How to Know What Can You Finance on Amazon
If you've had your eye on a few big-ticket items from Amazon.com but would rather non cover the full cost upfront, yous're in luck.
Amazon supports a number of different payment plans and flexible payment options, whether y'all finance a purchase through the site itself, sign up for a co-branded Amazon credit card, use a 3rd-political party financing tool to keep involvement charges low or have advantage of a 0% introductory Apr offer.
Here'south everything you need to know about paying off Amazon purchases over fourth dimension and, hopefully, avoiding interest forth the way.
See related: Best credit cards for Amazon purchases
Does Amazon offer payment plans?
Aye. While the terms are fairly rigid, Amazon offers payment plans on eligible items to qualifying customers. The site too partners with a number of credit card issuers – including Synchrony Bank, Chase and Citi – to offering flexible payment options to cardholders.
Typically, your best bet in terms of both flexibility and cost will exist either Amazon'due south own Monthly Payments plan, 0% promotional financing with an Amazon credit card or a new 0% intro Apr credit card.
Amazon Monthly Payments
Monthly Payments is a niggling-known installment payment tool available on select items for eligible Amazon customers. Billed by Amazon as a way to "Get it now, pay over time," Monthly Payments allows y'all to split the toll of an eligible detail sold and shipped by Amazon across five months with no interest or finance charges.
With Monthly Payments, the price of your item is divided into five equal installments, with your first payment due when your product ships – that's 20% of the total price, plus any tax and aircraft on the full toll of the item. Every 30 days later that for the next 4 months, you lot're charged the remaining balance in equal installments.
Y'all tin can just use Monthly Payments for ane qualifying product in each product category (such every bit electronics) or Amazon device family (such as Burn tablets and Kindle e-readers) in your cart at fourth dimension of checkout, and y'all can only exist enrolled in one monthly payment plan per product category.
Hither's a quick look at how Amazon Monthly Payments work, per Amazon'due south terms and conditions:
| Payment | Due date |
| Initial payment (plus taxes and shipping) | Date of shipment |
| First payment | 30 days after shipping |
| Second payment | threescore days after shipping |
| Third payment | 90 days afterwards shipping |
| Fourth payment | 120 days after aircraft |
To get started with Amazon Monthly Payments, you'll beginning need to check if your business relationship is eligible. You can simply employ Monthly Payments if your Amazon account has been active for at least ane year, you reside in the U.S. and you have a valid credit card tied to your Amazon account and a positive Amazon payment history.
Luckily, no credit check is required to determine your eligibility, and then you won't face the temporary credit score drop that comes from a hard pull of your credit study.
While qualifying for Monthly Payments is relatively straightforward, simply certain items are eligible for an installment program. To see if an particular is eligible for financing through Monthly Payments, check for the "five monthly payments" option on the production listing.
Here'due south how to make monthly payments on Amazon, step-by-step:
- Enable monthly payments for your account. Once you've signed in and verified that your account is eligible for Monthly Payments, you'll need to enable the feature. Visit the Monthly Payments folio and click "Enable monthly payments."
- Discover an eligible product and select monthly payments. Products eligible for financing through Monthly Payments feature the text "or v monthly payments" below the standard toll on the product listing. Y'all can choose between "5 monthly payments" and "One-time payment" before you add an item to your cart.
- Pay your first month, plus taxes and aircraft. At checkout, your Order Summary lists the total toll of your item, the amount you'll exist charged immediately and the remaining remainder, which will be billed in equal installments over the next four months.
- Pay off your remaining balance over the next 4 months. Every xxx days, your bill of fare will be charged an equal portion of the remaining balance.
Amazon credit cards: Equal Pay vs. Special Financing
If your Amazon account or the item you have in mind doesn't qualify for Monthly Payments, or if yous think you'll demand more than 5 months to pay off your purchase, an Amazon credit card could be a good alternative. Not only do these cards carry sectional financing offers, but they'll too aid you earn rewards on some of your regular Amazon purchases.
If become the new card route, you'll cull from either the Amazon Store Carte du jour suite issued by Synchrony Bank – which includes the Amazon and Amazon Prime store credit cards, besides as the Amazon Prime Secured Card – or the Amazon Rewards Visa suite issued by Chase, which includes the Amazon Rewards Visa Signature Card* and the Amazon Prime number Rewards Visa Signature Carte*.
Depending on the carte and the size of your purchase, you may be eligible to choose betwixt two main types of financing for Amazon purchases: Equal Pay and Special Financing.
See related:Amazon shop cards vs. Amazon Visa credit cards
Amazon Equal Pay financing
Equal Pay is similar to Monthly Payments, but offers much longer payment plans for large purchases – based on the size of your purchase.
This payoff menstruation ranges from vi to 24 months on the Amazon store card and from six to eighteen months on the Amazon Visa cards. The latter cards too require a lower minimum purchase price to take advantage of a payment plan.
Equal Pay options on Amazon store cards from Synchrony include:
| Offer period | Minimum purchase |
| 6 months | $150 |
| 12 months | $600 |
| 24 months | $800 (select purchases only) |
On Hunt cards, the following offers apply:
| Offer period | Minimum purchase |
| 6 months | $150 |
| 12 months | $250 |
| 18 months | $500 |
Like Monthly Payments, Equal Pay allows you to separate the price of your item equally beyond the offer period. Equally long as y'all make your installment payments on time and in full, you won't be charged any interest or other fees.
Instead of charging installments on a monthly basis, however, Equal Pay charges you for the total purchase amount when your item ships. Your required installment payment is then included as part of your minimum payment due each card statement period. This could go a bit disruptive if you lot've used your Amazon credit carte for new purchases in add-on to an Equal Pay purchase.
Luckily, Chase makes it clear what you need to pay to avoid involvement on new purchases past list an "Interest Saving Balance" on your statement. Your Interest Saving Balance includes both the monthly payment due as part of your Equal Pay plan and whatsoever not-promotional balances you lot have. As long as y'all pay your Interest Saving Remainder in full, you'll avoid involvement charges and be on rail to pay off your Equal Pay purchase.
For example, if you lot used Equal Pay to dissever a $600 purchase across half dozen months and also made $400 in other new purchases during a statement period, you'd accept a total balance of $i,000. Your Interest Saving Rest, withal, would be just $500 – that's your $400 in new purchases, plus your $100 installment payment for the month.
To take reward of an Equal Pay offer on an Amazon credit card, add items to your cart as you normally would. Then, at checkout, choose your Amazon credit card every bit your payment method and select the Equal Pay selection from the "card options" drib down listing.
Unfortunately, you must choose betwixt either financing or earning rewards on your Amazon carte du jour. If y'all opt for financing, you lot'll miss out on any cash back you'd otherwise earn on Amazon purchases.
Amazon Special Financing
The other financing option on Amazon credit cards is called Special Financing. Still, it's not particularly "special" – it'southward only the sort of deferred interest financing offer you lot'll notice available with many retailers and store credit cards.
With Amazon Special Financing, yous get a promotional 0% APR for 6 to 24 months, depending on the size of your purchase. Every bit long equally you pay off your purchase in full past the end of the promotional catamenia, you'll avoid interest charges. Without prepare installment payments, how much you pay over the minimum is up to y'all, though if you pay simply the minimum each month, you won't pay off your balance in time.
Here's how 0% promotional Special Financing breaks downwardly past purchase size:
| Offer period | Minimum purchase |
| 6 months | $150 |
| 12 months | $600 |
| 24 months | $800 (select purchases but) |
Additionally, since Special Financing uses deferred interest, if y'all accept even $1 remaining on your balance at the end of the promotional catamenia, y'all'll be charged interest going back all the way to the original purchase date.
Given the potentially high APR on Chase'due south Amazon cards (14.24% to 22.24% variable) and the high Apr guaranteed on Synchrony's Amazon cards (25.99% variable), slipping upwardly on a deferred involvement financing offer could end up costing you a ton.
While marketing for Special Financing offers is more prominent on Synchrony's Amazon cards, you may authorize for Special Financing with a Hunt Amazon card likewise. Equally with Equal Pay, simply choose your Amazon credit carte equally your payment method and select Special Financing from the "bill of fare options" drop down list.
Other Amazon financing options
While Amazon Monthly Payments or an Amazon credit menu will probable offering the most flexibility, a number of other flexible payment tools may be a meliorate fit for you. Go along in mind, however, that a few of these methods will crave you to pay at least some interest.
Citi Flex Pay
Citi has partnered with Amazon to let eligible Citi cardholders to finance Amazon purchases using Citi Flex Pay. This characteristic lets yous carve up the price of most Amazon purchases of more than than $100 into equal monthly payments when you utilize an eligible Citi bill of fare as your payment method at checkout.
While you generally can't avert paying some interest with this pick, the standard stock-still promotional Apr is quite low, and y'all may authorize for much a longer payment plan than y'all'd discover in other financing plans.
Here'south a breakup of standard Citi Flex Pay Amazon payment plans:
| Offering period | Minimum buy | Promotional APR |
| three months | $100 | half dozen.74% |
| 6 months | $149 | 6.74% |
| 12 months | $300 | half-dozen.74% |
| eighteen or 24 months | $600 | 6.74% |
| 36 or 48 months | $1,200 | 8.74% |
As with Amazon's Equal Pay and Special Financing offers, yous can opt into Citi Flex Pay financing on a purchase past setting your Citi bill of fare as your payment method and selecting the monthly payment plan that works for you. Earlier you check out, yous'll see your payment programme displayed below your order full.
Pay It Program Information technology
A flexible payment tool bachelor on select American Express credit cards, the "Programme It" portion of the Pay It Programme It program allows eligible cardholders to dissever purchases of more than than $100 into monthly payments with a stock-still fee. Payment plans run from iii to 24 months and can be used for up to 10 eligible purchases at a time.
To use "Plan It" with an Amazon buy, simply accuse the full toll of the item to your eligible Amex card, and then log in to your Amex business relationship and choose the purchase that y'all want to pay over fourth dimension. Y'all'll be offered one to three payment plans and tin see how many payments you'll make, the amount yous must pay each month and the required fees.
New 0% intro APR card
A new credit card that offers a 0% introductory April on purchases will allow you to deport a balance for several months and relieve on involvement on all new purchases.
2 of your best options at the moment are the Blue Cash Preferred® Menu from American Limited and the Blue Greenbacks Everyday® Card from American Limited.
That's because non only practise both cards come with a 0% introductory April on new purchases (the Blue Cash Everyday offers a fifteen-month 0% intro APR catamenia, while the Blue Cash Preferred offers a 12-month 0% intro APR flow, with both carrying a thirteen.99% to 23.99% variable Apr subsequently that), they as well offering rewards on Amazon purchases equally office of their welcome offer.
The Blue Cash Everyday and Blue Greenbacks Preferred cards offer 20% dorsum on Amazon.com purchases for your first half dozen months as a cardholder, with a $150 and $200 cash back cap, respectively.
The Discover it® Cash Back card is some other great selection. It comes with a 0% introductory APR on purchases for the beginning xv months (11.99% to 22.99% variable APR later on that) and the Notice cash back agenda for 2021 lists Amazon.com purchases equally eligible for five% cash back from October through December (upon enrollment, on upwardly to $1,500 in spending, and then 1%).
Bottom line
If you're looking for payment flexibility as you browse Amazon, you have a ton of options to choose from, many of which will help you avert interest charges for six months or more.
If you want to avoid opening a new credit bill of fare, Amazon Monthly Payments may be your all-time bet merely if you need more than fourth dimension to bit away at the price of a large purchase, an Amazon co-branded credit carte du jour or a new card with a 0% introductory Apr on purchases may exist worth the temporary credit ding that comes with a new application.
Whichever route you take, exist certain you lot take a payoff programme in place before you check out. You'll also want to go on a shut eye on your balance and payment schedule to ensure you don't end up drowning in fees or interest charges.
See related: Best credit cards for large purchases
*All information about the Amazon Rewards Visa Signature Card and Amazon Prime Rewards Visa Signature Card has been nerveless independently by CreditCards.com and has not been reviewed or approved by the issuer.
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The editorial content on this page is based solely on the objective cess of our writers and is non driven by advertising dollars. It has not been provided or deputed past the credit menu issuers. However, nosotros may receive compensation when you click on links to products from our partners.
Source: https://www.creditcards.com/card-advice/amazon-financing/
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