It should come as no surprise that people spend a significant amount of money on Amazon given the accessibility of millions of products. You will want to make sure that you are using a card that makes the most out of your purchases from the Amazon website, regardless of whether you are a casual Amazon consumer or have reached the point where the online retail giant's "Recommended for You" section knows you better than your closest friend.
However, to figure out which credit card is best for you to use for Amazon transactions, you need to look beyond the points-earning rates offered by each card and consider a variety of other aspects, such as the rewards currencies offered, the purchase protection offered, and the extended warranty options. Depending on the nature of the transaction at hand, you might even want to think about using a different card in certain circumstances. In addition, the choice that is best for you may change depending on whether or not you are a member of Amazon Prime and what other cards you already carry.
In conclusion, there is a possibility that you could be qualified for a discount of up to fifty per cent on your purchase if you apply just one point from American Express or Chase to your purchase. This is the case even if you do not use a card that is part of the promotion.
Here is a look at some of the finest credit cards to use when doing your shopping at Amazon, bearing all of those considerations in mind.
- The Amazon Prime Rewards Visa Signature Card is the best credit card to use when making transactions on Amazon.
- Both the Capital One Venture X Rewards Credit Card and the Capital One Venture Rewards Credit Card come with a variety of perks.
- Pursue Freedom Unlimited as your goal.
- Cash Back when you use Discover it®.
- American Express® Gold Card holder's privileges.
- The Chase Freedom as well as the Chase Freedom Flex (through Q2).
The information regarding the Amazon Prime Rewards Visa Signature card, the Discover it Cash Back card, and the Chase Freedom card has been gathered by The Points Guy on his initiative. The information regarding the card that can be found on this website has not been reviewed or supplied by the entity that is the issuer of the card.
Card with Amazon Prime Rewards and the Signature Visa Logo from Amazon
At first blush, it would appear that Amazon's very own Prime Rewards Visa is the most exciting choice, and for the vast majority of people, this is the case. It is important to note that the Amazon Prime-only Visa credit card, which should not be confused with the standard Amazon Rewards Visa, does not have an annual cost. (though you do need to pay for Prime membership, obviously).
It provides a generous 5% cash back on all purchases made at Amazon and Whole Foods, 2% cash back at restaurants, gas stations and drugstores, and 1% cash back on all other types of transactions.
The fact that the only true perk this card provides is a high return on spending is the card's most significant drawback. Even though it comes with purchase protection (it covers items up to $500 in value if they are damaged or stolen within 120 days of purchase) and extended warranty protection, it is not ideal for large purchases because it does not include essential purchase benefits such as price protection and return protection.
Another disadvantage is that to qualify, you need to have a Prime subscription, which costs $139 per year. However, given the large number of American households that already have a Prime membership, this is probably not much of a problem for the demographic that is targeted by the card.
Check out our comprehensive evaluation of the card here.
Capital One Venture X and Venture notes
A pair of credit cards from Capital One could be useful choices for you if you want to earn points that can be transferred to your purchases made through Amazon. This is because the Venture X Rewards card and the Venture Rewards card both award two miles for each dollar spent on standard transactions. This includes purchases made at Amazon.
According to the most current point valuations provided by TPG, that constitutes a very respectable return of 3.7%. (valuations are estimated and not provided by the issuer).
Aside from that, the sign-up bonuses for both cards are the same: 75,000 bonus miles after spending $4,000 on transactions within the first three months of opening an account.
Check out our analysis of the differences and similarities between the two Venture cards for more information.
Both the Capital One Venture X and the Capital One Venture credit cards have official application links, and both offer 75,000 extra miles after spending $4,000 in the first three months of opening an account.
Freedom Unlimited is the Pursuit of Chase
If you are not an Amazon Prime subscriber but still want a good return on your spending from a card that does not charge an annual fee, Chase Freedom Unlimited may be your best option. This card does not charge an annual fee. The Freedom Unlimited credit card offers a cash-back bonus of 3% on dining and drugstore expenditures, as well as 5% cash back on travel purchased through Chase. A cashback of 1.5% will be earned on all other types of transactions.
When taken by itself, that constitutes a respectable return; however, if you combine the Freedom Unlimited with either the Chase Sapphire Reserve, the Chase Sapphire Preferred Card, or the Ink Business Preferred Credit Card, you have the potential to more than double the value of your benefits.
If you follow these steps, you will be able to transform your cash-back points into fully functional and transferable Ultimate Rewards points, with a value of 2 cents per point according to TPG's monthly point valuations.
Related: How to maximise your rewards with the Chase Trifecta: Sapphire Reserve, Ink Preferred, and Freedom Unlimited
In addition, Freedom Unlimited provides a purchase protection period of one hundred and twenty days in addition to extended warranty protection that adds a year to the warranties of qualified manufacturers. This card, in addition to the other two Amazon cards, does not charge an annual cost.
Check out our comprehensive evaluation of the card here.
Chase Freedom Unlimited is the official application link, and it offers an additional 1.5% cash back on all transactions made in the first year, up to a maximum of $20,000.
Cash Back from Discover is Provided
The Amazon Prime Rewards card isn't the only credit card that offers 5% cash back on transactions; the no-annual-fee Discover it Cash Back card does, too (on rotating categories, up to $1,500 each quarter you activate, and 1% cash back after that), and this one doesn't require you to be a Prime member to apply for it. Nevertheless, this earning rate is typically only accessible on Amazon purchases during just one quarter out of the entire year, and even that isn't guaranteed to come around every year.
The most recent instances in which Amazon was a shifting category were in the fourth quarter of 2021 and the first quarter of 2022.
It is important to keep in mind that even though this card is excellent for making purchases made on Amazon during any quarter in which Amazon is included on the list of retailers that contribute towards bonus earnings, this card is not the best card to use throughout the entire year. Your transactions will only receive 1% cash back whenever Amazon is not included as one of the categories eligible for the quarterly cash-back bonus.
Discover will equal your rewards at the end of your first year as a card member, which means that you could get up to 10% back on purchases made from a quarter when Amazon.com is a bonus retailer. This is the feature that makes this card stand out from others on the market.
Unfortunately, some of the card's advantages, such as an extended product warranty, return guarantee, purchase protection, and price protection, have been eliminated.
Check out our comprehensive evaluation of the card here.
Credit Card from American Express® in Gold
Those who shop on Amazon frequently and for items of significant worth should consider applying for this card.
If you make purchases on Amazon using your Amex Gold Card, you will receive one Membership Rewards point for every dollar spent, which, according to TPG's valuations, results in a return of 2%. If you can't find a good bargain on Amazon through Amex Offers, you shouldn't get this card because it won't be the most lucrative option for earning rewards.
The most significant advantage of using the card is that it comes with a comprehensive purchase protection policy. Even though many different cards offer a similar benefit, the Amex Gold Card is unique in that it offers an incredible $10,000 in protection for each incident and up to $50,000 for all incidents in a given calendar year.
Related: the top credit cards for purchase insurance coverage
The Amex Gold Card has a yearly charge of $250 (for more information on fees and rates, see Rates and Fees), but the card is well worth the money because of the benefits it offers, such as up to $120 in dining credits each calendar year at participating restaurants/locations and up to $120 in Uber Cash each year ($10 monthly credits). To receive the Uber Cash benefit, the card in question must first be linked to your Uber account. To receive certain advantages, enrollment is necessary.
Check out our comprehensive evaluation of the card here.
Link to the official registration for the American Express Gold Card, which comes with a welcome offer of 60,000 bonus points after spending $4,000 within the first six months of card membership. Nevertheless, there is a possibility that the CardMatch tool will assign you a more generous welcome incentive. (offer is subject to change at any time).
The Freedom and Freedom Flex credit cards from Chase.
Members of the Chase Freedom and Chase Freedom Flex credit card programmes have the opportunity to receive 5% cash back (or 5 points per dollar) on spending on any purchases made at Amazon and Lowe's beginning April 1 and continuing through June 30 of this year.
Once the rotating categories have been activated, members can receive 5% cash back (or 5 points per dollar spent) on up to $1,500 of spending in these categories during the eligible quarter, and 1% cash back (or 1 point per dollar spent) after that threshold has been reached.
Chase Freedom Flex is the official access to the application.
Bottom line
As you can see, selecting a credit card to use for purchases made on Amazon is not as easy as choosing the one that is ranked first on this list.
Your daily routine and the things that are most important to you will determine which benefits credit card is the best option for you. Therefore, even though the Amazon Prime Rewards Visa Signature card provides a high return on purchases made on Amazon and is only accessible to Prime members, it is not the most advantageous choice for everyone. It does not offer important shopping protections, which are essential for making larger purchases.
Card benefits such as return protection have proven to be incredibly valuable, and it is possible that in the long run, they may be worth forgoing 2% to 3% of the rewards in exchange for them. In addition, if you have been stockpiling transferable points for a particular redemption, it may make more sense for you to collect rewards in that currency rather than cash back so that you can quickly top off your account and book the award trip that you have been fantasising about.
Please select here to view Amex Gold's applicable rates and fees.
Reporting contributions were also made by Stella Shon and Benét J. Wilson in addition to Ryan Wilcox.
Some of the benefits described above are offered by Visa® or Mastercard® for the Capital One products that are listed on this website. These benefits may differ from one Capital One product to another. Please refer to the appropriate Guide to Benefits for specifics, as certain conditions and limitations apply.