Is the Amazon credit card worth it?

The Amazon Prime Visa card offers a generous 5% cash back on all Amazon and Whole Foods purchases, but this elevated reward rate is only available to Amazon Prime members who pay the $139 annual fee.

The standard Amazon Visa card provides a still respectable 3% cash back on Amazon and Whole Foods purchases, 2% back at restaurants, gas stations, and on local transit, and 1% back on all other purchases.

Unlike many store cards, the Amazon Visa has no annual fee, making it a relatively low-cost option compared to other rewards cards.

The Amazon Prime Visa also comes with a $100 Amazon gift card sign-up bonus, providing immediate value for new cardholders.

Amazon credit cards are issued by Chase, not Amazon directly, so the rewards and terms are more in line with a traditional rewards credit card rather than a store card.

The Amazon Prime Visa has no foreign transaction fees, making it a decent option for Amazon purchases made abroad.

Amazon credit cards report to all three major credit bureaus, so responsible use can help build credit history.

Cardholders can redeem rewards as cash back, statement credits, or gift cards, providing flexibility in how the rewards are used.

The Amazon Visa has an APR range of 16.24% to 24.24% variable, which is about average for a rewards credit card.

Amazon Prime members can also link their Prime membership to the Amazon Visa for added perks like extended return periods and access to Amazon's consumer financing options.

For those who primarily shop on Amazon, the 5% cash back from the Prime Visa can outweigh the $139 annual Prime membership fee, making it a worthwhile option.

The Amazon credit cards have no annual fee, so they can be kept open long-term to help build credit history, even if they are not the primary daily spending card.