The disparity between ease of use and consumer complaints prompted this review. It is not unusual for a major retailer to partner with a credit lender to offer a branded Visa card.
Why Use This Credit Card?
One of the hallmarks of Amazon is the free shipping policy. When you buy more than $25 in products with the shipping options available, you automatically receive free shipping. This is an instant reward and one that appeals to online buyers.
When designing the credit card benefits for the Amazon.com Chase Visa card, the same principle was applied. Within a few days of making your first purchase with your new Amazon credit card, your account will be credited with $30.
The $30 credit will appear on your monthly credit card statement so the benefit isn’t truly an immediate reward but it does mean you could purchase $30 in products online from Amazon, receive free shipping and also receive a credit that pays for those products. It’s an appealing bonus for new credit card applicants.
When we shop online one of the benefits is to be able to choose the item we want ad simply point and click to buy. The Amazon Chase Visa may be approved in just a few minutes after you apply online.
After you complete a short form and are approved, the card is instantly added to your Amazon account and you can use it right away. For those with good credit, an new account can be established in just a few minutes.
Earn Bonus Points
You will earn bonus points for all eligible purchases made with your new Visa card. For each $1 spent on Amazon.com you earn 3 points. You can choose rewards to buy with your points for as few as 2500 points. For 5000 points you can redeem $50 cash back.
Points are also earned for purchases from merchants other than Amazon.com. Gas station, restaurant and drug store purchases award 2 points for each $1 spent and you earn 1 point for each dollar anywhere else Visa cards are accepted.
Interest Rates and Fees
Interest rates vary and are based on the Prime Rate. 10%-18% is added to the prime rate to determine the variable rate of interest for purchases and balance transfers. Those with excellent credit may receive the lower rate while higher interest rates indicate higher credit risk of the applicant.
For cash advances Chase adds 16%-20% to the Prime Rate. Thus, the APR for a cash advance can be well over 20%.
If you are unable to make your payments on time or exceed your credit limit, the lender may charge you a penalty interest rate of 26.99% plus the Prime Rate. The maximum interest rate on this card is an APR of 29.99%.
Conclusion
This credit card is an excellent choice for those who prefer shopping online. The wide choices offered by Amazon.com cover almost any product you might be looking for and the points that accrue when you use this credit card can add up to a significant cash back or be used toward Amazon products.
It is important to understand this is a standard credit card and you will be billed by Chase on a monthly basis.
The complaints seem to be from those who did not realize they would be paying an outside lender and are confused about fees and interest rates. A careful reading of the terms of this credit card terms will help you avoid any confusion with your new account.
