Amazon Credit Card in Canada: a complete review

There’s a good to very good chance you already use your credit card on Amazon.ca. The global retail giant is enormously popular in Canada, just like it is in so many other places around the world - so getting an Amazon.ca Rewards Mastercard is an idea that makes a lot of sense.

But is it the best way to get the most value out of your Amazon purchases? In this review, we’ll take a look. You’ll also learn about the Wise card, and how this helps to save money when buying online from abroad.

You’ll also learn about the Wise card and how you can save money when you pay in different currencies.

Amazon Canada Rewards Mastercard: an overview

Provided by MBNA, the Amazon.ca Rewards Mastercard offers some attractive features. Here are the key details you should know:

What are the Amazon.ca Rewards Mastercard fees?

The Amazon Mastercard in Canada falls into the category of a “no-fee” credit card, in that it charges no annual fee¹ ².

However, as you’ll soon find out, you’ll get the most out of this credit card if you’re an Amazon Prime member, which costs $79 yearly (or $7.99 monthly)⁴.

In terms of interest rates, purchases are set at 19.99% and cash advances and balance transfers at 22.99%². So, as ever with credit cards, you should pay off in full each month whenever possible. You’ll also find foreign transaction fees around 2.5%.

How can I earn rewards with the Amazon.ca Rewards Mastercard?

Like most credit cards, the Amazon.ca Rewards Mastercard lets you earn rewards when you spend money on the card. The more you spend, the more you earn back.

You get 1% back on eligible purchases at grocery stores and restaurants as a base rate, but that rises to 1.5% at Amazon.ca and Whole Foods Market. You also get 1% back on foreign currency transactions, although that’s likely less than the foreign transaction fee of that you’ll also have to pay. Foreign transaction fees are typically in the region of 2.5%¹ ².

The above percentages are just for non-Prime members, though.

If you’re a Prime member, you’ll get a more impressive 2.5% back at Amazon.ca and Whole Foods, and the full 2.5% on foreign transactions¹ ².

There’s also the welcome offer to consider. This is currently a much bigger 5% back across Amazon.ca, Whole Foods, and also grocery stores and restaurants – but only for the first six months you have the card, and only on the first $3,000 you spend. So the offer is effectively capped at $150¹ ².

Another useful feature about this card is that you can start using it right away in its digital form – as soon as you’re approved¹.

What can I spend rewards on?

An important note here first of all. The Amazon.ca and MBNA webpages promoting this card describe the rewards in terms of percentages: 1%, 1.5%, etc. That might make it sound a little bit like a cash back credit card. But that’s not quite the case.

The Amazon.ca Rewards Mastercard is, instead, a points-based credit card. Those points can be redeemed for Amazon.ca Gift Cards² ³.

Whereas cash back can often go straight into your bank account or against your next credit card bill, your Amazon.ca rewards will only be redeemable on purchases within Amazon. Of course, though, Amazon is huge, so you’ll still have plenty of options.

Is the Amazon.ca Mastercard a no foreign transaction fee card?

Technically, no, it isn’t. But if you’re a Prime member, then you’ll get 2.5% back on foreign transactions, which is likely enough to cancel out the foreign transaction fee you’ll also pay¹ ².

That 2.5% will come back to you in the form of points, meaning more gift cards. On a day-to-day basis if you use the card abroad, you’ll still have to pay the individual foreign transaction fees.

And, just to clarify once again, it’s only 1% if you’re not an Amazon Prime member – so in that case you’re effectively still paying a reduced foreign transaction fee¹ ².

Is the Amazon.ca credit card worth it?

As ever with credit cards, the true value of the Amazon.ca Mastercard is completely dependent on you and how you spend.

If you’re already an Amazon Prime member who gets good value out of your subscription, this credit card really does count as fee-free in terms of annual fee and foreign transactions. And chances are you’re spending enough at Amazon.ca, and perhaps at Whole Foods too, that 2.5% is a considerable amount to get back.

If you’re not a Prime member, the benefits are less pronounced. This is a card that really only comes into its own within Amazon.ca and Whole Foods.

Overall, then, it might be the case that this credit card is another thing, besides free shipping, streaming and so on, that counts as a benefit of Amazon Prime. If you don’t want to commit to Prime, it’s probably worth asking yourself whether an Amazon credit card is really the right investment for you.

What are some alternative credit cards?

The best Canadian credit card depends what you’re after, but the Amazon.ca Rewards Mastercard has plenty of competition across the board.

If you’re after credit card with no annual fee, other possibilities include the American Express Green Card and SimplyCash, MBNA Rewards Platinum Plus, and Rogers World Elite.

If your priority is spending abroad, the best credit cards with no foreign transaction fees include the Scotiabank Passport Visa Infinite, HSBC World Elite, and Stack.

And if you’re keen to build up points because you shop at Whole Foods, don’t forget you can get 3% cash back on groceries with the BMO CashBack Mastercard⁶, and 4% with the Scotia Momentum Visa Infinite⁷, CIBC Dividend Visa Infinite⁸, and Meridian Visa Infinite Cash Back⁹ – or 5 points per dollar with the American Express Cobalt¹⁰ or Scotiabank Gold Amex¹¹.

Wise card: save your money when you spend abroad

If you’re buying online from overseas, it’s possible to use a Wise debit card. Using Wise is 4x cheaper than banks for spending abroad

Get the mid-market rate and avoid high foreign fees

You won’t have any high foreign transaction fees - your money gets converted with the real mid-market rate, no matter if you spend in-person or online in over 200 countries.

The only cost you’ll have is a very low and transparent fee in case you need to convert your Canadian dollars. Unlike other accounts, there are no monthly or annual charges, nor any minimum balance requirements.

Get local account details

The Wise card is part of the Wise account, which means that you can add, hold, and convert over 40 currencies instantly. You can get your own bank details for 10 different currencies (including CAD, USD, GBP, EUR, and more) to receive money from those places.

Wise: get the exchange rate you see on Google