Don’t let credit card annual fees eat your up. You have options.

A credit card practice tip from Llama (as Llama just took care of this today).

Always evaluate your credit card annual fees when they come due.

Not all credit card annual fees are bad if you are getting benefit out of the card, such as travel perks/rewards/protections/etc.
BUT, if you are no longer getting the benefits, don’t feel like you have to pay the fee. You have 30 days from when the fee hits your account to make that decision and cancel/get reimbursed for that fee.

There are options when deciding not to hold that card anymore and pay the fee.

First: Straight up cancel the card. Make sure this isn’t your oldest card, as length of credit affects your credit card. In this case Llama recommends product changing the card to a no annual fee card.

Second: contact the card issuer using the number on the back of the card to see if there is a retention offer. The bank may offer you some points or rewards to keep the card and make a charge activity. This may be beneficial, Evaluate! Again, think through your goals.

Third: product change the card to a no-annual fee card with the issuer. In Llama’s case it was to an no-annual fee, cash back card. In Llama’s case it was to product change from Capital One Venture to a Capital One Quicksilver card.

Llama got to keep his credit history and credit limit, which is a good thing.

Just know your options and remember you don’t have to keep paying annual fees if you don’t use a card at all. It is your money, keep it. You are just a number to the bank issuers.

Llama uses a free website, TravelFreely, to track his credit cards. One feature is that it alerts him to when annual fees are due. Here is a link to TravelFreely https://my.travelfreely.com/share?ref=20843 (not sponsored)

Llama likes this site as it doesn’t connect to any of your accounts directly. But it has been so helpful in Llama’s overall credit, budget, and travel journey.

Llama does have a referral code for the Capital One Quicksilver Cashback card which is an excellent card to have. https://i.capitalone.com/J2cupZKUA

Happy travel memories making to everyone out there.