Credit cards have become a popular financial tool for Filipinos, offering convenience, security, and rewards. Whether you’re buying groceries, paying bills, or shopping online, credit cards provide a flexible way to manage your finances. But one factor many overlook when choosing a card is the annual fee.
Annual fees can range from a few hundred pesos to thousands per year, and these costs add up, especially if you’re just starting or don’t use your card often. This is why many people look for credit cards with no annual fees. Not having to pay yearly fees means more savings and less pressure to meet spending requirements.
In this guide, we’ll explore everything you need to know about no annual fee credit cards in the Philippines—how they work, their advantages and disadvantages, the best cards available in 2025, and tips on choosing and using them wisely.
What Are Credit Cards with No Annual Fees?
Definition and How They Work
A no annual fee credit card is a card that either permanently waives the yearly fee or waives it for the first year or so. This means cardholders don’t have to pay an extra charge every year simply to keep the card active.
Permanently Waived vs. First-Year Waived
- Permanently waived fee cards never charge an annual fee. These are great if you want to avoid recurring charges.
- First-year waived cards offer a free first year but charge fees in subsequent years unless you meet certain spending thresholds.
Who These Cards Are Ideal For
- New credit card users who want to avoid fees as they learn responsible usage.
- Light spenders who don’t want to worry about fees if they don’t use their cards much.
- Budget-conscious consumers looking to save on costs but still enjoy card benefits.
Pros and Cons of No Annual Fee Credit Cards
✅ Advantages
- Cost Savings: No annual fees mean you save money yearly, especially if you don’t maximize rewards or benefits.
- Encourages Responsible Spending: Without high fees, you can manage your spending more carefully without pressure.
❌ Disadvantages
- Higher Interest Rates: Some no-fee cards charge higher interest rates to balance the lack of fees.
- Fewer Rewards & Premium Features: These cards may offer fewer cashback options, travel perks, or exclusive access compared to premium cards.
Best Credit Cards with No Annual Fees in the Philippines (2025)
Here are the top picks for no annual fee credit cards available this year, with key features to help you decide.
| Card Name | Interest Rate (p.a.) | Cashback / Rewards | Requirements | Application Link |
|---|---|---|---|---|
| Security Bank Complete Cashback Mastercard | 3.50% – 5.00% | 1% cashback on all purchases | Minimum income: PHP 15,000 | Apply Here |
| Citi Simplicity+ Credit Card | 3.88% | No late fees, simple cashback | Minimum income: PHP 20,000 | Apply Here |
| UnionBank Rewards Credit Card | 2.99% | Points redeemable for vouchers | Minimum income: PHP 20,000 | Apply Here |
| Metrobank M Free Mastercard | 3.25% | Cashback on groceries & bills | Minimum income: PHP 15,000 | Apply Here |
| RCBC Flex Visa/Mastercard | 3.50% | Flexible payments, rewards points | Minimum income: PHP 15,000 | Apply Here |
| PNB Ze-Lo Mastercard | 3.75% | Discounts and cashback offers | Minimum income: PHP 15,000 | Apply Here |
| BPI Edge Card (check promos for waiver) | 3.50% | Cashback on groceries, dining | Minimum income: PHP 20,000 | Apply Here |
Why Choose a No Annual Fee Credit Card?
Here’s why many people choose a No Annual Fee Credit Card:
1. Save Money on Fees
The biggest benefit is obvious — you don’t have to pay a yearly fee just to keep the card. That means you can avoid extra costs and save money, especially if you don’t use your credit card frequently.
2. Ideal for Occasional Users
If you only use your credit card sometimes, a no annual fee card makes more sense. You avoid paying for perks or rewards you might not fully use.
3. Build or Maintain Credit Without Extra Cost
If you’re building your credit history or want to keep an older card open to maintain your credit score, no annual fee cards help you do that without additional expenses.
4. Lower Financial Commitment
Without the worry of an annual charge, you have less financial pressure. If your spending habits change or you want to switch cards, you can do so more easily.
5. Flexible for Budget-Conscious Users
For people watching their budget carefully, not having a fixed yearly cost means more control over their finances.
6. Good Entry-Level Cards
Many beginner-friendly or student credit cards come with no annual fees, making them perfect for first-time cardholders.
How to Qualify for a No Annual Fee Credit Card
General Eligibility
- Age: Usually 21 to 65 years old
- Income: Minimum monthly income of PHP 15,000 to PHP 20,000, depending on the bank
- Employment: Employed, self-employed, or business owner with stable income proof
Credit Score and History
- Good credit history increases your chances of approval.
- Banks may require proof of income, billing statements, and valid ID.
Tips to Increase Approval Chances
- Maintain a clean credit record (no late payments or defaults).
- Avoid applying for multiple cards at once.
- Provide complete and accurate documentation.
- Keep your debt-to-income ratio low.
Tips for Using No Annual Fee Credit Cards Wisely
- Avoid Late Payments: Always pay at least the minimum due before the deadline to avoid penalties.
- Watch for Hidden Charges: Some cards may have fees for cash advances, foreign transactions, or over-limit spending.
- Maximize Cashback and Promos: Use your card on categories with the highest cashback or during promotional periods.
- Use for Recurring Payments: Bills like utilities or subscriptions help build your credit history when paid on time.
Common Fees You Still Need to Watch Out For
- Late Payment Fees: Can be hefty and add up if you miss deadlines.
- Cash Advance Charges: Usually high-interest rates and extra fees.
- Foreign Transaction Fees: Applied when using your card abroad or for international online purchases.
- Over-limit Penalties: If you exceed your credit limit, extra fees may apply.
How to Apply Online (Step-by-Step)
- Choose the right card: Compare features and eligibility.
- Prepare documents: Valid ID, proof of income (latest payslip or ITR), proof of billing address.
- Complete the online application: Fill in accurate details on the bank’s website or app.
- Wait for approval: Banks usually take 3 to 7 business days.
- Activate your card: Follow bank instructions after delivery.
Online vs. In-branch Application
- Online applications are faster and more convenient.
- In-branch applications offer face-to-face support but may take longer.
Conclusion
No annual fee credit cards are a smart choice if you want to save money without missing out on basic credit card benefits. They help you build credit responsibly while avoiding extra yearly costs.
Before applying, compare cards carefully based on your spending habits and lifestyle. Choose one that fits your budget and goals.
🔗 Visit our website for more credit card reviews and updates.
FAQs
Are no annual fee credit cards really free?
Yes, they have no yearly fee, but other fees like late payment or cash advance may still apply.
Do these cards offer rewards or cashback?
Many do, but usually with lower rates compared to premium cards.
Can I upgrade to a premium card later?
Yes, most banks allow card upgrades with better perks.
Is it easy to get approved for these cards?
Approval depends on your income, credit history, and documentation.
How do I know if my card has a waived annual fee?
Check the card terms or ask the bank if fees are permanently waived or just for the first year.
What is a No Annual Fee Credit Card?
A No Annual Fee Credit Card is a type of credit card that does not charge you a yearly fee just for having the card. Unlike many traditional credit cards that require an annual payment regardless of how much you use the card, no annual fee cards allow you to keep the card active without that fixed yearly cost.
How to Choose a Credit Card with No Annual Fee
It’s important to check the interest rates (APR) because a card without an annual fee might still have high rates, which can cost you if you carry a balance. Next, consider the rewards and benefits offered; many no annual fee cards still provide cashback, points, or discounts, so choose one that matches your spending patterns, like groceries or gas.
Disclaimer
This article is for informational purposes only and does not constitute financial advice. Credit card terms and conditions may change without notice. Always check directly with your bank before applying. Use credit responsibly to avoid debt.
