Amazon.ca Credit Card

The Amazon.ca Rewards Mastercard is often promoted as a convenient option for frequent Amazon shoppers, but the reality behind the card reveals a product with limited benefits and notable shortcomings. Although it offers an initially appealing welcome bonus and charges no annual fee, the card struggles with weak ongoing rewards, heavy dependence on Prime membership for any meaningful value, and a restrictive redemption system. For consumers looking for consistent returns or strong long-term advantages, the Amazon.ca Rewards Mastercard may not be the smartest choice.

Overview and key specs

• Signup bonus: 5% back for the first six months on Amazon, Whole Foods, grocery stores and restaurants, up to $3,000 in eligible purchases (maximum value $60).
• Ongoing rewards: For Prime members 2.5% at Amazon and Whole Foods; non-Prime 1.5% at those merchants. Foreign currency purchases return 2.5% for Prime members and 1% for non-Prime. All other purchases earn 1%.
• Redemption: Rewards can only be redeemed on Amazon.ca (not a general cash-back card).
• Insurance: Purchase protection and one-year extended warranty.
• Perks: Avis and Budget discounts (10% in Canada and US, 5% internationally) and MBNA payment plan options to split purchases into monthly installments for a fee.

Signup bonus — short-lived and restrictive

The 5% introductory rate for six months sounds attractive at first glance, but the catch is the narrow qualifying categories (Amazon, Whole Foods, grocery stores, restaurants) and the cap at $3,000. That caps the total bonus value at just $60. For a no-fee card this is acceptable but not impressive.

Most competitive signup offers allow spending across all categories to reach the bonus. Also worth noting: referral and rebate platforms mentioned by consumers do not appear to add any extra cash-back incentives for this card, so there are no obvious third-party top-ups to the advertised bonus.

Rewards structure — the real weakness

The card’s ongoing rewards are tiered around Prime membership. That means better rates only if the cardholder also pays for Amazon Prime (roughly $99 per year in Canada). The math matters: if a cardholder must buy Prime to access higher rates, the additional cost eats into the value of modest incremental rewards.

• Prime holders: 2.5% at Amazon and Whole Foods; 2.5% on foreign currency purchases (but see foreign-fee caveat below).
• Non-Prime: 1.5% at Amazon and Whole Foods; 1% on foreign currency purchases.
• All cardholders: 1% on everything else.

Two further problems: first, the 2.5% foreign currency return for Prime members is effectively neutralized by typical 2.5% foreign exchange fees applied by Mastercard or the issuer. Second, rewards are locked to Amazon.ca — they are not flexible cash back. That reduces utility compared with true cash-back cards.

Quick comparisons

• Rogers Mastercard can offer better Amazon-specific cash back in some configurations, making it a stronger Amazon alternative.
• Wealthsimple Cash card eliminates foreign transaction fees and offers straightforward cash back, making it superior for foreign purchases.
• Grocery and specialty options (referenced examples include Kobo/KOHO-style products or other grocery-focused cards) often beat Amazon.ca Rewards Mastercard at Whole Foods or grocery spending.

Insurance and protections

The card includes standard protections for a no-fee product: purchase protection and a one-year extended warranty. That is useful but not differentiating. Many free cards include similar coverage.

Perks and add-ons

Perks are limited but present. Cardholders get discounts with Avis and Budget (10% in Canada and the US, 5% internationally) and access to MBNA’s payment plan to split large purchases into monthly installments for a fee.

Practical takeaways:

• The rental-car savings are handy if one rents cars regularly, but most cardholders will not see material benefit from this.
• Payment plans can be convenient but encourage financing discretionary purchases. Fees on these plans can add up. Using them frequently is a path toward credit card debt for many people.

Pros and cons

• Pros
  • 5% introductory reward for six months on specified categories.
  • No annual fee.
  • Some travel-related merchant discounts and basic purchase protections.
• Cons
  • Ongoing rewards are modest and require Prime to be meaningful.
  • Rewards redeemable only on Amazon.ca, not true cash back.
  • Foreign transaction fees largely cancel foreign currency rewards.
  • Better options exist for Amazon, grocery, and foreign spending.

Final score and recommendation

• Rewards: 2.5 / 10 — Underwhelming ongoing returns and restrictive redemption.
• Insurance: 6 / 10 — Standard, nothing special.
• Perks: 5 / 10 — Some useful merchant discounts but limited usefulness for most cardholders.
• Average score: 4.5 / 10 — A failing grade for a modern rewards card.

Conclusion

In the end, the Amazon.ca Rewards Mastercard only stands out for its six-month introductory 5% rate — and even then, only for those who can fully maximize the spending cap. After this period, it quickly becomes uncompetitive due to low rewards, limited redemption options, and the need for Prime to achieve slightly better returns. For anyone seeking a more versatile card with true cash back, broader benefits, or better performance on foreign purchases, there are far superior alternatives in the Canadian market. In short: take advantage of the initial bonus, then consider switching to a more rewarding option.