The only thing better than earning rewards is using them. Depending on which card you’re using for your Amazon shopping, you may have multiple ways to redeem your rewards. In general, you should aim to redeem your rewards for at least a penny a point.
Choose the Right Card
In some cases your credit card may offer you the option to either take cash back or redeem your rewards directly for purchases at Amazon. In many cases, redeeming your rewards this way will be worth less than if you just took the cash back and used it to make the same purchase. Check the redemption terms and conditions of your card to make sure you’re redeeming your earnings for the most value.
Earn a Welcome Bonus
If the card you chose for your Amazon spending comes with a welcome bonus for meeting a minimum spending requirement, it can be a worthwhile goal to attain. A welcome bonus on a card typically snags you a pile of points or cash for spending the way you normally would.
The clock starts ticking the day you’re approved for the card and not the day you receive your physical card in the mail so keep track of the dates and your spending to make sure you don’t miss out.
Add Your Credit Card to Amazon
Amazon has an option to keep a default credit card on file to expedite your ordering process. If you get a new card for your Amazon spending, if you had a card on file before, make sure to swap it out for the new one so you don’t accidentally keep charging new Amazon purchases to the old card.
Consider Pairing More Cards
If you have a card that caps the amount of elevated rewards you can earn at Amazon after a certain spending amount or that only allows you to snag big rewards in a bonus quarter, consider pairing it with another card that offers solid rewards on all purchases.
For example, say you own the Discover it® Cash Back and Amazon is one of the bonus categories that quarter, earning you 5% cash back up to the quarterly maximum of $1,500 on spending when you activate. After you hit that $1,500 cap, any other spending at Amazon will only earn you 1% cash back. But, if you use a card like the Citi Double Cash which earns a net 2% cash back—1% when you make a purchase and another 1% when you pay the bill, you could beat what you’d earn if you just paid with the Discover it® Cash Back depending on how much you spend.