[DISCLOSURE: Cards from our partners are mentioned below.]
Cash back credit cards can be a boon to consumers who like earning rewards for regular spending. Whether they’re at the mall, dining out or filling their gas tank, they can rack up rewards in a snap. Amazon, the online “everything store” founded by Jeff Bezos, offers a variety of cash back rewards cards just for spending as you normally would. In this review, we’ll focus on the Amazon credit card issued by Synchrony Bank.
What Are the Amazon Store Cards?
Amazon technically offers two different types of plastic to loyal customers: the Amazon Store Card and the Amazon Rewards Visa credit card. The first card is issued by Synchrony Bank and can only be used on Amazon. The Amazon Store Card offers between 6 months to 24 months of 0% introductory financing (offers vary based on how much you spend/what you buy). Amazon Prime cardholders, however, may be able to upgrade to a version that lets them earn 5% cash back on all Amazon purchases. (A standard Amazon Prime membership costs $99 a year or $10.99 a month.) The Amazon.com Rewards Visa Card, which we’ve reviewed separately, is a co-branded rewards credit card that can be swiped wherever Visa is accepted.
Keep in mind, if you don’t pay off your purchases in full by the time your intro period expires, you’ll face back-dated interest. The card carries a variable 27.99% annual percentage rate (APR) and no annual fee. Here’s a closer look at the Amazon Store Card offered by Synchrony Bank. (Note: Be sure to read the card statement for its full terms.)
Amazon Store Card
Rewards Details: Cardmembers receive 5% cash back as a statement credit (applied in two billing cycles). They will also receive a $10 Amazon Gift Card upon approval, though the offer may vary.
Annual Fee: None
APR: Variable 27.99%
The Pros & Cons of the Amazon.com Store Card
In terms of perks, the Amazon card is sure to reward loyal shoppers. It carries no annual fee, making it ideal for earning rewards, and offers 5% cash back, which is hard to come by these days. That said, aside from the perks of shopping on Amazon, other credit cards offer comparable cash back incentives. And given the Amazon card’s steep penalty fee for late payments (up to $35), it may not be the best piece of plastic for those who have trouble paying their statements on time. Keep in mind, too, that slacking on payments can be bad for your credit score, as can racking up debt just to earn more rewards. (You can view two of your credit scores for free on Credit.com.) Considering this store card’s high APR, you won’t want to do either.
Our Picks for Alternatives to the Amazon Store Card
If you’re not totally sold on the Amazon Store Card, we’ve picked two potential alternatives. (Again, see card agreements for full details.)
Chase Freedom Unlimited®
- 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 16.99-25.74%. Balance transfer fee is 5% of the amount transferred, $5 minimum
- Unlimited 1.5% cash back on every purchase - it's automatic
- Earn a $150 Bonus after you spend $500 on purchases in your first 3 months from account opening
- No minimum to redeem for cash back
- Cash Back rewards do not expire as long as your account is open
- Free credit score, updated weekly with Credit Journey℠
- No annual fee
Card Details +
Why We Picked It: Cardmembers earn an unlimited 1.5% cash back on all purchases, which can be redeemed for any amount, anytime. Members can earn $150 after spending $500 in the first three months. Adding an authorized user during that time earns $25.
Rewards Details: Every dollar equals 100 points.
Annual Fee: $0
APR: 0% for 15 months on purchases, 16.99% - 25.74% Variable thereafter.
Discover it® Cash Back
- INTRO OFFER: Discover will match ALL the cash back you've earned at the end of your first year, automatically. There's no signing up. And no limit to how much is matched.
- Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, Amazon.com and more up to the quarterly maximum, each time you activate.
- Plus, earn unlimited 1% cash back on all other purchases - automatically.
- Redeem cash back any amount, any time. Rewards never expire.
- Use your rewards at Amazon.com checkout.
- Receive FREE Social Security number alerts-Discover will monitor thousands of risky websites when you sign up.
- No annual fee.
Card Details +
Why We Picked It: For a limited time, Discover is doing an instant dollar-for-dollar match of all the cash back members receive at the end of their first year.
Rewards Details: Cardholders earn 5% cash back on up to $1,500 in purchases in rotating bonus categories (which you do have to activate) each quarter. Cardmembers also earn 1% cash back on all other purchases, which they can redeem at Amazon.com checkout.
Annual Fee: $0
APR: 0% for 14 months on purchases, 13.99% - 24.99% Variable on purchases & balance transfers thereafter
At publishing time, the Chase Freedom Unlimited and Discover it credit cards are offered through Credit.com product pages, and Credit.com is compensated if our users apply and ultimately sign up for these cards. However, this relationship does not result in any preferential editorial treatment.
Note: It’s important to remember that interest rates, fees and terms for credit cards, loans and other financial products frequently change. As a result, rates, fees and terms for credit cards, loans and other financial products cited in these articles may have changed since the date of publication. Please be sure to verify current rates, fees and terms with credit card issuers, banks or other financial institutions directly.
This article last updated October 2nd, 2017.