MSE News: Amazon unveils new rewards credit card

Legacy_user

Amazon has rolled out a rewards credit card that allows cardholders to earn points that can be redeemed for gift cards...

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'Amazon unveils new rewards credit card'

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Anthorn

Don't withdraw cash - you don't get cashback, you pay interest and it can hurt credit scores.

I need proof that the above statement is true. As I posted in several other threads, it does not make sense that CC Lenders should provide that functionality and then penalise cardholders for using it. Or is it just perpetuation of a popular MSE fallacy?

Overall, the new Amazon card is prohibitive due to its 24.9% APR.

miller

Anthorn wrote: »

I need proof that the above statement is true. As I posted in several other threads, it does not make sense that CC Lenders should provide that functionality and then penalise cardholders for using it. Or is it just perpetuation of a popular MSE fallacy?

Not to mention is it advocated for Halifax Clarity cardholders when abroad due to no withdrawal fees and a near perfect exchange rate.

Doc_N

And the recently introduced Amazon credit card in the US?

"About 5% Back on Amazon Prime Rewards Visa Signature Card

With the Amazon Prime Rewards Visa Signature Card, Amazon Rewards Visa Signature Cardholders who are also eligible Prime members receive 5% Back on purchases."

Nothing like that in the UK for Prime members - this card looks a very poor relation to that one!

myth123

Anthorn wrote: »

I need proof that the above statement is true. As I posted in several other threads, it does not make sense that CC Lenders should provide that functionality and then penalise cardholders for using it. Or is it just perpetuation of a popular MSE fallacy?

Overall, the new Amazon card is prohibitive due to its 24.9% APR.

When I've been to presentations from Experian (staff training, riveting I know), they have said that regular use of credit cards to withdraw cash will affect credit scoring.

But the odd time doing it (say, abroad to get cash - they used the example of a credit card abroad with favourable rates) won't usually affect it.

I know this isn't evidence on my part, but I guess MSE may have some guidance from the credit reference agencies?

bigadaj

myth123 wrote: »

When I've been to presentations from Experian (staff training, riveting I know), they have said that regular use of credit cards to withdraw cash will affect credit scoring.

But the odd time doing it (say, abroad to get cash - they used the example of a credit card abroad with favourable rates) won't usually affect it.

I know this isn't evidence on my part, but I guess MSE may have some guidance from the credit reference agencies?

Guidance from the cras will probably be to sign up for their paid for monthly service no doubt.

bigadaj

Anthorn wrote: »

I need proof that the above statement is true. As I posted in several other threads, it does not make sense that CC Lenders should provide that functionality and then penalise cardholders for using it. Or is it just perpetuation of a popular MSE fallacy?

Overall, the new Amazon card is prohibitive due to its 24.9% APR.

Why would you withdraw cash on a credit card, domestically speaking?

JuicyJesus

myth123 wrote: »

When I've been to presentations from Experian (staff training, riveting I know), they have said that regular use of credit cards to withdraw cash will affect credit scoring.

But the odd time doing it (say, abroad to get cash - they used the example of a credit card abroad with favourable rates) won't usually affect it.

I know this isn't evidence on my part, but I guess MSE may have some guidance from the credit reference agencies?

The main thing lenders care about is stability and signs that you're not a poor risk. Someone who gets a cash advance once is probably on holiday. Someone who has cash advances on their account more than a few months in a year is probably bad with money.

The cost of cash advances is huge relative to other forms of cash borrowing (bar Wonga etc) so the inference is that if you're doing it repeatedly then you're desperate for cash and can't get any from anywhere else.

Biggles

So why is the table in the article headed 'Top travel credit cards that charge no fees on purchases'? How does travel come into it?

I assume that's just a cockup.

Biggles

Biggles wrote: »

So why is the table in the article headed 'Top travel credit cards that charge no fees on purchases'? How does travel come into it?

Clearly it doesn't. No response on here but they've quietly changed the article.

napu2400

Does anyone want to talk about the Amazon card? Is it worth getting it and using for Amazon purchases? I don't care about the APR since I would pay it off in full each month, but Amazon already takes Amex so is this any better?