How To Use Amazon Payments To Meet Minimum Spends and Earn More Points

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Although it’s not exactly a secret, Amazon Payments is by far one of the cheapest and quickest ways I have found to reach a minimum spend on a welcome bonus or to just earn some additional miles and points. I just recently used it to hit the $3,000 spending requirement on the Barclaycard Arrival Plus World Elite MasterCard (OFFER EXPIRED), and by sending $1,000 per month I could have earned the 40,000 mile welcome bonus by not actually spending any money.

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The service is very simple to use and lets you make immediate payments to other individuals using a credit card without a fee for up to $1,000 per month. This post is for anyone wanting to get the basics on how to use Amazon Payments.

Since you have to meet all minimum spend requirements within a certain amount of time (normally 3 months), it makes sense to hit that spend as soon as possible so the bonus miles/points can post to you account sooner. The problem is that in reality not all of your expenses are payable through credit cards or that you may not be able to spend the total amount during everyday spending.

For example, if you hire a babysitter, you probably pay them cash, or say that you rent your home and usually pay your landlord with a check because they either don’t have a credit card setup for you to pay with and if they do, they charge a fee for using one.

Amazon Payments allows you to pay for ‘goods and services’ using a credit card without being charged a fee (up to $1,000 per month) which can make reaching your minimum spend requirements faster and easier. If you are really in a crunch or want to maximize the amount you can send per month you can send a trusted friend or relative money and have them cut you a check, a tip is just not to have a closed loop of repayments using Amazon Payments.

How Amazon Payments Works

Amazon Payments allows you to transfer up to $1000 per month for ‘goods and services’ to a friend or an individual you’re doing ‘business’ with.

To set up an Amazon Payments account you will have to register your Social Security number, so if you’re not willing to provide this you won’t be able to create an account. When you send money make sure you always select “Good and Services” instead of “Cash Advance”.  Note: DO NOT select “Cash Advance” because your credit card will charge you a cash advance fee. You will have to register the credit card that you plan to make payments with (the credit card you plan to meet the minimum spend with), if you plan to receive payments as well you will also have to enter your bank account information.

To begin making payments, activate the “send money online” feature under the Your Account tab and input all of your credit card and bank account information so that you can withdraw funds paid to you by others. Normally, before you account is active Amazon Payments will make a small deposit to verify that your bank account is valid, you will have to confirm the amount sent to your account.

 If you decide to go the route of making payments through Amazon to ‘loan funds’ to a friend or family member, have them pay you back with a check rather than with  Amazon Payments unless you plan to wait about 5-8 days before getting money back so that you don’t raise any red flags or suspicious activity.

Don’t even consider paying yourself back through Amazon Payments, it can be considered fraudulent. Also, once you have reached $20,000 in payment or 200 transfers per year, Amazon is required by law to report it to the IRS, so be selective with your Amazon Payments account and only use it for minimum spends that you really need and will benefit from.

Quick Review:


1. Go to  Amazon Payments

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2. Sign up and verify account

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3. Send money to someone using a credit card that will not post the transaction as a cash advance (I have yet to have any of my credit cards post the transaction as a ‘cash advance’ when I select ‘goods and services’)


5. Send up to $1,000 per month to avoid any fees

Avoid Being Flagged

You always want to make sure that you have a legitimate reason for your transaction. Don’t abuse the service because if you begin to overuse Amazon Payments and they catch on, they may terminate your account. Also, they may begin to implement greater regulations and restrictions to users so be particular on what you consider a service and use your descriptions wisely. “Credit Card bonus” won’t cut it. “Paying back the money I borrowed from Joe” is probably okay.

Credit Card Companies

As consumers, using Amazon Payments is a perfect way to meet the minimum spends for deals like the recent 60,000 bonus offer from Chase Ink and Bold cards (OFFERS EXPIRED). The fact of the matter is that credit card companies don’t really want you to take advantage of services like Amazon Payments because you’re essentially paying yourself back and actually using the card for everyday purchases. It’s a tricky game and usually credit card companies don’t catch on to this or don’t seem to care, however, American Express issued cards like the PRG or Platinum get a red flag sent to them when you meet the minimum spend using Amazon Payments.

Some cards that are particularly useful for using Amazon Payments to meet the minimum spend requirements with are ones with a lucrative welcome bonus that has a higher spend requirement such as the Chase Ink Bold (OFFER EXPIRED), Chase Ink Plus (OFFER EXPIRED), Chase apphire Preferred ($3000 spend in 3 months), and any other credit card offers that have minimum spends.

The Bottom Line

Amazon Payments can be a great way to meet the minimum spend requirements when you are aiming for a few card bonuses at once. Most credit card bonuses require a spend of anywhere from $1,000 to $3,000 which makes Amazon Payments one of the easiest and fastest ways to meet your minimum so you can redeem your travel awards on free flights and hotels sooner! The fact that it doesn’t charge a fee for up to $1,000 per month for using the service is a great reason to begin using it.

About The Author

Rand Shoaf

Rand Shoaf

Introduced to traveling at a young age, Rand has since traveled to over 45 countries. Learning how to maximize credit card sign-up bonuses in college has allowed him to earn millions of travel miles and points. Using the same tips and tricks he writes about here has ultimately allowed him to explore the word for pennies on the dollar.

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Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved, or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.

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11 thoughts on “How To Use Amazon Payments To Meet Minimum Spends and Earn More Points”

  1. just signed up for amazon payments (already had an amazon account with my cc and bank info verified). there is no send payments button. anywhere. i spent half an hour clicking through every option, but that tab is completely absent. did they take the whole service away?? or am i doing something wrong?

  2. i got an email today mrng from AP saying that my amazon payments account has been terminated permanently. Does this mean that even my regular amazon account associated with the same email is also gone forever?

    • Since it’s a separate login to AP than to the normal Amazon account login I’ve always thought the accounts were separate. However it may affect your Amazon seller account. You will have to try to sign-in to you normal account via the same email, let me know what happens.

  3. Can anyone confirm if this will work for Chase Credit Cards? If so, will it work on all Chase cards regardless of if they are a Co-Brand card or not (Hyatt, British Airways, etc..)

    Chase doesn’t consider this a cash advance?


  4. Hi there,

    I may have completely missed something on the site, but it doesn’t look like Amazon is doing the $1000 free anymore. Everywhere I look they have the 2.9% + 30cent feet now.

    Any advice?

    • Hi Ahmad,

      are you on the “Fees for Checkout by Amazon and Amazon Simple Pay” page by anychance? That is for people who are listing products and goods on Amazon and are using Amazon as a Marketplace and that does have a fee. I just sent a test amount through Amazon Payments and I wasn’t charged a fee. When I use the Amazon Payments I hit the “Send Payment” tab and I’ve never been charged a fee. Let me know if that’s what you’re doing because it may have changed then.

    • Hi Ahmad,

      Are you by any chance in the Amazon Simple Pay/Personal section? That DOES require a fee because it assumes you’re running a small business. You actually need to go to the “Send Payment” tab instead. I’ve never been charged a fee for sending $1000 and I just sent a smaller test amount through Amazon Payments and it doesn’t seem to show a fee. If you are doing it through Send Payment, then please let me know in case it did change!

    • Amazon payments recently changed it so you can only send $500 per month with a credit card if you don’t link a bank account. To raise the limit to $1000 per month you will have to link a bank account. The 2.9% + $0.30 per transaction will not start until December 4, 2013. You can read more about it on the Amazon Payments updated User Agreement.


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