The Amazon.ca Rewards Mastercard is back! No, this isn’t a joke, the new card comes from MBNA and is now available to the public. Ever since CHASE pulled out Canada back in 2018, Amazon hasn’t had an official co-branded credit card, so this fills that void.
Of course, the real question is if the new Amazon.ca credit card is any good? I can tell you right now that it’s great for people who use Amazon Prime and shop at Whole Foods a lot, but compared to the best cash back credit cards in Canada and the best travel credit cards in Canada, you may be a little disappointed. Read my Amazon.ca Rewards Mastercard review now for the full details.
Amazon.ca Rewards Mastercard benefits
What’s interesting is that this credit card gives you different benefits depending on if you’re an Amazon Prime member or not. If you’re a member, you’ll get the following with the Amazon rewards credit card:
- No annual fee
- 5% back at Amazon.ca, grocery stores and restaurants for six months after your account is opened
- 2.5% back at Amazon.ca and Whole Foods Market in Canada and 1% back on all other eligible purchases
- 1% back per dollar spent on all other purchases
- Extended warranty
- Price protection
- Rental car insurance
- Common carrier insurance
For non-Amazon prime members, your earn rate is much lower:
- 1.5% back per dollar spent at Amazon.ca, Whole Foods Market, physical amazon stores (no forex earn)
As you can see, the card is clearly aimed at people who do a lot of their shopping on Amazon and have an Amazon Prime membership. It’s honestly tough to beat 2.5% back on Amazon purchases since they don’t typically fall into a merchant category that gives you a higher percentage of cash back. I should note that you’re not earning cash-back, you earn Amazon Rewards but since it takes 2,000 Amazon Rewards to claim a $20 Amazon.ca gift card, the program is easy to understand.
That said, you could technically earn up to 5% in points back on your Amazon purchases if you used your American Express Cobalt card. You’d have to purchase Amazon gift cards at grocery stores where you earn 5 Membership Rewards points per $1 spent which may seem like a lot of hassle, but those points can add up.
Speaking of 5%, you will earn 5% back at Amazon.ca, grocery stores and restaurants for the first six months, up to $3,000 in eligible purchases. This is a great way to get some extra rewards if you have some large purchases coming up. Remember, this credit card has no annual fee so it can really benefit you to sign up.
Getting 2.5% back at Whole Foods Market is great if you happen to shop there, but with the prices they charge, 2.5% back won’t even seem like much. There are already other credit cards out there that give you 4-5% on groceries such as the Amex Cobalt card and the Scotiabank Gold Amex, so you could argue that the Amazon credit card isn’t that good for grocery purchases.
The 2.5% in rewards you get on purchases you make in a foreign currency essentially washes the 2.5% fee you pay for purchases not made with Canadian dollars. This is a nice benefit and it just helps grow the list of credit cards without foreign transaction fees which is clearly great for Canadians.
I think it’s a bit silly that non-Amazon prime members only earn 1.5 Amazon Rewards per dollar spent on Amazon and Whole Foods purchases, but this is clearly a marketing decision to get people to signup for Prime.
The included price protection, extended warranty, car rental insurance, and common carrier insurance are standard benefits that come from Mastercard and are nothing special.
Since this is a no-fee credit card, you won’t be getting any premium benefits such as travel insurance, lounge access, or mobile device insurance.
How the Amazon.ca Mastercard compares to others
Beyond the Amex Cobalt and Scotiabank Gold Amex which I mentioned above, there are quite a few credit cards that compare to the Amazon.ca credit card, but it really comes down to where you shop.
For example, the PC Financial World Elite Mastercard gives you a much higher earn rate at Loblaws owned stores, Shoppers Drug Mart and Joe Fresh. If you paired that with PC Insiders, you could be rolling in the PC Optimum points. Despite the higher earn rate, this card only benefits you if you shop at stores where you get a higher earn rate. In other words, the PCF World Elite Mastercard won’t benefit you if you do all your shopping on Amazon.
The other comparable card is the Triangle World Elite Mastercard which is targeted at people who do a lot shopping at Canadian Tire, Sports Check, Mark’s and Atmosphere locations. Like the PCFWEMC, the Triangle card is good where you can earn additional points, but it’s pretty basic if you’re shopping on Amazon.
How Amazon Rewards works
Amazon Rewards is pretty simple. There is no expiration date on your points and 2,000 Amazon Rewards will earn you a $20 Amazon.ca gift card.
It’s essentially a cash-back program with nothing extra to it. I personally prefer travel rewards since I can usually claim flights or hotels which have an incredible value, but I certainly understand why some people prefer something simple such as Amazon Rewards.
I also want to note that unlike PC Optimum, Amazon never has any special promotions where you can earn more points on purchases or get more cash-back when you redeem a set amount of points.
My Amazon.ca Rewards Mastercard review is positive. This is a no-fee card that gets linked to your Amazon account immediately so it’s perfect for those who shop a lot on Amazon. That being said, it lacks many other benefits that some of the best travel rewards credit cards offer and it’s not the best credit card without foreign transaction fees.