How to Choose a Credit Card With a Moderate Annual Fee
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Fee-free credit cards and very premium credit cards both have their place, but what if you’re looking for something in the middle? For users who are willing to pay a yearly credit card fee, but don’t want to pay hundreds of dollars every year, a card with a moderate annual fee of around $100 could be the right choice. Here are the four things you need to do so you can make sure you’re choosing the right one.

1. Make Sure You’re Going to Use the Card Regularly

Any time you’re going to apply for a credit card that has a yearly fee, you need to make sure you’ll use the card often enough to justify that fee. This is true no matter the size of the fee. If this is your fourth or fifth credit card and you’re not planning on making it a premium card, it’s best to look for a fee-free card. However, moving your card with the highest annual fee to your most regular usage is the best way to use that card for savings.

2. Check for a Sign-On Bonus

Sign-on bonuses are common for companies to try and convince more people to sign up for a card. For example, the BoA Premium Rewards card from Bank of America gives you a 50,000 point bonus if you qualify for the sign-on bonus, which you can redeem for up to $500 of rewards. This sign-on bonus by itself can cover over five years of annual fees, which is quite the deal as long as you can qualify for it.

3. Look at Any Statement Credits or General Bonuses

Yearly statement credits are a good way to reduce your annual fee. The BoA Premium Rewards card, for example, could end up being essentially free with its credit options – you can qualify for a $100 statement credit for certain fees, which is more than the annual fee and could be a good way to get the most out of that yearly fee.

4. See If There Are Any Relationship Bonuses

Relationship bonuses are a unique way of getting more out of a specific credit card. Essentially, with a relationship bonus, you get more rewards from a card if you have money stored with the bank that issues the card. The more money you have in an account with that bank, the better your rewards. Typically, these are issued as a percentage bonus every time you make a purchase.


Cards with a moderate annual fee are great for a lot of families. Not only do you have a fairly low yearly fee to deal with, but you’ll also have a lot of the same benefits that premium credit cards frequently come with. These credit cards can be a great way to save as long as you’re using them in the best way. These four things can help you get the most out of your credit card, no matter what your yearly fee is.

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