Credit card annual fees for points collectors are a fact of life. If you want a card that will earn y'all the nigh points, you're almost certain to accept to pay a fee with the card. Only are there whatsoever means to waive the annual fee?

The answer is 'yes', only more than often than not, you lot'll be left to pay the fee in one case your first year is upwards. There'south no damage in asking your bank if there are whatever account retentiveness offers available to you before the fee is charged.

This guide helps build a crowd-sourced list of banks, credit cards and tactics you tin employ to help get your almanac fees reduced or waived entirely. It'll help you to sympathise and accept advantage of if y'all decide to do the aforementioned.

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What are my chances of getting my annual fee waived or reduced?

A key factor in your value to a depository financial institution is how much you lot utilise a card. Logic would dictate that the more you employ a credit carte, the more you are worth to a depository financial institution in merchant fees paid by the retailers you lot shop at. Although there's no bear witness of specific retention offers to back this up, that has to exist a factor in how much a bank would want to keep your custom.

Then if you have a card that you desire to keep for the benefits or points earn into subsequent years later on you've commencement signed up, you lot'll probably have more run a risk of the bank wanting to keep you lot if you lot've actually used the card.

What should I consider before I telephone call?

When it comes to actually requesting a fee waiver, this would commonly be done at the point of requesting a cancellation on the card, which is almost always over the phone.

(Instead of over the phone, you could also try using secure messaging in your bank's message area to ensure the communication betwixt yous and your depository financial institution is clear. Still, more often than not, I've constitute that the bank will merely enquire you to call them anyway.)

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It's best to contact the bank by telephone (not online).

You lot'll demand to determine earlier you get on the phone whether you are willing to get through with a card cancellation there and then, or whether yous are simply testing the waters.

Some of the chief factors that would decide if you're willing to go through with the cancellation are:

  1. How tied to the bank you are: do yous have multiple products or a mortgage parcel which can't exist unbundled, for instance (in which case, the residual of this guide is probably not and then relevant)
  2. How close to the almanac fee y'all are: the closer yous are, the less fourth dimension you take to brand a decision
  3. How many points you lot are owed: if using a bank rewards program you will lose the points if you abolish your business relationship, so transfer them out. If yous are on a monthly directly-sweep card, y'all should wait until equally soon subsequently the business relationship has swept the points over — or ask the phone agent if they can tell y'all whether cancelling your account volition stop the next points sweep
  4. Whether y'all've used all your benefits: free flights, actress hotel nights and other travel benefits should exist used earlier you abolish, if you lot can
  5. Are you relying on insurance included with the carte du jour: if so, consider the price and human activity of taking out your ain policy if you decide to cancel the bill of fare
  6. The inconvenience of cancelling: how many direct debits yous have with the bill of fare that will demand changing, and how much fourth dimension y'all have to administrate the changes

What practice I ask the banking concern?

I've heard from many people about how they have dealt with their bank, and invariably being polite, clear and concise is the way to go. I'd suggest something like this gets the conversation off on the right foot:

My almanac fee is due soon and I'one thousand considering the various credit cards I currently concur. Before I make a decision to abolish this card, could you allow me know if y'all can offer any incentives to keep it?

Express clearly that you are considering cancellation, and could be willing to go through with it. Exist articulate well-nigh the reason why you are considering cancelling, if asked.

Have the card's features changed since you originally applied for it, or the rewards plan no longer preferred? If the bank doesn't get good feedback, they don't know why they are losing a customer.

You should likewise consider clearing the balance on your menu earlier yous call. This means you lot should exist ready to go through with cancelling your account if you determine to do and then.

The new rules that came into effect in 2019

Note that since 1 January 2019, credit card rules accept go stricter for lenders. They must provide an ability for credit cards to be cancelled online. In addition, the credit bill of fare provider is obliged to aid the cardholder in whatsoever of their requests. Nonetheless, requests for fee waivers can still be made.

So, for example, if the cardholder says, 'I wish to shut my card,' and so the provider must reasonably assist in doing this, pregnant that they cannot proactively offer bonus points to retain the cardholder'due south business organization.

Credit Cards on wallet
Due to strict consumer laws, it all depends on how you lot frame the conversation.

However, if you say, 'I'1000 thinking about closing my bill of fare, but would like to explore if you lot have any offers available to me before I decide to close,' then a bonus retentivity offer is all the same okay.

What should I expect from the banking company?

Your bank will commonly be able to tell you immediately over the phone if they have an offering available to you. Even so, you may exist transferred to someone whose job it is to handle cancellations specifically. An offering might include:

  • A memory bonus, instead of a fee waiver (for example, bonus points or a balance transfer offer)
  • Discounted annual fee or fully-waived annual fee
  • A combination of the above
  • No offer at all*

*No retentivity offer at all is quite common, so don't get too disappointed if your banking company doesn't want to help yous out and continue y'all as a client.

Summing up

The most important matter when approaching a conversation with your bank nearly your almanac fee is to be prepared.

Firstly, you'll demand to do the maths so that you tin determine whether or not it's worth keeping the card at the full almanac fee, a reduced one or just if information technology is completely waived.

Next, you lot'll want to brand certain you have used all of the bachelor benefits attached to the card, such as complimentary flight benefits or lounge passes. You'll likewise want to consider transferring all of the points out of your account and paying off your balance.

Finally, when y'all do come to call the bank, be clear in your request. Make certain it invites the bank to offer you something, using language similar, 'I'd similar to explore if you lot have whatever offers available to me before I decide to close this card'.

Are yous in the market for a new card? Check out our current rewards card offers, or our table of all the electric current points earn rates on every rewards card.

In the comments below, many have shared their experiences to assist others know what their chances are in getting a fee waived or reduced for a specific carte du jour.

Everyone'south circumstances with their banking concern differ, just it should give some idea on the various policies and offers that are out there. Feel free to share your experiences too!