The Amazon credit card works best if you shop on Amazon regularly and want cash back on those purchases
Amazon offers two credit cards through Chase: the Amazon Prime Rewards Visa Signature Card and the Amazon Rewards Visa Card. The Prime version gives you 5% cash back on Amazon purchases if you're a Prime member, plus 2% at gas stations and restaurants and 1% everywhere else. The standard Amazon card gives you 3% cash back on Amazon purchases and 1% everywhere else. Neither card charges an annual fee.
Whether either card is right for you depends on three things: how much you spend on Amazon each year, whether you have a Prime membership, and how your spending breaks down across other categories. A card that pays 5% on Amazon but only 1% on groceries might not beat a flat-rate card if you spend more on groceries than Amazon.
Key Takeaways
- The Amazon Prime card pays 5% cash back on Amazon purchases for Prime members, but only if you use it on Amazon — the rate drops to 1% for most other purchases.
- You need to spend roughly $1,500 or more per year on Amazon for the higher cash back rate to meaningfully outpace a flat-rate card.
- The card has no annual fee, but the cash back rewards are only useful if you actually redeem them as statement credits or Amazon purchases.
- Your credit score will be checked when you open the card, and opening a new card can temporarily lower your score by a few points.
- If you rarely shop on Amazon or prefer to use other rewards cards, a different card may give you better returns on your actual spending.
How the cash back actually works
Cash back from the Amazon card posts to your account as a statement credit or as an Amazon.com balance. You don't receive it as a check or direct deposit. This means you can only use the rewards by either reducing your credit card bill or spending the money on Amazon purchases.
The 5% rate on the Prime card only applies to purchases made directly on Amazon.com and the Amazon app. It does not include Amazon Fresh, Amazon Business, Whole Foods, or third-party sellers who use Amazon's marketplace but process payments outside Amazon's system. If you buy from a third-party seller through Amazon, the purchase still counts as an Amazon purchase and earns 5%, but you need to verify the payment went through Amazon's checkout.
Rewards post monthly, usually within a few days of your statement closing date. There is no cap on how much cash back you can earn in a year, and rewards don't expire as long as your account remains open.
When the Amazon card makes financial sense
The card pays off most clearly if you spend at least $1,500 per year on Amazon and have a Prime membership. At that spending level, the 5% rate generates $75 in annual cash back compared to the 1% you'd earn with a flat-rate card — enough to justify carrying the card even if you don't use it elsewhere.
The card also makes sense if you already carry multiple rewards cards and want to consolidate Amazon spending into one place. Tracking rewards across three or four cards creates friction; if Amazon is your largest single retailer, putting that spending on one dedicated card simplifies the math.
The standard Amazon card (without Prime) is rarely the best choice. Its 3% rate on Amazon purchases is competitive, but only if you don't have a Prime membership. If you do have Prime, the Prime card's 5% is strictly better. If you don't have Prime, most other cards offer 3% or better on rotating categories or specific retailers, so you'd need to shop Amazon heavily to justify it over a card that also pays 3% on groceries or gas.
The downsides and trade-offs
The biggest downside is the low cash back rate outside Amazon. At 1% on everything else, you're giving up rewards on the categories where you probably spend the most money — groceries, gas, utilities, and dining. If you use the Amazon card for everyday purchases and keep a second card for other categories, you're managing two cards instead of one. If you use only the Amazon card, you're leaving money on the table.
Opening a new credit card triggers a hard inquiry into your credit report, which can lower your credit score by a few points for a few months. If you're planning to explore for a mortgage or car loan soon, opening a new card might not be worth the timing. The impact is usually small and temporary, but it's real.
The card's rewards are only useful if you actually redeem them. Some people earn cash back and forget to use it, or let it sit in their account indefinitely. If you're not disciplined about redeeming rewards, the card's benefits disappear.
How to compare the Amazon card to other options
Before opening the Amazon card, list your spending for the past three months across these categories: Amazon, groceries, gas, restaurants, and everything else. Add up each category and multiply by four to estimate annual spending.
Then compare the Amazon card's rewards to at least two other cards. A flat-rate card that pays 2% on all purchases, for example, would earn $30 per year on $1,500 of Amazon spending — less than the Amazon card's $75, but it also earns 2% on groceries and gas instead of 1%. If your grocery and gas spending is high, the flat-rate card might win overall.
Similarly, a card that pays 5% on groceries and 3% on gas might beat the Amazon card if you spend more on those categories than on Amazon. The math only works in Amazon's favor if Amazon is genuinely your largest spending category.
What happens after you open the card
Once approved, your card arrives in 7 to 10 business days. You can add it to your Amazon account when ready and start earning rewards on your next purchase. The card works like any other Visa — you can use it anywhere Visa is accepted, though you'll only earn the higher cash back rate on Amazon purchases.
Your credit limit is set by Chase based on your credit score and income. You can request a higher limit after 6 months of on-time payments. Carrying a balance on the card costs interest just like any other credit card; the cash back doesn't offset interest charges, so you should pay the full balance each month if possible.
If you decide the card isn't working for you, you can close it at any time. Closing a card can slightly lower your credit score because it reduces your total available credit, but the impact is usually small and temporary. Your rewards don't disappear when you close the card — you can still redeem them afterward.
Frequently Asked Questions
Do I need a Prime membership to get the Amazon card?
No. You can open either the Prime card or the standard Amazon card without a Prime membership. The Prime card's 5% rate only applies if you have an active Prime membership at the time you make the purchase, so if your membership lapses, you'll earn 1% instead of 5% on Amazon purchases until you renew.
Can I use the Amazon card to pay my Amazon credit card bill?
No. You cannot use a credit card to pay another credit card bill. You can pay your Amazon card bill using a bank account, debit card, or check. Rewards from the card can be applied as a statement credit to reduce your bill, but you can't use the card itself to make the payment.
What's the difference between the Prime card and the standard Amazon card?
The Prime card pays 5% cash back on Amazon purchases for Prime members, while the standard card pays 3%. The Prime card also offers additional benefits like extended return windows and purchase protection. Both have no annual fee. If you have Prime, the Prime card is the better choice.
Will opening this card hurt my credit score?
Opening a new card will trigger a hard inquiry and temporarily lower your score by a few points, usually 5 to 10 points. The impact fades within a few months. Keeping the card open and making on-time payments will help your score recover and improve over time.
Can I earn rewards on Amazon Fresh or Whole Foods purchases?
No. The 5% rate applies only to Amazon.com and the Amazon app. Amazon Fresh and Whole Foods purchases earn 1% cash back with the Prime card. Some other cards offer higher rates at grocery stores, so you might earn more by using a different card at Whole Foods.