Is the Amazon Prime credit card worth it?
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The best credit card for Amazon purchases hinges on one question: Is an Amazon Prime membership worth it to you?
Amazon Prime comes with great perks, like free two-day shipping, access to a sizable library of movies and music, access to deep discounts on Prime Day and more.
Everyone on the MMS team has an Amazon Prime membership. If you’ve got one, too, the Chase Amazon Prime Rewards Visa Signature Card is a no-brainer to quickly rack up cash for your online spending.
The information for the Chase Amazon Prime Rewards Visa Signature Card has been collected independently by Million Mile Secrets. The card details on this page have not been reviewed or provided by the card issuer.
Let’s examine the yearly value of this no annual fee card.
Is it worth getting the Amazon Prime card?
Great earning rate
Let’s cover the best card benefit straightaway – its earning rates. You’ll get:
- Up to 5% back for Amazon and Whole Foods purchases
- 2% back at gas stations
- 2% back at restaurants
- 2% back at drug stores
- 1% back on everything else
Earning up to 5% back with Amazon is pretty great for a no annual fee card. After all, they sell just about everything. However, the catch is that you must have an Amazon Prime membership to get 5% back (otherwise you’ll only earn 3% back for Amazon and Whole Foods) – and Amazon Prime does have an annual fee.
Easy sign-up bonus
You’ll receive a $100 Amazon gift card immediately upon approval for your card. No minimum spending requirement, no waiting to spend it. This is the single easiest bonus on the market now (though far from the most generous – check out our Credit Card Bonus Tracker to see the crazy deals out there!).
Bonus Rewards with Amazon
The card will give you up to 20% back on rotating Amazon categories and products. If you’re lucky enough to spend heavily in these categories, you’re making out like a bandit.
No foreign transaction fees
When you travel outside the U.S., many cards will charge you a 3% fee just for swiping in another country. That’s inexcusable, so be sure to take with you a card like the Amazon Prime Rewards that waives this ridiculous fee.
Useful for a card that rewards you for online shopping, the Amazon Prime Rewards gives you purchase insurance of up to $500 per claim ($15,000 per account) against covered items. You’ll even receive an extra year added to the manufacturer’s warranties of three years or less.
Various travel perks and insurances
This card is far from the best travel credit card on the market. If you’re looking for the perfect rectangular travel companion, read our post on the best travel credit cards.
Even so, this card comes with a few decent perks:
- Visa Signature Luxury Hotel Collection – Potential benefits like room upgrades, free Wi-Fi, food/beverage credits, etc. at 900+ hotels worldwide
- Baggage delay insurance – Up to $100 reimbursement per day for three days for bags delayed more than six hours
- Auto rental collision damage waiver – Secondary insurance to cover your rental car in case of theft and exterior damage
- And more
Read our Amazon Prime Rewards Credit Card review for everything you need to know about this card.
Is the Amazon credit card worth paying for Amazon Prime?
Here is the crux of the matter. The Amazon Prime Rewards card has no annual fee, so its perks are essentially free. But to get the best return from the card, you’ll need an Amazon Prime account.
Amazon Prime costs $119 per year. But it comes with some really solid perks that make it a no-brainer if you do any meaningful shopping on Amazon:
- Free two-day delivery (or less!) on tens of millions of items
- Tons of free TV shows and movies
- Free streaming for millions of songs
- Exclusive Prime member discounts
- Unlimited access to 1,000+ eBooks
These benefits alone are enough to convince literally every MMS employee to keep Amazon Prime year after year. But getting an extra 2% back on all Amazon purchases is exceptional.
To reiterate, a $119 annual fee would not be worth it just to earn 5% back at Amazon instead of 3%. You’d have to spend $5,950 annually on Amazon before you began to profit from the extra 2% back.
The other Amazon card
Amazon technically has two credit cards. And you can’t choose which one you apply for.
If you have a Prime membership, you will be directed to the Amazon Prime Rewards Visa Card application page. If you don’t have a Prime membership, you will be directed to the Amazon Rewards Visa Card page.
These cards have nearly identical benefits, except for the following:
- The Amazon Rewards Visa comes with a $60 sign-up bonus upon approval (instead of $100)
- 3% back at Amazon and Whole Foods (instead of 5%)
- You will not earn 20% back on rotating Amazon categories and products
For a no annual fee card, you’ve got little to lose by opening this card. But it wouldn’t make our list of the best Amazon credit cards.
How to get the most out of Amazon credit cards
As I say, Amazon sells just about everything. You can buy toiletries, food, even perishable items depending on where you live. You should be able to get 3%-5% back on the lion’s share of your purchases if you’re a skilled Amazon shopper.
Add to that the fact that you can buy many gift cards from Amazon. If you or someone you know wants something from another merchant, check to see if you can buy a gift card on Amazon for them! Much better than swiping your Amazon Prime Card at the store and earning just 1% back.
Statistically, over 40% of online shoppers are making Amazon purchases every single month. If you’re one of them, you probably have Amazon Prime.
A fantastic complement to this membership is the no-annual-fee Amazon Prime Rewards Visa. Because it’s free to keep forever, it’s an easy decision to earn 5% back on all Amazon purchases.
This card may even be a great way to get Amazon prime for effectively free! Spending $200 per month with Amazon would net you $120 per year, canceling out your $119 Amazon Prime fee. Read our post on the best Amazon credit cards! And subscribe to our newsletter for more credit card analysis delivered to your inbox once per day.
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Capital One Venture Rewards Credit Card
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No foreign transaction fees
17.24% – 24.49% (Variable)
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