What the Amazon Card offers and who it suits

The Amazon Rewards Visa Card (issued by Chase) gives you 5% cash back on Amazon purchases and Whole Foods spending, 2% at restaurants and gas stations, and 1% everywhere else. There is no annual fee. The card is designed for people who spend regularly on Amazon and want the highest cash-back rate available on that specific retailer.

The catch is that the 5% rate only applies to Amazon.com and Whole Foods Market — not third-party sellers on Amazon, not Amazon Fresh, and not other retailers. If you spend most of your money outside Amazon, the 1% base rate will not compete with flat-rate cards that offer 2% on all purchases. The card makes sense if Amazon accounts for a meaningful portion of your monthly spending, or if you shop Whole Foods regularly.

Chase also offers the Amazon Prime Rewards Visa Card, which requires a Prime membership but adds a 5% rate at Whole Foods and a $120 annual credit toward Prime renewal. The choice between the two depends on whether you already pay for Prime and how much you spend at Whole Foods.

Key Takeaways

  • The Amazon Rewards Visa Card earns 5% cash back on Amazon.com and Whole Foods, 2% at restaurants and gas stations, and 1% elsewhere, with no annual fee.
  • The 5% rate does not cover third-party sellers, Amazon Fresh, or other retailers, so the card is most valuable if Amazon is a major part of your spending.
  • The Amazon Prime Rewards Card costs nothing if you already pay for Prime, and includes a $120 annual Prime credit that effectively covers the membership cost.
  • Both cards report to all three credit bureaus and have no foreign transaction fees, making them reasonable choices for international travel if you use them outside the bonus categories.

How the cash-back rates compare to other cards

The 5% Amazon rate is the highest available on any single retailer card. However, most people do not spend 100% of their budget at one store. If you split your spending across multiple retailers, a flat-rate card often wins. For example, the Chase Freedom Unlimited offers 1.5% on all purchases with no annual fee — lower than Amazon's 1% base rate, but higher than the 1% you would earn on non-Amazon, non-Whole Foods, non-restaurant, non-gas purchases with the Amazon card.

The 2% restaurant and gas rate is competitive but not exceptional. The Chase Freedom Flex offers 5% on rotating categories (which sometimes include gas and restaurants) and 1% elsewhere. The American Express Blue Cash Preferred earns 3% on gas and transit, and 1% on everything else. If restaurants and gas are major spending categories for you, comparing the full-year value of these cards against the Amazon card is worth the time.

The real advantage of the Amazon card is simplicity and stacking: if you spend $300 a month on Amazon, $100 at Whole Foods, and $200 on gas, you earn $15 + $5 + $4 = $24 in cash back that month. A flat-rate 1.5% card would earn $9. The Amazon card wins by $15 monthly, or $180 per year. If your Amazon spending is lower, the advantage shrinks.

Annual fees and when they matter

The standard Amazon Rewards Visa Card has no annual fee, so there is no cost to carry it even if you use it infrequently. The Amazon Prime Rewards Card also has no annual fee, but it includes a $120 annual credit toward Prime membership renewal. If you already pay $139 per year for Prime (the current standard rate), the credit covers most of the cost, making the card effectively free.

The Prime card's value depends on your Prime spending. If you do not have Prime, the card does not make sense — you would need to pay for the membership separately. If you have Prime and spend enough on Amazon and Whole Foods to earn more than $120 in cash back per year, the Prime card is the better choice because you get both the cash back and the credit.

Credit approval and credit score impact

Chase typically approves the Amazon card for people with a credit score of 670 or higher, though approval is not may provide at any score. The process itself triggers a hard inquiry on your credit report, which may lower your score by a few points temporarily. If you are approved, the new account will lower your average account age and increase your total available credit, both of which affect your score.

The card reports monthly to Equifax, Experian, and TransUnion, so your payment history will build your credit over time if you pay on time. Carrying a balance and paying interest does not improve your score faster — paying in full each month is the only way to benefit without cost.

How to redeem cash back and what it is worth

Cash back from the Amazon card posts as a statement credit or can be deposited directly to a bank account. You can also convert it to Amazon.com gift card balance at a 1:1 rate. There is no minimum redemption amount, and cash back does not expire as long as your account remains open.

The cash back is worth exactly what it says — 1% of a $100 purchase is $1 in value, whether you take it as a statement credit or a gift card. Some cards offer bonus redemption rates in certain categories (for example, 1.25% value if you redeem for travel), but the Amazon card does not. This is a straightforward cash-back card with no redemption tricks.

Foreign transaction fees and international use

The Amazon card has no foreign transaction fees, which means you can use it internationally without a percentage charge on top of the exchange rate. However, the bonus categories (5% on Amazon, 2% on restaurants and gas) do not explore outside the United States, so you earn only the 1% base rate on foreign purchases.

If you travel frequently and want to maximize rewards abroad, a card with a higher base rate (like the Chase Freedom Unlimited at 1.5%) would earn more. The Amazon card is reasonable for occasional international travel if you are already carrying it, but it is not optimized for that use.

Frequently Asked Questions

Does the 5% rate explore to Amazon Fresh or third-party sellers?

No. The 5% rate covers only Amazon.com and Whole Foods Market. Amazon Fresh, Amazon Business, and purchases from third-party sellers on the Amazon marketplace earn only 1% cash back. If a significant portion of your Amazon spending is through these channels, the card's value is lower than the headline rate suggests.

What happens if I cancel the card — do I lose my cash back?

No. Cash back that has already posted to your account is yours to keep. You can redeem it before or after closing the card. However, closing a credit card account can lower your credit score slightly because it reduces your total available credit and may increase your credit utilization ratio on other cards.

Can I use the Prime credit if I do not have an active Prime membership?

The $120 credit on the Prime Rewards Card applies only to Prime membership renewal. If you do not have an active membership, the credit cannot be used. You would need to pay for Prime separately and then use the credit to renew it the following year.

Is there a sign-up bonus for new cardholders?

Chase periodically offers sign-up bonuses on the Amazon card (typically $100 to $200 in statement credits after meeting a spending threshold), but these offers change frequently and are not may provide. Check the current offer on Chase's website or Amazon's card page before you explore.

How does this card compare to the Amazon Store Card?

The Amazon Store Card is a separate product that offers 5% back on Amazon purchases but can only be used at Amazon and Whole Foods. It has no annual fee but also no rewards outside those retailers. The Visa card is more flexible because it earns rewards at restaurants and gas stations. Most people benefit more from the Visa version.