bendigo Ready, Coles's No Annual Fee Mastercard and the Qantas American Express Discovery Card. Fees change, so check the key facts sheet.
Is it better to have a credit card with no annual fee?
It is if you pay in full each month and wouldn't earn enough rewards to cover a fee, or if you rarely use the card. If you carry a balance, the interest rate matters more than the fee.
Do no annual fee cards have other fees?
Yes. Late payment, cash advance and foreign transaction fees can all still apply, and some cards charge a monthly fee instead of an annual one. Over-limit fees can only be charged if you've expressly agreed to them.
Can I get rewards points with no annual fee?
Some no annual fee cards earn rewards, usually at a lower rate or with caps: the Qantas American Express Discovery Card earns 0.75 Qantas Points per $1, for example. The RBA cut the interchange cap on consumer credit cards to 0.3% from 1 October 2026, which puts pressure on card rewards, so check current terms.
Is there a way to avoid credit card annual fees?
Choose a card with no annual fee, or ask your issuer to waive or reduce the fee on the card you have; the issuer decides. If it won't, compare switching to a $0 card, remembering that a new application adds a credit enquiry to your report. A "first year free" offer only delays the fee.
Is Australia getting rid of credit card fees?
Only merchant surcharges. From 1 October 2026 shops can no longer add a surcharge when you pay by eftpos, Mastercard or Visa. Your card issuer's own fees, such as annual, late payment, cash advance and foreign transaction fees, are set by your card's terms and still apply.
What is the cheapest credit card in Australia?
For someone who pays in full every month, any card with no annual or monthly fee and no rewards fee costs nothing. For someone who carries a balance, the cheapest card is the one with the lowest combined interest and fees on that balance.
About the cards on this page
Card rows come from each issuer's own product, fee or rates page on the date shown, listed alphabetically by issuer. We don't rank or recommend cards. Some cards may have a link marked Sponsored, and we may earn a commission if you apply through it. That doesn't change the order or which cards are listed. Average rates are the RBA's for the month shown. Before you apply, read the card's key facts sheet and Target Market Determination, which set out its actual rates, fees and interest-free days.
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