Multiple choice technology mainframe What is Annual Fee? It is the Membership fee which is charged annually. It is the Service Charge billed based on the number of transactions done in a Year. It is the fee Merchant bank pays to Issuer Bank annually None of the above Reveal answer Fill a bubble to check yourself A Correct answer Explanation An annual fee is a recurring yearly membership charge for the privilege of holding and using a credit card. It is not calculated based on transaction volume (unlike service charges) nor is it an interbank fee paid between merchant and issuer banks.