# Amazon.com Rewards Visa Card from Chase - What's the catch? **URL:** \ **Category:** Factual Questions\ **Created:** [August 3, 2013, 9:52pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278 "2013-08-03T21:52:40Z")\ **Posts on this page:** 20\ **Page:** 3
**Author:** ![Amateur\_Barbarian](https://avatars.discourse-cdn.com/v4/letter/a/59ef9b/32.png) [@Amateur\_Barbarian](https://boards.straightdope.com/u/Amateur_Barbarian)\ **Post date:** [August 6, 2013, 4:11pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/41 "2013-08-06T16:11:11Z")
> [@BubbaDog](#): > > Vendors are willing to give up 5%-7% of the charge to the CC issuing company for the fact that the convenience is one thing that brings the customer in. You’re way off, here. Typical merchant discounts are in the range of 0.6 to 2%. Even low-end providers for micro-businesses, like Intuit and PayPal, rarely exceed 3%. Amex is despised by merchants because all that “prestige” costs them as much as 5%. Discover gets pushed hard, even though it’s not a common card, because their discount runs \<1% for most retailers. ---
**Author:** ![BubbaDog](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/bubbadog/32/333_2.png) [@BubbaDog](https://boards.straightdope.com/u/BubbaDog)\ **Post date:** [August 6, 2013, 7:35pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/42 "2013-08-06T19:35:52Z")
> [@Amateur\_Barbarian](#): > > You’re way off, here. Typical merchant discounts are in the range of 0.6 to 2%. Even low-end providers for micro-businesses, like Intuit and PayPal, rarely exceed 3%. How am I way off when I stated 5% and you then quoted that AMEX, one of the most popular credit card processors is 5%. > [@](#): > > Amex is despised by merchants because all that “prestige” costs them as much as 5%. I use mine just about everywhere. I get about a 1 in 20 refusal rate when attempting to pay with AMEX. I don’t see a lot of hate from the vendors. > [@](#): > > Discover gets pushed hard, even though it’s not a common card, because their discount runs \<1% for most retailers. I get about a 1 in never chance of being asked to use a discover card. I have heard more than once that a customer in line in front of me was turned down when they asked if they can use their Discover card. Your arguments still appear to be obtuse to me. ---
**Author:** ![thelurkinghorror](https://avatars.discourse-cdn.com/v4/letter/t/7c8e57/32.png) [@thelurkinghorror](https://boards.straightdope.com/u/thelurkinghorror)\ **Post date:** [August 6, 2013, 7:54pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/43 "2013-08-06T19:54:59Z")
> [@BubbaDog](#): > > How am I way off when I stated 5% and you then quoted that AMEX, one of the most popular credit card processors is 5%. > I use mine just about everywhere. I get about a 1 in 20 refusal rate when attempting to pay with AMEX. I don’t see a lot of hate from the vendors. > I get about a 1 in never chance of being asked to use a discover card. > I have heard more than once that a customer in line in front of me was turned down when they asked if they can use their Discover card. > > Your arguments still appear to be obtuse to me. “One of the most popular”… you’re right. It’s within the top 4 of the 4 major companies. Faint praise, considering Visa and MC are much, much more popular than the other two. AMEX’s market share is \<5% of cards, although their dollar amount charged is disproportionately high. I assume “pushing” Discover does not mean that a cashier requests you do so. That’s never happened to me either and I doubt it ever does _except_ at Sam’s Club, who has a exclusivity deal, like Costco with AMEX (Visa/MC **debit** cards usually okay). And vendors rarely care, especially if they’re just an employee. Owners, especially at convenience stores, tack on stipulations, like $10 minimum (allowable) or transaction fees (not kosher). I mainly use Visa, but with these guys I could see preference for Visa/MC over AMEX/Discover. ---
**Author:** ![MilTan](https://avatars.discourse-cdn.com/v4/letter/m/71e660/32.png) [@MilTan](https://boards.straightdope.com/u/MilTan)\ **Post date:** [August 6, 2013, 8:07pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/44 "2013-08-06T20:07:32Z")
> [@thelurkinghorror](#): > > transaction fees (not kosher). This used to be the case, but a [recent court settlement](http://www.washingtonpost.com/blogs/on-small-business/post/commentary-new-credit-card-surcharge-rules-offer-opportunities-challenges-for-small-businesses/2013/04/23/3740cad4-ac12-11e2-a8b9-2a63d75b5459_blog.html) means that, absent state laws to the contrary, merchants are allowed to pass processing fees on to consumers. This has led to a rash of ill-informed articles decrying the “cost to consumers” of those surcharges. I’d note that if **Amateur Barbarian** really wants to rail about a chosen few benefiting at the expense of others, it seems to me that the true scandal is that banning credit card surcharges means non-credit-card-users (overwhelmingly, the poor) subsidize card users, as the processing fee gets incorporated into the sale price. ---
**Author:** ![drewtwo99](https://avatars.discourse-cdn.com/v4/letter/d/d07c76/32.png) [@drewtwo99](https://boards.straightdope.com/u/drewtwo99)\ **Post date:** [August 6, 2013, 11:31pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/45 "2013-08-06T23:31:07Z")
Only on The Dope would using a cash-back credit card be compared to pressing a button to kill people for money. :rolleyes: ---
**Author:** ![Amateur\_Barbarian](https://avatars.discourse-cdn.com/v4/letter/a/59ef9b/32.png) [@Amateur\_Barbarian](https://boards.straightdope.com/u/Amateur_Barbarian)\ **Post date:** [August 7, 2013, 12:02am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/46 "2013-08-07T00:02:32Z")
> [@BubbaDog](#): > > Your arguments still appear to be obtuse to me. Maybe because you’re going out of your way to get the facts wrong and then assign erroneous conclusions to me. You grossly misstated the amount of merchant fees and then distorted everything I said about card acceptance… none of which has squat to do with any of the original arguments anyway. The arguments only seem obtuse because very few people think past their own level of benefit; pointing out that a system does not work the way most people think and that there is a collective downside to it, even for the “winners,” conflict with the basic mindset I raised right at the outset: fuck you buddy, I got mine. Since of course of course that can’t be your attitude, I must be stoned or stupid or something. Enjoy the cheese. ---
**Author:** ![BorgHunter](https://avatars.discourse-cdn.com/v4/letter/b/7c8e57/32.png) [@BorgHunter](https://boards.straightdope.com/u/BorgHunter)\ **Post date:** [August 7, 2013, 12:18am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/47 "2013-08-07T00:18:51Z")
> [@MilTan](#): > > I’d note that if **Amateur Barbarian** really wants to rail about a chosen few benefiting at the expense of others, it seems to me that the true scandal is that banning credit card surcharges means non-credit-card-users (overwhelmingly, the poor) subsidize card users, as the processing fee gets incorporated into the sale price. Not to worry! Visa and MasterCard are nonetheless welcoming the poor into their loving, grandfatherly arms by convincing employers to use [fee-laden payroll cards](http://business.time.com/2013/07/09/nickeled-dimed-and-dollared-to-death-fee-laden-payroll-cards-forced-on-low-wage-workers/) to pay workers instead of checks or direct deposit. ---
**Author:** ![Dr.Strangelove](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dr.strangelove/32/6613_2.png) [@Dr.Strangelove](https://boards.straightdope.com/u/Dr.Strangelove)\ **Post date:** [August 7, 2013, 12:22am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/48 "2013-08-07T00:22:16Z")
> [@Amateur\_Barbarian](#): > > But by all means keep thinking yourself lucky, smart and/or ethical because you got the cheese. This time. In other news, the fact that I pay low auto insurance rates due to my safe driving means that I am riding on the backs of the less lucky. A more ethical driver than I would cause a few accidents to right this imbalance. ---
**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\ **Post date:** [August 7, 2013, 5:05pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/49 "2013-08-07T17:05:33Z")
I got one when I started law school, and I put more or less everything I spend on it (I transfer cash to my wife’s checking account for our mortgage payments, but everything else that doesn’t require cash goes on the card.) It’s paid for three and a half years of law school casebooks at the cost of… nothing. Previously I used my check card to pay for everything, so the only real difference is that I occasionally have to sign receipts now. Honestly, I have only the tiniest gripe: Chase’s account statements don’t show you a running balance next to each transaction, which makes it harder to track my monthly spending. ---
**Author:** ![CookingWithGas](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/cookingwithgas/32/485_2.png) [@CookingWithGas](https://boards.straightdope.com/u/CookingWithGas)\ **Post date:** [August 7, 2013, 5:21pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/50 "2013-08-07T17:21:27Z")
Credit card companies make a lot of money on the merchants. They figure if you have their card you’ll use it for more than just Amazon. Plus they don’t have to pay merchant fees if you buy something from them (well, they have to pay Visa, but that’s probably less than if they take a third-party card). ---
**Author:** ![jacobsta811](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/jacobsta811/32/2893_2.png) [@jacobsta811](https://boards.straightdope.com/u/jacobsta811)\ **Post date:** [August 7, 2013, 7:03pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/51 "2013-08-07T19:03:31Z")
Some of the information upthread is wrong; none of the big 4 (Amex, Discover, Visa, Mastercard), charge even 3% to the merchant on a swiped transaction. Amex is more than the other 3 though, which is why it is accepted at fewer places, and the amount additionally changes depending on the card type, with “foreign” and “rewards” visa/mastercards charging more than regular cards. The fees can’t be given exactly because they are subject to negotiation particularly with large vendors - walmart is getting a way better deal than some random regional chain, for example. Some merchant accounts essentially pass through the fees to you with a markup though - instead of say, 2.7% for all cards like say, square, it will be 1.something for visa/mastercard, ~2% for visa/mastercard rewards cards, almost 3% for amex, etc. ---
**Author:** ![ThelmaLou](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/thelmalou/32/390_2.png) [@ThelmaLou](https://boards.straightdope.com/u/ThelmaLou)\ **Post date:** [August 7, 2013, 7:11pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/52 "2013-08-07T19:11:31Z")
> [@Really\_Not\_All\_That\_Bright](#): > > I got one when I started law school, and I put more or less everything I spend on it (I transfer cash to my wife’s checking account for our mortgage payments, but everything else that doesn’t require cash goes on the card.) It’s paid for three and a half years of law school casebooks at the cost of… nothing. Previously I used my check card to pay for everything, so the only real difference is that I occasionally have to sign receipts now. Me, too. I put everything on it and I’ve “bought” a ton of stuff with rewards points. ---
**Author:** ![thelurkinghorror](https://avatars.discourse-cdn.com/v4/letter/t/7c8e57/32.png) [@thelurkinghorror](https://boards.straightdope.com/u/thelurkinghorror)\ **Post date:** [August 7, 2013, 7:27pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/53 "2013-08-07T19:27:07Z")
> [@Really\_Not\_All\_That\_Bright](#): > > Honestly, I have only the tiniest gripe: Chase’s account statements don’t show you a running balance next to each transaction, which makes it harder to track my monthly spending. I gripe: I went “paperless,” to help the environment or whatever. I had to cancel it and kill dead trees because their online “statements” were worthless: they basically said “you have a bill for some undisclosed amount online! log into our overly complicated system to see it.” Pointless. ---
**Author:** ![ZipperJJ](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/zipperjj/32/211_2.png) [@ZipperJJ](https://boards.straightdope.com/u/ZipperJJ)\ **Post date:** [August 7, 2013, 7:30pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/54 "2013-08-07T19:30:34Z")
> [@drewtwo99](#): > > Only on The Dope would using a cash-back credit card be compared to pressing a button to kill people for money. :rolleyes: You mean only on the Dope would you find ONE guy who believes that, right? I’d really rather not have AB’s opinions be representative of my own (or anyone else’s here). ---
**Author:** ![Alley\_Dweller](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alley_dweller/32/430_2.png) [@Alley\_Dweller](https://boards.straightdope.com/u/Alley_Dweller)\ **Post date:** [August 7, 2013, 11:23pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/55 "2013-08-07T23:23:10Z")
> [@thelurkinghorror](#): > > I gripe: I went “paperless,” to help the environment or whatever. I had to cancel it and kill dead trees because their online “statements” were worthless: they basically said “you have a bill for some undisclosed amount online! log into our overly complicated system to see it.” Pointless. I’m not sure what you are saying. Log into the Chase web site. The first page you see gives you a summary of each of your accounts. Under the credit card account, you click “See statements.” That takes you to a list of all of your statements. Click on the date of the statement you want to see and you get an exact PDF copy of the statement that is mailed to your home. Are you griping that they don’t email you a copy of your statement? Nobody is going to do that. It contains your account number and other personal information. Banks just don’t email stuff stuff like that. ---
**Author:** ![drewtwo99](https://avatars.discourse-cdn.com/v4/letter/d/d07c76/32.png) [@drewtwo99](https://boards.straightdope.com/u/drewtwo99)\ **Post date:** [August 8, 2013, 1:26am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/56 "2013-08-08T01:26:35Z")
> [@ZipperJJ](#): > > You mean only on the Dope would you find ONE guy who believes that, right? I’d really rather not have AB’s opinions be representative of my own (or anyone else’s here). Yes, that is what I meant. ---
**Author:** ![thelurkinghorror](https://avatars.discourse-cdn.com/v4/letter/t/7c8e57/32.png) [@thelurkinghorror](https://boards.straightdope.com/u/thelurkinghorror)\ **Post date:** [August 8, 2013, 2:01am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/57 "2013-08-08T02:01:29Z")
> [@Alley\_Dweller](#): > > Banks just don’t email stuff stuff like that. Sure they do. Not the statement, a summary. If “hackers” want to see my balance due and pay some of it, have at it. ---
**Author:** ![Alley\_Dweller](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alley_dweller/32/430_2.png) [@Alley\_Dweller](https://boards.straightdope.com/u/Alley_Dweller)\ **Post date:** [August 8, 2013, 2:28am UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/58 "2013-08-08T02:28:38Z")
> [@thelurkinghorror](#): > > Sure they do. Not the statement, a summary. If “hackers” want to see my balance due and pay some of it, have at it. And that is what I said. They do not mail the full statement and your full account number. You have to log into their web site to see that. The poster I was responding to complained that he got a summary and not the full statement. ---
**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\ **Post date:** [August 8, 2013, 1:59pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/59 "2013-08-08T13:59:46Z")
That _was_ the poster you were responding to. 🙂 ---
**Author:** ![BubbaDog](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/bubbadog/32/333_2.png) [@BubbaDog](https://boards.straightdope.com/u/BubbaDog)\ **Post date:** [August 8, 2013, 3:37pm UTC](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278/60 "2013-08-08T15:37:08Z")
> [@jacobsta811](#): > > Some of the information upthread is wrong; none of the big 4 (Amex, Discover, Visa, Mastercard), charge even 3% to the merchant on a swiped transaction… From [this link](http://www.cardpaymentoptions.com/credit-card-processors/american-express-merchant-services/) …the processing rate charged to merchants for accepting an AMEX transaction, which is typically between 3% and 5% of the sale amount… The source is 16 months old so possibly AMEX has changed their fees since then. My original statement of 5% to 7% was high but not completely out of bounds. Bubba Cheese Lover Extraordinaire [Previous page](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278.md?page=2) [Next page](https://boards.straightdope.com/t/amazon-com-rewards-visa-card-from-chase-whats-the-catch/665278.md?page=4)