Preheat Oven – Set oven to 250°F (120°C) and line a baking sheet with parchment paper.
Coat Crackers – Place oyster crackers in a large bowl, drizzle with oil or butter, and toss gently to coat.
Add Seasonings – Sprinkle dill, garlic powder, onion powder, salt, and optional paprika. Toss until evenly coated.
Bake – Spread crackers in a single layer on the baking sheet. Bake for 15–20 minutes, stirring halfway through.
Cool & Store – Remove from oven, cool completely, and store in an airtight container up to one week.