The Amazon credit card has no annual fee

Amazon offers two main credit cards through Chase, and neither one charges an annual fee. The Amazon Prime Rewards Visa Signature Card and the Amazon Prime Store Card both cost nothing to hold, regardless of how much you spend or whether you use them at all.

This matters because you can keep either card open without paying to maintain the account. If you stop using it, there is no yearly charge pushing you to close it. The only costs you face are interest charges if you carry a balance, which is true for any credit card.

Key Takeaways

  • Both the Amazon Prime Rewards Visa Signature Card and the Amazon Prime Store Card have zero annual fee.
  • You pay interest only if you carry a balance month to month; there is no yearly membership cost.
  • The Visa Signature card works everywhere Visa is accepted, while the Store Card works only at Amazon and Whole Foods.
  • No annual fee means you can keep the card open to maintain your credit history without ongoing costs.

The two Amazon cards and what they cost

Chase issues the Amazon Prime Rewards Visa Signature Card to anyone who wants it. This card carries no annual fee and earns rewards on Amazon purchases and at Whole Foods, plus 1% cash back on other purchases. You can use it anywhere Visa is accepted.

The Amazon Prime Store Card is a second option with no annual fee. It works only at Amazon.com, Amazon Fresh, and Whole Foods Market. The rewards rate is higher at Amazon (up to 5% depending on your Prime membership status), but the card is useless outside those merchants.

Neither card requires you to be an Amazon Prime member, though both offer better rewards if you are. The lack of an annual fee applies whether you hold Prime membership or not.

Why no annual fee matters for your wallet

An annual fee is a fixed cost you pay once per year just to keep the card open. Cards with high annual fees — often $95 to $550 — typically target people who spend enough to earn rewards that offset the cost. Amazon's cards skip this entirely.

This means the card costs you nothing if you never use it. You can keep it open to maintain a longer average account age, which helps your credit score. You can also keep it as a backup payment method without worrying about a yearly charge eating into your budget.

The trade-off is that Amazon's cards offer lower rewards rates than some premium cards that do charge annual fees. But if you are comparing cards on cost alone, the zero annual fee is a genuine advantage.

Interest charges are separate from the annual fee

The annual fee and interest charges are two different costs. The annual fee is what you pay just to hold the card. Interest is what you pay if you carry a balance from one month to the next.

Amazon's cards have no annual fee, but they do charge interest if you do not pay your full statement balance by the due date. The interest rate (called the APR, or annual percentage rate) varies based on your creditworthiness and current market conditions. You can find the specific APR for your card in your cardholder agreement or by logging into your account online.

If you pay your full balance every month, you will never pay interest, and the card will cost you nothing at all.

How the Amazon Prime Rewards Visa Signature card compares

The Visa Signature card earns 5% cash back on Amazon purchases and Whole Foods purchases for Prime members (3% for non-members), 2% at restaurants, gas stations, and drugstores, and 1% on everything else. There is no annual fee, no foreign transaction fee, and no cap on how much cash back you can earn.

The card also includes Visa Signature benefits like purchase protection and extended warranty coverage. These are perks that come with the card at no extra cost.

Because this card works everywhere Visa is accepted, it functions as a general-purpose rewards card, not just an Amazon tool. The lack of an annual fee makes it a low-cost way to earn rewards on everyday spending.

How the Amazon Prime Store Card compares

The Store Card is narrower in scope — it works only at Amazon, Amazon Fresh, and Whole Foods. For Prime members, it earns up to 5% cash back at those merchants. For non-members, it earns 3% at Amazon and Whole Foods and 1% elsewhere.

The Store Card also has no annual fee. Because it is limited to Amazon and Whole Foods, it makes sense only if you shop at those places regularly. If you do, the higher rewards rate at those merchants can add up faster than the Visa Signature card's rewards.

The downside is that you cannot use it anywhere else, so you would need a second card for other purchases.

When to close an Amazon card without penalty

Because there is no annual fee, you are never forced to keep the card open. You can close it whenever you want without paying a cancellation fee or penalty.

The main reason to keep a card open is to maintain your credit history. Closing an old account can lower your credit score slightly because it reduces the average age of your accounts and lowers your total available credit. But if you have other cards and do not need the Amazon card, closing it will not cause major damage.

If you are not using the card and do not want to keep it, you can close it by calling the number on the back of the card or through your online account. There is no cost to do so.

Frequently Asked Questions

Do I have to pay an annual fee to keep my Amazon credit card?

No. Both Amazon credit cards have zero annual fee. You can keep the card open indefinitely without paying anything, as long as you do not carry a balance that accrues interest.

What if I stop using my Amazon card — will I be charged?

No annual fee means you will not be charged for inactivity. The card will remain open at no cost. Chase may eventually close inactive accounts, but this is not because of a fee — it is a separate policy that varies by card.

Are there any hidden fees on the Amazon credit card?

The Amazon cards have no annual fee, no foreign transaction fee, and no fee for authorized users. You may face late fees if you miss a payment or balance transfer fees if you transfer a balance from another card, but these are standard across most credit cards and only apply if you use those services.

Is the Amazon Store Card different from the Visa Signature card in terms of fees?

Both cards have no annual fee. The difference is where you can use them — the Visa Signature works everywhere, while the Store Card works only at Amazon and Whole Foods. The fee structure is identical.

Can I earn rewards without paying an annual fee?

Yes. Both Amazon cards earn cash back rewards with no annual fee. You earn rewards on every purchase you make, whether you carry a balance or not. The only cost is interest if you do not pay your full balance by the due date.