Commonwealth Bank Low Fee Credit Card

Pauline Hatch

Pauline is a personal finance expert at CreditCard.com.au, with 8 years in money, budgeting and property reporting under her belt. Ask Pauline a Question about this card.

The Commonwealth Bank Low Fee Credit Card

With a low standard annual fee, the Commonwealth Bank Low Fee Credit Card is designed for cardholders who want to pay minimal annual fees in return for a fairly basic card. The card keeps it simple with very few features on offer, a low monthly fee of $3 ($36 per year) which can be waived for cardholders who spend at least $300 within a statement period.

What we love...

With the Commonwealth Bank Low Fee Credit Card, the focus is most definitely on annual fees. As you would expect from a card with ‘low fee’ in its name, this card offers a monthly fee that's cheaper than a latte. And, if you spend at least $300 on the card each month, you won't pay the $3 fee the following month.

To add more spice to this low rate card, CommBank presents up to $200 cashback ($50 per month) when you apply for a new card by 29 February 2024 and spend $500 or more per month (excluding balance transfers and cash advances) within the first 4 months. Cashback will be deposited to your account within 90 days when the spend criterion is met and will appear on your statement as ‘CASHBACK $50’.

If you want to add an additional cardholder to your account – perhaps your partner or one of your kids – you can do so at no extra cost. This can help you to keep costs at a minimum, while still enjoying access to credit. As long as you spend at least $300 each month, the monthly fee is waived, meaning you could keep the card in your wallet for free.

One way you can avoid interest – and you will want to avoid interest on this card given its high purchase rate – is to use the interest free feature. This gives you up to 55 days interest free on purchases. Take note, the number of interest free days available will depend on when the purchase is made, and how far through the statement cycle it is.

As with most low fee cards, the Commonwealth Bank Low Fee Credit Card offers only a basic set of features. These provide you with access to Priceless Cities offers and experiences, and to some handy tools for budgeting and tracking your spending. This can help you keep more control over your spending, which should make it easier to pay off your balance month-to-month.

What’s not so great...

With credit cards, there are often trade-offs. With rewards comes a high annual fee. With a low annual fee comes high interest. This is the case with the Commonwealth Bank Low Fee Credit Card. It has a high rate of interest on purchases and cash advances, so if you really want to make the most of its low annual fee, you’ll have to clear your balance before interest starts accruing.

As we’ve mentioned, this card is not big on features. It doesn’t provide a rewards program, it doesn’t offer fancy extras, and it hasn’t got any enticing introductory offers. So, if that’s what you’re looking for, you’ll need to look elsewhere. Be aware though, for those features, you may end up paying a much higher annual fee.

Why should you choose this card?

If you want to keep annual fees low, the Commonwealth Bank Low Fee Credit Card could be a great choice. If you only use your card to access credit – and then pay off what you owe before interest starts accruing – then this card could help you to save on annual fees, while providing you with the basics.

These basics offer control over your card, with the ability to instantly lock, block or limit your card through the CommBank app or NetBank. You can set a Spending Cap to limit your spending, and work on your budget using the card’s Spending Tracker & Insights.

Of course, you also have Mastercard Global Service at your fingertips, providing 24/7 emergency overseas assistance if you lose your card. Meanwhile, Mastercard Zero Liability offers free protection against fraud and other unauthorised transactions, and 24-hour fraud protection designed to detect any abnormal transaction spending habits.

Overall Rating

A no frills card that can help keep costs low – as long as you don’t carry a balance – the Commonwealth Bank Low Fee Credit Card offers a low monthly fee and the opportunity to pay no fees at all if you spend $300 on your card each month plus up to $200 cashback that you can spend however you want.