Best No Annual Fee Visa Credit Card with Cash Back

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DTalos
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Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

I am currently in the market for a no annual fee credit card that offers cash back rewards. I shop frequently on Amazon and at Costco. Both of those companies offer Visa credit cards with cash back, so naturally, I am considering those. Are there other excellent general (non-store affiliated) Visa credit cards (I am partial to Visa) that offer cash back and no annual fee? If anyone can opine on the quality/ease of reward redemption and customer service with those credit cards, it would be appreciated.
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JoMoney
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by JoMoney »

I'm pretty happy with Fidelity's Rewards Visa card.
https://www.fidelity.com/cash-managemen ... ature-card
2% cash back on purchases, which can be automated to occur once you hit a certain rewards balance ( I think $50 min)
You do need to have a Fidelity account to receive the cash back deposits into... but I'm also a fan of the Fidelity CMA account for banking/ATM <- refunds ATM operator charges and can also move cash balance from the default FDIC Bank deposit account to a money market fund earning higher interest.
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Nate79
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Nate79 »

I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
Jags4186
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Jags4186 »

Fidelity Visa 2% cashback everywhere
Uber Visa 4% cashback on Restaurants; 3% cashback on airfare, hotels, and airbnb/vrbo; 2% on Uber and online purchase; 1% on everything else
Amazon Prime Visa for 5% at Amazon and Whole Foods

Bank of American Travel Rewards Visa (with Platinum Honors status) 2.625% cashback everywhere
Bank of America Cash Rewards Visa (with Platinum Honors status) 5.25% cashback on category of choice, 3.5% cashback on groceries, gas, and wholesale clubs

The BOA Cash Rewards Visa (with PH status) is the best no annual fee card to use at Costco.

The best card to use at Costco is the US Bank Altitude Reserve which is 4.5% cashback on Apple Pay purchases. But it comes with a $75 net annual fee.
Last edited by Jags4186 on Thu Oct 10, 2019 7:15 pm, edited 2 times in total.
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RickBoglehead
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by RickBoglehead »

Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
DC is a MasterCard.
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HomeStretch
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by HomeStretch »

Here’s a recent thread about best cash back cards.
viewtopic.php?f=11&t=283836&hilit=Credit+card+best

Doctorofcredit.com publishes a monthly list of best credit cards and sign-up bonuses including bonus links that may be better than what you may see on the issuer’s website.

I use several cards for higher cash rewards on big spend categories like restaurants, gas, groceries, etc. Everything else goes on one card like:
1. Fidelity Visa 2% if deposited to a Fidelity account. Recent sign up bonus for $150 with possibly a spend requirement.
2. Citi Double Cash mastercard 2%
3. BofA Preferred Rewards MasterCard - likely the best “everything else” card if you qualify for the higher rewards % due to having (I think) $100k in a BofA bank account or Merrill Edge brokerage account.
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fortfun
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by fortfun »

Not exactly cash back but I did get a $500 bonus on Cap One Venture and another $500 bonus on Cap One Savor. Easiest $1k I've ever made :)

Cancel before one year. Personally, I don't spend enough to have the real cash back cards amount to much.
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Quercus Palustris
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Quercus Palustris »

If you're into credit unions:
  • State Dept FCU (anyone can join) Cash Back+ Visa
  • PenFed (requirements to join, need free checking w/ $500 balance) Power Cash Rewards
Both get 2% on purchases, no annual fee, no foreign transaction fee, Visa Signature benefits (extended warranty, rental collision damage, etc). They run occasional sign up bonuses (first 90 days = $200 on $3000 spend & $100 on $1500 respectively).
marcopolo
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by marcopolo »

I second the fidelity visa card for everyday purchases.

We also use the Amex blue preferred card for groceries.
Instead of getting Amazon card, we buy Amazon gift cards at grocery store (get 6% on amex). Better discount, and one less card to deal with.
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mrmass
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by mrmass »

TD Bank has a $200 bonus for $1000. I just got it. As soon as I hit the $1K a week or so later I had $200 in CB. Easy money
get_g0ing
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by get_g0ing »

Quercus Palustris wrote: Fri Oct 11, 2019 12:04 am If you're into credit unions:
  • State Dept FCU (anyone can join) Cash Back+ Visa
  • PenFed (requirements to join, need free checking w/ $500 balance) Power Cash Rewards
Both get 2% on purchases, no annual fee, no foreign transaction fee, Visa Signature benefits (extended warranty, rental collision damage, etc). They run occasional sign up bonuses (first 90 days = $200 on $3000 spend & $100 on $1500 respectively).
I was going to post SDFCU and PenFed, but this poster covered it well.
These two are also what's known as "chip-and-pin" cards.

I will add:
PayPal 2% Cash Back
It's a Mastercard, so slightly better currency conversion for international travelers.
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Voltaire2.0
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Voltaire2.0 »

The Citi Double card is a MasterCard, but it's good.

I don't have the Uber credit card but people I know swear by it. I think it is a Visa.
rich126
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by rich126 »

I guess I don't understand the exclusion of annual fees. An annual fee doesn't make a card bad, nor does it make it good.

For example if one card gives you 6% back on groceries but charges $100 per year and another gives you 3% but has no annual fee, you can do the math and figure out where the "profit" point occurs.

And if you get a card with an annual fee but it no longer works for you, you can always ask to switch it to a no annual fee version (with lesser benefits) in case you don't want the small ding to your credit score (due to the average age of your cards).

Anyhow, good luck.
pochax
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by pochax »

this is our current card lineup:
1) Amazon prime 5% cash back for amazon purchases only
2) Amex Blue Preferred 6% groceries/3% gas for those purchases only (annual fee is more than made up for by the 6% groceries bonus alone)
3) Capital One Savor Mastercard 4% Dining/entertainment for those purchases only
4) Fidelity Rewards Visa 2% rewards on everything (for everything not covered by above)

i do own a Citi DoubleCash but we rarely use it anymore since it is somewhat redundant with the the Fidelity.
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batpot
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by batpot »

why Visa?

Best answer is: multiple.
KT785
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by KT785 »

RickBoglehead wrote: Thu Oct 10, 2019 7:13 pm
Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
DC is a MasterCard.
Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by oldcomputerguy »

Jags4186 wrote: Thu Oct 10, 2019 7:12 pm Amazon Prime Visa for 5% at Amazon and Whole Foods
It should be noted that you only get the 5% back at Amazon if you are a Prime member. If not, the reward rate is 3%.
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by oldcomputerguy »

Quercus Palustris wrote: Fri Oct 11, 2019 12:04 am If you're into credit unions:
  • State Dept FCU (anyone can join) Cash Back+ Visa
Side note: according to this article, when you sign up for the SDFCU card, they ask you if you live overseas or travel frequently; if you answer "yes", the card you get will be a chip-and-PIN card with PIN priority (which is great for international travelling but reportedly hard to come by in the US). If you answer "no", the card you get will be a chip-and-signature card like most other US-issued cards.
frugaltigris
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by frugaltigris »

Fidelity 2%. It is my only card.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

KT785 wrote: Fri Oct 11, 2019 12:52 pm
RickBoglehead wrote: Thu Oct 10, 2019 7:13 pm
Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
DC is a MasterCard.
Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785


Yes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.

I have had my current card for 20 years which has an annual fee. For the past two years, I have received offers from credit card companies that offer cash back rewards with no annual fee. In the past two years, each time the annual fee was applied to my current CC, I called and successfully had it negated via a credit applied to the next statement for the amount of the annual fee. Yesterday, in anticipation of the annual fee being charged next month, I was unsuccessful at having the annual fee waived, despite my 20 year customer history of excellent on-time payments (never a late fee) and the representative indicated that there would be no guarantee of a future credit for the amount of the annual fee if I called back next month.

Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
international001
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by international001 »

If you have $100k asssets transfer them to Merril Edge and get Platininum Honors for a BoA credit card. For general spending and general redeem it's a no brainer, the best.
For specific spending habits, you can jiggle around some more.
isira
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by isira »

HomeStretch wrote: Thu Oct 10, 2019 7:13 pm 3. BofA Preferred Rewards MasterCard - likely the best “everything else” card if you qualify for the higher rewards % due to having (I think) $100k in a BofA bank account or Merrill Edge brokerage account.
The BofA Cash Rewards card comes in both Visa and MC flavors. Susan G Komen, World Wildlife Fund, and US Pride are Visa, whereas the standard Cash Rewards and MLB cards are MC.
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by RickBoglehead »

DTalos wrote: Fri Oct 11, 2019 4:53 pm Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
Cancelling a 20 year card, your only card, will have a big negative impact on your credit score.
Avid user of forums on variety of interests-financial, home brewing, F-150, PHEV, home repair, etc. Enjoy learning & passing on knowledge. It's PRINCIPAL, not PRINCIPLE. I ADVISE you to seek ADVICE.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

RickBoglehead wrote: Fri Oct 11, 2019 6:21 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
Cancelling a 20 year card, your only card, will have a big negative impact on your credit score.
If I don't ever plan to obtain a loan or a mortgage, then how will this impact me?
Tortoisesque
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Tortoisesque »

Voltaire2.0 wrote: Fri Oct 11, 2019 10:12 am I don't have the Uber credit card but people I know swear by it. I think it is a Visa.
I recently applied for the Uber Visa. The status page says my application was rejected and that the reason has been snail-mailed to me. It's been a week and the letter still hasn't arrived.

My income is high, I have a near-perfect credit score, and I've never missed or been late on a credit payment. It'll be interesting to see why they rejected me.
HomeStretch
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by HomeStretch »

Tortoisesque wrote: Fri Oct 11, 2019 7:00 pm I recently applied for the Uber Visa. The status page says my application was rejected and that the reason has been snail-mailed to me. It's been a week and the letter still hasn't arrived.

My income is high, I have a near-perfect credit score, and I've never missed or been late on a credit payment. It'll be interesting to see why they rejected me.
Have you been approved for 5 new cards in the past 24 months? It’s not a rule followed by every CC issuer but most have some sort of limit. You can appeal - call the CC issuer after you get the letter.
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by jeffyscott »

DTalos wrote: Fri Oct 11, 2019 4:53 pmYes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.
The Costco Visa eliminates the need to carry a separate Costco membership card, as they print the membership card on the reverse side of the credit card. Also makes it easier to buy gas at Costco, as you only need to insert the one card. Redemption is easy, they send you a certificate with value equal to your rebates to spend at Costco each year.

Fidelity redemption can be set to automatically redeem to your Fidelity account whenever balance reaches $50, so that one is very easy too.

Citi Double cash does not have an automatic redemption option that I am aware of, so a bit less convenient, plus can't use that card at Costco. Also, if you need a card with car rental insurance coverage, Double Cash is dropping that feature.

The easiest redemption of rebates that I have ever had is with Capital One, they would automatically credit the account every time the balance reached $25. But since it is 1.5% and we have 2% cards, don't use it any more.

Bank of America travel rewards was mentioned with 2.6% if you have $100K in their accounts, but I think that card requires you to take the rebates against travel purchases. So it is somewhat more hassle than other cards, particularly if you don't have a lot of travel expenses as defined by B of A.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by jeffyscott »

DTalos wrote: Fri Oct 11, 2019 6:52 pm
RickBoglehead wrote: Fri Oct 11, 2019 6:21 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
Cancelling a 20 year card, your only card, will have a big negative impact on your credit score.
If I don't ever plan to obtain a loan or a mortgage, then how will this impact me?
Many insurance companies use a version of credit scores in setting rates. I would not expect that big of an impact, but to be safe you could ask them to convert it to something with no annual fee and then just never use the card.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
darrvao777
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by darrvao777 »

i only use the costco card

best extended warranty in the industry (for now)
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by dodecahedron »

DTalos wrote: Fri Oct 11, 2019 6:52 pm
RickBoglehead wrote: Fri Oct 11, 2019 6:21 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
Cancelling a 20 year card, your only card, will have a big negative impact on your credit score.
If I don't ever plan to obtain a loan or a mortgage, then how will this impact me?
Many insurance companies (including mine) check your credit report before deciding what premium to charge you for home or auto insurance. Some prospective employers may also run a credit check before making hiring decisions. If you think you might ever rent an apartment (including a vacation rental or perhaps on behalf of a dependent relative, e.g., a child in college or an elderly parent), the landlord or property management company may want to run a credit report before deciding to agree to lease the property.
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dodecahedron
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by dodecahedron »

isira wrote: Fri Oct 11, 2019 6:18 pm
HomeStretch wrote: Thu Oct 10, 2019 7:13 pm 3. BofA Preferred Rewards MasterCard - likely the best “everything else” card if you qualify for the higher rewards % due to having (I think) $100k in a BofA bank account or Merrill Edge brokerage account.
The BofA Cash Rewards card comes in both Visa and MC flavors. Susan G Komen, World Wildlife Fund, and US Pride are Visa, whereas the standard Cash Rewards and MLB cards are MC.
I have a standard Cash Rewards card and a Major League Baseball (MLB) card. (Vamos, vamos, Astros!)

Although my MLB card is indeed a MC just as HomeStretch stated above, my standard Card Rewards card is a Visa, not a MC. (That said, I got the standard Cash Rewards card six years ago. It looks like they have changed that one to MC for newer applicants in recent years.)
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by KT785 »

DTalos wrote: Fri Oct 11, 2019 4:53 pm
KT785 wrote: Fri Oct 11, 2019 12:52 pm
RickBoglehead wrote: Thu Oct 10, 2019 7:13 pm
Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
DC is a MasterCard.
Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785


Yes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.

I have had my current card for 20 years which has an annual fee. For the past two years, I have received offers from credit card companies that offer cash back rewards with no annual fee. In the past two years, each time the annual fee was applied to my current CC, I called and successfully had it negated via a credit applied to the next statement for the amount of the annual fee. Yesterday, in anticipation of the annual fee being charged next month, I was unsuccessful at having the annual fee waived, despite my 20 year customer history of excellent on-time payments (never a late fee) and the representative indicated that there would be no guarantee of a future credit for the amount of the annual fee if I called back next month.

Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
I’d recommend having more than just one credit card as there are situations when one could get shut down for fraud (real or not), it gets lost/stolen, or you go to a retailer that doesn’t take it . . . there are places that don’t take Visa, though it’s rare. Relying on only one card likewise limits your cash back potential.

Accordingly, I’d recommend the three card setup of a Costco Visa, Citi Double Cash, and Amazon Prime VISA. I’d carry only the DC and Costco cards and leave the Amazon card at home—it’s tied to your Amazon account and the physical card can be a backup if something happens to the other two.

Secondly, I’d evaluate options before cancelling a 20 year old account. As others have noted, this can have a catastrophic impact to your credit score and, even though you don’t plan on taking out any loans, it can indeed affect your insurance rates.

I’d contact the issuing bank and see if there are other cards you can downgrade to that don’t have an annual fee. Most of the major issuers allow downgrading from annual fee to lower-tier, no annual fee cards. Make sure they understand you want a “product change” to a no annual fee card as it preserves your account and its lengthy history.

KT785
Tortoisesque
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by Tortoisesque »

HomeStretch wrote: Fri Oct 11, 2019 7:57 pm
Tortoisesque wrote: Fri Oct 11, 2019 7:00 pm I recently applied for the Uber Visa. The status page says my application was rejected and that the reason has been snail-mailed to me. It's been a week and the letter still hasn't arrived.

My income is high, I have a near-perfect credit score, and I've never missed or been late on a credit payment. It'll be interesting to see why they rejected me.
Have you been approved for 5 new cards in the past 24 months? It’s not a rule followed by every CC issuer but most have some sort of limit. You can appeal - call the CC issuer after you get the letter.
Update: I finally got the letter in the mail today, and it said they just need additional documentation from me (copies of my driver's license, Social Security card, and a current utility bill or bank statement with my address on it). I think this is pretty common for people applying for the Uber Visa, because I've read that other people had to send in the same documentation to be approved.

The problem was that the message on their status web page was very misleading: "Currently we are unable to offer you a credit card." I suppose it's technically true because of the word "currently," but it's misleading because it gave the impression that they rejected me when in fact they didn't; they just needed extra info. Why didn't their web page just say that? :annoyed
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

KT785 wrote: Fri Oct 11, 2019 11:30 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm
KT785 wrote: Fri Oct 11, 2019 12:52 pm
RickBoglehead wrote: Thu Oct 10, 2019 7:13 pm
Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
DC is a MasterCard.
Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785


Yes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.

I have had my current card for 20 years which has an annual fee. For the past two years, I have received offers from credit card companies that offer cash back rewards with no annual fee. In the past two years, each time the annual fee was applied to my current CC, I called and successfully had it negated via a credit applied to the next statement for the amount of the annual fee. Yesterday, in anticipation of the annual fee being charged next month, I was unsuccessful at having the annual fee waived, despite my 20 year customer history of excellent on-time payments (never a late fee) and the representative indicated that there would be no guarantee of a future credit for the amount of the annual fee if I called back next month.

Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
I’d recommend having more than just one credit card as there are situations when one could get shut down for fraud (real or not), it gets lost/stolen, or you go to a retailer that doesn’t take it . . . there are places that don’t take Visa, though it’s rare. Relying on only one card likewise limits your cash back potential.

Accordingly, I’d recommend the three card setup of a Costco Visa, Citi Double Cash, and Amazon Prime VISA. I’d carry only the DC and Costco cards and leave the Amazon card at home—it’s tied to your Amazon account and the physical card can be a backup if something happens to the other two.

Secondly, I’d evaluate options before cancelling a 20 year old account. As others have noted, this can have a catastrophic impact to your credit score and, even though you don’t plan on taking out any loans, it can indeed affect your insurance rates.

I’d contact the issuing bank and see if there are other cards you can downgrade to that don’t have an annual fee. Most of the major issuers allow downgrading from annual fee to lower-tier, no annual fee cards. Make sure they understand you want a “product change” to a no annual fee card as it preserves your account and its lengthy history.

KT785

So basically, I am stuck with this roughly $100 annual fee card because there is a likelihood that my auto/home insurance rates will increase by more than $100 annually indefinitely if I cancel this card? I have an airline affiliated card, and to downgrade without my auto/home insurance rates increasing, I would need to choose among this mega-bank's other offerings?

Sounds like choosing a credit card is a lot like marriage, in that a divorce is potentially expensive.
darrvao777
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by darrvao777 »

Nate79 wrote: Thu Oct 10, 2019 7:10 pm I would get the Amazon card for shopping at Amazon, the Costco card for at Costco and at the bonus categories, and the Citi double cash for everything else.
I like this setup

I eliminated the double cash card since its benefits were nerfed so badly:
- no worldwide car rental insurance
- no worldwide travel accident insurance
- no citi price rewind
- no 90 day return protection
- no damage and theft of purchase protection
- no extended warranty

I just end up using the Costco card for everything physical and the amazon card for everything at amazon
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by darrvao777 »

DTalos wrote: Sat Oct 12, 2019 1:45 am
KT785 wrote: Fri Oct 11, 2019 11:30 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm
KT785 wrote: Fri Oct 11, 2019 12:52 pm
RickBoglehead wrote: Thu Oct 10, 2019 7:13 pm

DC is a MasterCard.
Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785


Yes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.

I have had my current card for 20 years which has an annual fee. For the past two years, I have received offers from credit card companies that offer cash back rewards with no annual fee. In the past two years, each time the annual fee was applied to my current CC, I called and successfully had it negated via a credit applied to the next statement for the amount of the annual fee. Yesterday, in anticipation of the annual fee being charged next month, I was unsuccessful at having the annual fee waived, despite my 20 year customer history of excellent on-time payments (never a late fee) and the representative indicated that there would be no guarantee of a future credit for the amount of the annual fee if I called back next month.

Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
I’d recommend having more than just one credit card as there are situations when one could get shut down for fraud (real or not), it gets lost/stolen, or you go to a retailer that doesn’t take it . . . there are places that don’t take Visa, though it’s rare. Relying on only one card likewise limits your cash back potential.

Accordingly, I’d recommend the three card setup of a Costco Visa, Citi Double Cash, and Amazon Prime VISA. I’d carry only the DC and Costco cards and leave the Amazon card at home—it’s tied to your Amazon account and the physical card can be a backup if something happens to the other two.

Secondly, I’d evaluate options before cancelling a 20 year old account. As others have noted, this can have a catastrophic impact to your credit score and, even though you don’t plan on taking out any loans, it can indeed affect your insurance rates.

I’d contact the issuing bank and see if there are other cards you can downgrade to that don’t have an annual fee. Most of the major issuers allow downgrading from annual fee to lower-tier, no annual fee cards. Make sure they understand you want a “product change” to a no annual fee card as it preserves your account and its lengthy history.

KT785

So basically, I am stuck with this roughly $100 annual fee card because there is a likelihood that my auto/home insurance rates will increase by more than $100 annually indefinitely if I cancel this card? I have an airline affiliated card, and to downgrade without my auto/home insurance rates increasing, I would need to choose among this mega-bank's other offerings?

Sounds like choosing a credit card is a lot like marriage, in that a divorce is potentially expensive.
what is your original $100 annual fee card? Is there a way to downgrade it to a $0 AF card and then just keep it in your sock drawer?
daca
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by daca »

Depending on what card you are referring to, you may be able to do a product change to downgrade to a no-fee version. What is the card that you are wanting to close that has a 20 year history?
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by jeffyscott »

darrvao777 wrote: Sat Oct 12, 2019 7:06 am
DTalos wrote: Sat Oct 12, 2019 1:45 amSo basically, I am stuck with this roughly $100 annual fee card because there is a likelihood that my auto/home insurance rates will increase by more than $100 annually indefinitely if I cancel this card? I have an airline affiliated card, and to downgrade without my auto/home insurance rates increasing, I would need to choose among this mega-bank's other offerings?

Sounds like choosing a credit card is a lot like marriage, in that a divorce is potentially expensive.
what is your original $100 annual fee card? Is there a way to downgrade it to a $0 AF card and then just keep it in your sock drawer?
Credit Karma (https://www.creditkarma.com) has a credit score simulator, one of the options is "What Might Happen If I...Close my oldest card". You could sign up there and see what they predict. I tried that one myself and got no change to 800+ score from closing an 18 year old card, but then I have 16 active accounts and 18 or 24 closed, so it's a bit different profile.

I don't think anyone can tell you what the impact will be. I tend to believe that people worry far too much about credit scores these days. I would certainly not pay $100 per year in order to attempt to manage my credit score. In ancient times we didn't even know what a credit score was, just paid our bills on time and got credit whenever needed or wanted.

Because I play the credit card bonus game, we once got an increase in insurance rates from a company we had been with 15 years or so. They said it was due to having applied for "too many" cards. This inspired me to shop for insurance and we ended up with a rate reduction instead of an increase by changing insurance companies.

That said, were it me, I would see if the issuer can switch you to another card that does not have an annual fee. It will cost nothing and you would not have to ever use the new card. I'm sure folks here would have some suggestions in that regard, if you wanted to post whatever card it is that you have been paying the fee for.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
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dodecahedron
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by dodecahedron »

jeffyscott wrote: Sat Oct 12, 2019 8:47 am Because I play the credit card bonus game, we once got an increase in insurance rates from a company we had been with 15 years or so. They said it was due to having applied for "too many" cards. This inspired me to shop for insurance and we ended up with a rate reduction instead of an increase by changing insurance companies.
My home/auto/liability insurance company used to follow a practice of ONLY pulling credit reports at the time of initial application, not during renewals. However, they recently changed their policy but only in a direction favorable to policyholders. They now say that they do check credit reports for renewals but they say that under NY state law, they are only allowed to take credit report info into account if it is favorable and reduces the renewal premium to be charged to someone who was initially charged a higher rate due to a problematic report at the outset of their policy.

In my case, I had a freeze on my credit report and I was told that there was no need to lift it at renewal time because I was already getting a premium based on the highest credit category I had at the beginning of my policy with that company.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

darrvao777 wrote: Sat Oct 12, 2019 7:06 am
DTalos wrote: Sat Oct 12, 2019 1:45 am
KT785 wrote: Fri Oct 11, 2019 11:30 pm
DTalos wrote: Fri Oct 11, 2019 4:53 pm
KT785 wrote: Fri Oct 11, 2019 12:52 pm

Presumably OP's need for a Visa is tied to Costco usage, which having a Costco Visa addresses.

I have played the credit card rewards game for a while, but the 3 card setup that Nate79 lays out is probably one of the best for OP's situation (cashback only, no annual fees). You can get away with only carrying the Costco and DC cards--just tie the Amazon Prime card to your account and leave it at home (unless you shop at Whole Foods).

I'm contemplating simplifying my setup as I've accumulated more AMEX and Chase points than I can reasonably use anytime soon and this setup would likely be the approach I take . . . though I like having my CSR and AMEX Platinum for travel benefits and protections (insurance and lounge access).

KT785


Yes, the need for a Visa is for use at Costco. I have had only one credit card at a time my entire life and want to keep it that way.

I have had my current card for 20 years which has an annual fee. For the past two years, I have received offers from credit card companies that offer cash back rewards with no annual fee. In the past two years, each time the annual fee was applied to my current CC, I called and successfully had it negated via a credit applied to the next statement for the amount of the annual fee. Yesterday, in anticipation of the annual fee being charged next month, I was unsuccessful at having the annual fee waived, despite my 20 year customer history of excellent on-time payments (never a late fee) and the representative indicated that there would be no guarantee of a future credit for the amount of the annual fee if I called back next month.

Next week, I plan to call and cancel that card. No sense in paying an annual fee when other cards offer the same benefits with no annual fee.
I’d recommend having more than just one credit card as there are situations when one could get shut down for fraud (real or not), it gets lost/stolen, or you go to a retailer that doesn’t take it . . . there are places that don’t take Visa, though it’s rare. Relying on only one card likewise limits your cash back potential.

Accordingly, I’d recommend the three card setup of a Costco Visa, Citi Double Cash, and Amazon Prime VISA. I’d carry only the DC and Costco cards and leave the Amazon card at home—it’s tied to your Amazon account and the physical card can be a backup if something happens to the other two.

Secondly, I’d evaluate options before cancelling a 20 year old account. As others have noted, this can have a catastrophic impact to your credit score and, even though you don’t plan on taking out any loans, it can indeed affect your insurance rates.

I’d contact the issuing bank and see if there are other cards you can downgrade to that don’t have an annual fee. Most of the major issuers allow downgrading from annual fee to lower-tier, no annual fee cards. Make sure they understand you want a “product change” to a no annual fee card as it preserves your account and its lengthy history.

KT785

So basically, I am stuck with this roughly $100 annual fee card because there is a likelihood that my auto/home insurance rates will increase by more than $100 annually indefinitely if I cancel this card? I have an airline affiliated card, and to downgrade without my auto/home insurance rates increasing, I would need to choose among this mega-bank's other offerings?

Sounds like choosing a credit card is a lot like marriage, in that a divorce is potentially expensive.
what is your original $100 annual fee card? Is there a way to downgrade it to a $0 AF card and then just keep it in your sock drawer?

Southwest Airlines Visa
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jeffyscott
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by jeffyscott »

DTalos wrote: Sat Oct 12, 2019 11:22 am Southwest Airlines Visa
Since there is not a no fee Southwest Card, maybe see if chase would convert the card to the Amazon Rewards Visa that they also issue and that you are apparently considering anyway?

At least Southwest gives an annual point bonus that is worth about as much as the annual fee for those who keep the card. We have had their cards about 5-6 times, but always cancel after a year and generally only charge enough to get the sign-up bonus.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

jeffyscott wrote: Sat Oct 12, 2019 11:44 am
DTalos wrote: Sat Oct 12, 2019 11:22 am Southwest Airlines Visa
Since there is not a no fee Southwest Card, maybe see if chase would convert the card to the Amazon Rewards Visa that they also issue and that you are apparently considering anyway?

At least Southwest gives an annual point bonus that is worth about as much as the annual fee for those who keep the card. We have had their cards about 5-6 times, but always cancel after a year and generally only charge enough to get the sign-up bonus.

After learning that customer service for the Amazon Chase Visa is foreign based, I am no longer interested in that card. The annual bonus miles on the Southwest Card are only 3,000 which is only worth around $15 for a big box store gift card.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

According to https://www.doctorofcredit.com/best-dow ... uer-rules/



"You cannot downgrade a co-branded card to a Chase card (e.g a Southwest card cannot be downgraded to the Chase Freedom) and vice versa

Co-branded cards must be downgraded within the same brand. For example, it’s possible to downgrade the United Club Card to the Explorer but it would not be possible to downgrade this to the Chase Amazon"


Guess I am stuck cancelling and taking a chance (since I haven't found any written confirmations from credit agencies) of my auto/home insurance rates increasing by more than $69 per year.
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by jeffyscott »

I think 3000 points are worth around $50, when used for Southwest flights.

Of course, it makes no sense to have a Southwest card, if you are not going to use the points for Southwest flights.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

jeffyscott wrote: Sat Oct 12, 2019 2:08 pm I think 3000 points are worth around $50, when used for Southwest flights.

Of course, it makes no sense to have a Southwest card, if you are not going to use the points for Southwest flights.
Yes, I agree 100%. I used to fly with them a lot but not anymore. Just astonished that cancelling a credit card could lead to auto/home insurance rate hikes. If I go without a credit card for a few months while I wait for a bonus offer, is that going to hurt my credit score and increase my insurance rates too?
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

I also have a negative balance on this card (meaning I overpaid last month). Is it a hassle to get that money back in the form of a check when cancelling a card, or is it automatic?
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by MotoTrojan »

Jags4186 wrote: Thu Oct 10, 2019 7:12 pm Fidelity Visa 2% cashback everywhere
Uber Visa 4% cashback on Restaurants; 3% cashback on airfare, hotels, and airbnb/vrbo; 2% on Uber and online purchase; 1% on everything else
Amazon Prime Visa for 5% at Amazon and Whole Foods

Bank of American Travel Rewards Visa (with Platinum Honors status) 2.625% cashback everywhere
Bank of America Cash Rewards Visa (with Platinum Honors status) 5.25% cashback on category of choice, 3.5% cashback on groceries, gas, and wholesale clubs

The BOA Cash Rewards Visa (with PH status) is the best no annual fee card to use at Costco.

The best card to use at Costco is the US Bank Altitude Reserve which is 4.5% cashback on Apple Pay purchases. But it comes with a $75 net annual fee.
Uber is a great option if loyal to Visa and you spend often on dining or travel.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

From https://thepointsguy.com/guides/how-credit-scores-work/


3. Worrying about your oldest account. While your average account age is a minor factor in your credit score, I’ve heard many people proclaim that you must not close your oldest account. That’s nonsense, since the closed account will continue to appear on your credit history and be factored into your average account age. Whenever someone tells you that there’s some way to improve your credit by keeping an account open, or closing it, just keep in mind that an account doesn’t disappear from your credit history just because you closed it.
criticalmass
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by criticalmass »

DTalos wrote: Sat Oct 12, 2019 5:19 pm From https://thepointsguy.com/guides/how-credit-scores-work/


3. Worrying about your oldest account. While your average account age is a minor factor in your credit score, I’ve heard many people proclaim that you must not close your oldest account. That’s nonsense, since the closed account will continue to appear on your credit history and be factored into your average account age. Whenever someone tells you that there’s some way to improve your credit by keeping an account open, or closing it, just keep in mind that an account doesn’t disappear from your credit history just because you closed it.
This is partially correct but not really relevant. A
closed account will show up on your credit card for a while, usually 7-10 years unless it drops off sooner. But a closed account has never affected my credit score as long as it wasn't late or otherwise deficient. Fortunately I've never had to worry about bad news on my credit report.
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DTalos
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Re: Best No Annual Fee Visa Credit Card with Cash Back

Post by DTalos »

criticalmass wrote: Sat Oct 12, 2019 6:39 pm
DTalos wrote: Sat Oct 12, 2019 5:19 pm From https://thepointsguy.com/guides/how-credit-scores-work/


3. Worrying about your oldest account. While your average account age is a minor factor in your credit score, I’ve heard many people proclaim that you must not close your oldest account. That’s nonsense, since the closed account will continue to appear on your credit history and be factored into your average account age. Whenever someone tells you that there’s some way to improve your credit by keeping an account open, or closing it, just keep in mind that an account doesn’t disappear from your credit history just because you closed it.
This is partially correct but not really relevant. A
closed account will show up on your credit card for a while, usually 7-10 years unless it drops off sooner. But a closed account has never affected my credit score as long as it wasn't late or otherwise deficient. Fortunately I've never had to worry about bad news on my credit report.

So in essence, it will show up, but not have that much of an impact if the closed account was in good standing.

I wonder if card issuers don't allow downgrades on purpose to make customers fret about their credit score and then throw in the towel metaphorically and just pay the annual fee. Talking to the representative was like talking to the wall. 20+ years as a customer charging a high amount yearly with never a late payment meant nothing to them ,and I bet if I was a customer for 40+ years, it would have no impact either. It was like a one size fits all policy.

Anyone in the finance or accounting department or a representative with that kind of background would know that even with an annual fee waiver, my account would be profitable to them.

Too bad there is not a specific retention line.
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