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Update: Doctor of Credit reports the minimum load amount for Amazon Allowance is now $5.
Some rewards cards such as the American Express Everyday Preferred (which has a great bonus at US supermarkets) require you to make a minimum number of purchases each month to earn the full benefits.
Keeping track of this can get time-consuming and frustrating.
Via Doctor of Credit, Amazon Allowance can make it easy!
Let’s take a look at how Amazon Allowance works and how it can help you earn more points!
What’s Amazon Allowance?
Link: Amazon Allowance
You can use Amazon Allowance to send 1-time, weekly, or monthly Amazon gift cards to friends, family, or even yourself! And it’s free!
You can add to your high school student’s Amazon balance for doing chores, Grandma can help her grandchild pay for college books and supplies, or you can give friends and family Amazon credits as a birthday gift.
Sending Amazon allowance is easy:
Step 1 – Visit the Amazon Allowance Page & Sign-In
Go to the Amazon Allowance site and click the “Give Allowance” button. If you aren’t already logged into your Amazon account, you’ll be prompted to sign-in.
Step 2 – Set Your Allowance Details & Select Payment
Enter the details for your gift card allowance including:
- Allowance Name – This could be the name of the recipient, the credit card you’re using, or whatever else works for you
- Amount – You can send a minimum of
50 cents$5 per transaction
- Recipient – Email address for the person you’re sending the money to (could be yourself)
- Schedule – Send a the allowance once, weekly, or monthly
Then choose your payment method.
Step 3 – Create Allowance
Finally, click the “Create Allowance” button. You’ll receive an email confirming that your allowance has been created.
The person you’ve sent an allowance to, will receive an email confirming the funds were added to their account.
How to Make Amazon Allowance Work for You!
This tool can help you earn more points and keep a good credit score!
Keep Your Cards Active
Instead, I keep them because they help me establish a history with the bank and a longer credit history, which accounts for 15% of your FICO score.
But you can’t just let cards sit in your drawer forever. That’s because many banks will close your account if there’s no activity for 6 to 12 months. With Amazon Allowance, you can schedule a transaction every ~5 months to ensure your account stays in good standing.
Meet Monthly Transaction Requirements
Best of all, Amazon Allowance can help you keep up with minimum transaction requirements to earn more points.
- American Express Everyday – 20% more points when you complete 20+ transactions each month
- American Express Everyday Preferred – 50% more points when you complete 30+ transactions each month
Are There Drawbacks?
This is a new tool, so the limitations of the system are still unknown. So don’t overdo it!
Too many charges could set off red flags with the bank or Amazon and get you shut down. For instance, making repeated small Amazon transactions to your AMEX Everyday Preferred card may raise suspicion.
With Amazon Allowance, you can schedule recurring Amazon purchases with your credit card.
You can send as little as
50 cents $5 at a time and there are NO fees.
This is an excellent way to keep your cards active and meet monthly transaction requirements so you can earn more points!