Amazon Credit Card Annual Fees: What You Actually Pay
The Amazon credit card has no annual fee, but which card you hold matters
Amazon offers two main credit cards through Chase: the Amazon Prime Rewards Visa Signature Card and the Amazon Rewards Visa Card. Neither one charges an annual fee, regardless of whether you use it actively or let it sit unused. You pay nothing just to hold the card.
The difference between the two cards is what you get back in rewards, not what you pay upfront. The Prime card gives you higher cash back rates if you are a Prime member, while the standard Amazon Rewards card works for anyone. Both are free to carry.
Key Takeaways
- Both Amazon credit cards through Chase have zero annual fees — you never pay just to own the card.
- The Amazon Prime Rewards card offers higher rewards rates for Prime members but costs nothing extra to hold.
- You only pay interest if you carry a balance month to month; paying your full statement balance avoids this charge.
- Late payments trigger a fee separate from the annual fee, so setting up automatic payments protects you from unexpected costs.
- Closing the card does not hurt your credit score in the way many people fear, though it does lower your total available credit.
What costs money and what does not
An annual fee is a flat charge just for holding the card. Amazon's cards do not have one. However, other charges can show up on your bill if you use the card in certain ways.
Interest charges appear when you carry a balance — meaning you do not pay off the full amount by the due date. The interest rate (called the APR) varies by person and is listed in your card agreement. If you pay your statement balance in full each month, you owe no interest.
Late fees happen when your payment arrives after the due date. This is separate from the annual fee and can range depending on how late you are and your card issuer's policy. Setting up automatic payments from your bank account is the easiest way to avoid this.
The difference between the two Amazon cards
The Amazon Prime Rewards Visa Signature Card gives you 5% cash back on Amazon.com purchases and Whole Foods Market purchases if you are a Prime member. You get 2% back at gas stations, restaurants, and travel, and 1% on everything else. There is no annual fee.
The Amazon Rewards Visa Card gives you 3% cash back on Amazon.com and Whole Foods purchases, 2% at gas stations and restaurants, and 1% elsewhere. This card works for anyone — you do not need a Prime membership. It also has no annual fee.
The Prime card only makes sense if you are already paying for Prime membership. If you are not a member, the standard Amazon card gives you solid rewards without the higher tier rates. Neither card charges you to find out which one works better for your spending.
When you might pay something beyond the annual fee
Foreign transaction fees apply if you use the card outside the United States. The Amazon Prime Rewards card charges 0% for foreign transactions, which is a genuine advantage if you travel. The standard Amazon Rewards card charges 3% for purchases made abroad.
Balance transfer fees occur if you move debt from another card onto your Amazon card. This is typically 3% to 5% of the amount transferred. You would only do this if the interest rate on the Amazon card is lower than what you are currently paying elsewhere.
Cash advance fees and ATM fees apply if you use the card to withdraw cash. These are usually 3% of the amount or a flat fee, whichever is higher. Credit cards are designed for purchases, not cash withdrawals, so this is an expensive way to get money.
How to avoid surprise charges
Set up automatic payments from your checking account to pay at least the minimum due each month. Most banks let you schedule this in seconds through their website or app. Paying the full statement balance avoids interest entirely.
Check your statement before the due date. Your card issuer sends a bill (usually by email or mail) showing what you owe and when it is due. Reviewing it catches errors and reminds you of the deadline.
Keep your contact information current with Chase. If your address or phone number changes, update it so you receive billing statements and fraud alerts. Missing a statement because mail went to the wrong address does not erase the due date.
What happens if you close the card
Closing an Amazon credit card does not cost you anything directly. You simply call Chase or request closure through your online account. The card stops working immediately.
Closing the card does affect your credit in two ways. Your available credit decreases — if you had a $5,000 limit and close the card, that $5,000 is no longer counted as credit you can access. This can raise your credit utilization ratio slightly if you carry balances on other cards.
Your credit history for that specific card remains on your report for several years, so closing it does not erase your payment record. If you paid on time consistently, that positive history stays visible to lenders.
Comparing Amazon cards to other rewards cards
Most rewards credit cards charge an annual fee between $95 and $550, depending on the benefits they offer. Cards with travel perks, lounge access, or premium concierge services tend to be more expensive. Cards focused purely on cash back are more likely to be free.
The trade-off is usually rewards rate versus annual cost. A card that charges $95 per year might give you 2% cash back on everything, while a free card might give you 1% on most purchases. Whether the higher rewards rate pays for itself depends on how much you spend.
For Amazon shoppers specifically, the Prime card's 5% rate on Amazon purchases is competitive. You would need to spend $1,900 per year on Amazon just to break even with a $95 annual fee card, and the Amazon card costs nothing. If you shop on Amazon regularly and are already a Prime member, the math favors the free card.
Frequently Asked Questions
Do I have to pay an annual fee if I do not use the card?
No. Neither Amazon card charges an annual fee whether you use it every day or never touch it. You can hold the card indefinitely without paying anything, as long as you do not carry a balance or make other transactions that trigger fees.
What is the interest rate on the Amazon credit card?
The APR (interest rate) varies by person and is based on your credit score and history. Chase will tell you the range when you apply. You can find the exact rate for your account in your card agreement or by logging into your Chase account online.
Can I downgrade from the Prime card to the regular Amazon card?
Yes. Call Chase or request the change through your online account. Downgrading does not close the account, so your credit history and available credit remain intact. There is no fee to downgrade.
What happens if I miss a payment?
A late fee appears on your next statement, usually $25 to $35 depending on how late you are. Your interest rate may also increase. More importantly, the missed payment reports to credit bureaus and can lower your credit score. Calling Chase immediately if you miss a due date sometimes results in the fee being waived.
Is the Amazon credit card worth it if I do not have Prime?
The standard Amazon Rewards card is worth considering if you shop on Amazon regularly and want cash back. The 3% rate on Amazon purchases is solid. If you rarely use Amazon or do not shop online much, a different card might offer better rewards for your actual spending habits.