As an avid Amazon customer, you might have received the offer of the Amazon credit card, which may include the possibility of immediate rewards, such as a gift card of 50 dollars or cashback of up to five percent. Is this card worth it, though? Does it have the most advantages to your wallet and your way of life? This article will deconstruct all the information you should know about the Amazon credit card of its characteristics, advantages, disadvantages, and whether you should get it.
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| Amazon Credit Card: A Complete Guide for Smart Shoppers |
The Amazon Credit Card is What?
The term Amazon credit card may be used to describe a number of items. Amazon in fact provides a number of credit cards in association with Chase and Synchrony Bank. The cards have different purchasing habits and types of users. The two main cards you are going to encounter are:
Chase Amazon Prime Rewards Visa Signature Card (issued by Chase)
Amazon Store Card / Amazon Prime Store Card (issued by Synchrony Bank)
These cards will enable Amazon clients to save money and earn rewards particularly in case they are already Amazon Prime members.
Amazon Prime Rewards Visa Signature Card
This is the flagship credit card offered by Amazon and only Amazon Prime members can avail of this credit card. It works much like any other Visa credit card, in that it can be used wherever Visa is welcomed.
Key Features:
The other product or service that could be offered is 5 percent cashback on Amazon.com and Whole Foods Market.
2 percent cashback on restaurants, gas stations, and drugstores
10 percent cashback on all other purchases
No annual fee (but a Prime membership is needed)
Other perks such as extended warranty, travel insurance and no foreign transaction fees
Ideal For:
Those that have Amazon Prime already and are regular shoppers at Amazon or Whole Foods.
Sign-Up Bonus:
Once you are approved, you usually receive a gift card of between $50 and $100 that is issued by Amazon.
Amazon Store Card / Amazon Prime Store Card
The Amazon Store Card is slightly different. It is a closed loop card, and hence, can only be used on Amazon.com. As a Prime member, you can upgrade to the Amazon Prime Store Card that comes with cashback rewards.
Key Features:
Cashback of 5% at Amazon.com (only Prime members)
Special financing deals (e.g. 6-24 months no interest on purchases of qualifying products)
No membership fee
Ideal For:
Individuals who do not require a conventional Visa card but need to save money when shopping on Amazon or enjoy promotional financing.
Note:
When you are not a Prime member, you cannot receive cashback but can enjoy the payment plans.
Cashback vs. Special Financing: What’s Better?
Perhaps the largest choice that you are going to have in the use of Amazon Store Card is whether to go with cashback of 5% or special promotional financing. That is a breakdown:
Cashback: Good in case you pay balance fully every month. You will get 5 percent of cash back in rewards on every purchase.
Financing: You can also finance a large purchase such as a new laptop or TV and avoid paying interest during the first 6, 12 or 24 months. However, take caution: in the event that you do not pay the complete balance towards the end of the term, then interest will be charged retroactively.
Pro Tip: Special financing is only advised when you are sure you can pay it off by the expiry date of the promotion period.
Credit Score Requirements
Your chances of approval will be tied to your credit report. This is a rough idea of what to expect:
Amazon Prime Rewards Visa: A good to excellent credit is required (a score of 670 or more).
Amazon Store Card: More flexible; individuals with fair credit (scores of about 600+) can be accepted.
Amazon usually provides an opportunity to pre-qualify, yet it does not impact the credit score.
Interest Rates and Fees
Let’s talk about the fine print. While these cards offer rewards, the APR (Annual Percentage Rate) can be quite high.
| Card Type | APR Range | Annual Fee | Foreign Transaction Fees |
|---|---|---|---|
| Prime Rewards Visa (Chase) | ~21.24% - 29.99% | $0 (Prime req.) | None |
| Amazon Store Card (Synchrony) | ~29.99% | $0 | Not applicable |
If you carry a balance, those high interest rates can quickly eat into your rewards. Always aim to pay your balance in full each month.
Where Can You Use Each Card?
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Prime Rewards Visa: Can be used anywhere Visa is accepted — grocery stores, gas stations, online retailers, etc.
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Amazon Store Card: Can only be used at Amazon.com
If you need a versatile card, the Visa version is the better option.
Benefits and Perks
Visa Signature Benefits:
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Extended warranty protection
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Purchase protection
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Travel accident insurance
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Lost luggage reimbursement
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Roadside dispatch service
Amazon-Specific Perks:
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Exclusive Amazon financing offers
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Special promotions for cardholders
Drawbacks to Consider
No credit card is perfect, and the Amazon credit cards come with some caveats:
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Requires Prime Membership: To get 5% back, you must be a paying Prime member ($139/year).
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High APR: Carrying a balance can wipe out your cashback savings.
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Limited Use for Store Card: Can’t be used outside of Amazon.com.
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No Travel Rewards: Not ideal for those looking to earn airline miles or hotel points.
How to Apply
Applying is easy and can be done in a few minutes through the Amazon website:
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Log in to your Amazon account
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Navigate to the credit card section or respond to an offer during checkout
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Fill in the application form with your personal and financial information
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Receive an instant decision in most cases
Once approved, your gift card reward is automatically applied to your Amazon account.
Should You Get the Amazon Credit Card?
Here’s a quick checklist to help you decide:
Get the Amazon Prime Rewards Visa if:
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You already have Prime
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You shop frequently on Amazon and Whole Foods
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You want a card that works anywhere
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You always pay off your balance
Consider the Store Card if:
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You have fair credit
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You mainly shop on Amazon
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You want special financing for big purchases
Skip it if:
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You don’t use Amazon often
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You don’t want to pay for Prime
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You tend to carry a balance
Alternatives to Consider
If you’re unsure about getting an Amazon credit card, here are a few alternatives:
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Citi Double Cash Card: Earn 2% on everything (1% when you buy, 1% when you pay)
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Chase Freedom Unlimited: 1.5% cashback on all purchases plus bonus categories
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Amex Blue Cash Everyday: 3% cashback on U.S. online retail purchases (including Amazon)
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Capital One Quicksilver: Simple 1.5% cashback with no annual fee
Final Thoughts
The Amazon shopper credit card is a good option to buy Amazon and Whole Foods products frequently, and joining Prime is already a good idea. It has no annual fee, with up to 5% back, and valuable Visa benefits, this is a good choice of a savvy, cost-conscious consumer.
But it is not everybody. Unless you use Amazon frequently and have Prime, or you are in the habit of carrying a balance, there are better credit cards available.
Like any financial choice, make sure to take into account your spending patterns, objectives, and credit health, before you apply. When used responsibly, the Amazon credit card can be a very effective way to extend your budget.
The Amazon Credit Card can be considered a great financial instrument, which can be used by regular Amazon customers who can get up to 5% cashback on the purchases made at Amazon.com and Whole Foods Market. The Amazon Credit Card is a card that is specifically made to benefit Prime members and does not charge an annual fee and includes extra benefits such as travel insurance, extended warranty, and purchase protection. It has options like special financing and Visa-wide acceptance which are flexible and therefore it is perfect to those who want to save through shopping online. Be it the necessity to earn as many points and benefits as possible or be it the need to purchase expensive products, this card offers convenience, money-saving, and special Amazon-oriented benefits.
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