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> The question is, how will they catapult out of this? They could sign a deal with Amazon to provide a Prime card that gives the cardholder $0 Amazon Prime whe

> The question is, how will they catapult out of this? They could sign a deal with Amazon to provide a Prime card that gives the cardholder $0 Amazon Prime when they use the card. EDIT: I'm not suggesting that this is the ONLY benefit, just something comparable to the previous Costco arrangement they had.

seattle_spring 10y ago
$80 / year is a terrible credit card reward compared to almost all other credit cards. It would have to be free Amazon Prime + 5% back on all Amazon purchases + $500 sign up bonus.
- function_seven 10y ago
  True, but I was searching for something comparable to the Costco deal they used to have. That perk was also pretty cheap (Isn't Costco membership in the same ballpark?) But yeah, throw some extra points/cash back in there as well. I'd go for that in a heartbeat, and so would a lot of the demographic they're currently losing.
  - arkades 10y ago
    If I'm not mistaken, the Costco deal was a free membership and it was the only CC Costco would accept - any other payment had to be via debit card. That bit of arm-twisting was valuable.
    - function_seven 10y ago
      Yeah. No way in hell Amazon would agree to a similar setup. I didn’t think about that aspect of it.
    - tbyehl 10y ago
      Free Costco membership was not one of the perks (and isn't with the Citi Costco card either).
- brewdad 10y ago
  The Chase Amazon card already gives you 5% back at Amazon Prime members with no annual fee. A card offering that plus Prime would almost certainly have an annual fee and the $500 bonus would simply be setting the card issuer up for massive turnover.
brianwawok 10y ago
That's terrible. I get 2% cash back from Citibank. Easily put that at $1200 per year value to me.
- function_seven 10y ago
  I'm not saying that's the only perk. The parent comment was describing all the relationships Amex lost that combined to hurt their membership base. The Costco one could be replaced with a similar setup through Amazon.
  - brianwawok 10y ago
    Costco was a walled garden. Amex only. I don't see Amazon.com able to survive a switch like that...
el_benhameen 10y ago
It would have to provide a lot more than that. I get several hundred dollars per year of value from the sign up bonus + recurring rewards on my Chase card, enough that I'm willing to eat the $450/year fee. I essentially fly for free all year because of the points. $99/year in benefits isn't enough to get me to switch.
- epa 10y ago
  You fly for $450 a year, to be clear.
  - el_benhameen 10y ago
    Fair enough. Still a good deal for multiple trips with two people.
  - dnr 10y ago
    It's really only $150 a year, because they automatically rebate $300 in travel expenses.
  - albedoa 10y ago
    I'd be interested in seeing your math.
arcticbull 10y ago
They probably can't, it's likely Chase has an exclusivity arrangement on dealings with Amazon alongside issuing the co-branded credit card.
- function_seven 10y ago
  Amex had that with Costco, until they didn't. I don't know when the Chase agreement expires, but when it does, Amex could learn from their previous losses and aggressively steal that business away from Chase.
- zeckalpha 10y ago
  Amazon already has non Chase cards available: https://www.amazon.com/iss/credit/storecardmember https://www.amazon.com/iss/credit/storecardmember
  - rdl 10y ago
    The Synchrony Bank store card is hands-down the shittiest card product I've ever used from any bank. I signed up for it and they screwed up my ACH multiple times, then closed my account, because they were running auto-debit ACH from a different address than command-debit ACH, and had no one who would explain this. (They bought something formerly used by Walmart, so when I saw a large Walmart debit I blocked it, as I never use my checking account there...) In Q4 2016 (I think) DiscoverIT was 5% on Amazon purchases, which is equally good, but then the Chase Prime Visa also became 5%, so there's no advantage to the Synchrony card whatsoever.
    - zeckalpha 9y ago
      I'm not suggesting any particular card, just noting that Chase must not have an exclusivity clause.
saryant 10y ago
They already did that for the Everyday Preferred.
selectodude 10y ago
If I remember correctly, they did that a few years ago. And I've had Prime ever since, which makes me a schmuck, I guess.

seattle_spring 10y ago

$80 / year is a terrible credit card reward compared to almost all other credit cards. It would have to be free Amazon Prime + 5% back on all Amazon purchases + $500 sign up bonus.

function_seven 10y ago
True, but I was searching for something comparable to the Costco deal they used to have. That perk was also pretty cheap (Isn't Costco membership in the same ballpark?) But yeah, throw some extra points/cash back in there as well. I'd go for that in a heartbeat, and so would a lot of the demographic they're currently losing.
- arkades 10y ago
  If I'm not mistaken, the Costco deal was a free membership and it was the only CC Costco would accept - any other payment had to be via debit card. That bit of arm-twisting was valuable.
  - function_seven 10y ago
    Yeah. No way in hell Amazon would agree to a similar setup. I didn’t think about that aspect of it.
  - tbyehl 10y ago
    Free Costco membership was not one of the perks (and isn't with the Citi Costco card either).
brewdad 10y ago
The Chase Amazon card already gives you 5% back at Amazon Prime members with no annual fee. A card offering that plus Prime would almost certainly have an annual fee and the $500 bonus would simply be setting the card issuer up for massive turnover.

brianwawok 10y ago

That's terrible. I get 2% cash back from Citibank. Easily put that at $1200 per year value to me.

function_seven 10y ago
I'm not saying that's the only perk. The parent comment was describing all the relationships Amex lost that combined to hurt their membership base. The Costco one could be replaced with a similar setup through Amazon.
- brianwawok 10y ago
  Costco was a walled garden. Amex only. I don't see Amazon.com able to survive a switch like that...

el_benhameen 10y ago

It would have to provide a lot more than that. I get several hundred dollars per year of value from the sign up bonus + recurring rewards on my Chase card, enough that I'm willing to eat the $450/year fee. I essentially fly for free all year because of the points. $99/year in benefits isn't enough to get me to switch.

epa 10y ago
You fly for $450 a year, to be clear.
- el_benhameen 10y ago
  Fair enough. Still a good deal for multiple trips with two people.
- dnr 10y ago
  It's really only $150 a year, because they automatically rebate $300 in travel expenses.
- albedoa 10y ago
  I'd be interested in seeing your math.

arcticbull 10y ago

They probably can't, it's likely Chase has an exclusivity arrangement on dealings with Amazon alongside issuing the co-branded credit card.

function_seven 10y ago
Amex had that with Costco, until they didn't. I don't know when the Chase agreement expires, but when it does, Amex could learn from their previous losses and aggressively steal that business away from Chase.
zeckalpha 10y ago
Amazon already has non Chase cards available: https://www.amazon.com/iss/credit/storecardmember https://www.amazon.com/iss/credit/storecardmember
- rdl 10y ago
  The Synchrony Bank store card is hands-down the shittiest card product I've ever used from any bank. I signed up for it and they screwed up my ACH multiple times, then closed my account, because they were running auto-debit ACH from a different address than command-debit ACH, and had no one who would explain this. (They bought something formerly used by Walmart, so when I saw a large Walmart debit I blocked it, as I never use my checking account there...) In Q4 2016 (I think) DiscoverIT was 5% on Amazon purchases, which is equally good, but then the Chase Prime Visa also became 5%, so there's no advantage to the Synchrony card whatsoever.
  - zeckalpha 9y ago
    I'm not suggesting any particular card, just noting that Chase must not have an exclusivity clause.

saryant 10y ago

They already did that for the Everyday Preferred.

selectodude 10y ago

If I remember correctly, they did that a few years ago. And I've had Prime ever since, which makes me a schmuck, I guess.