The change is happening much earlier than expected.
In April, Amazon announced that its Platinum and Classic credit cards would be closed down in January 2023. But we now know that this will happen in November – two months earlier than expected.
Here’s what you need to know about switching your card to its replacement, and what it means for earning and redeeming points at Amazon before then.
When will Amazon cards stop working?
NewDay, the company that issues the cards on behalf of Amazon has started emailing and writing to customers about the forthcoming changes. If you’ve not heard from them yet, they’ve told me this process will be complete by 6 September 2022.
The letter reveals that the Amazon Platinum credit cards will stop working on 11 November this year. Classic cards end sooner on 14 October. You can use it up until the relevant date, and earn points for Amazon with the Platinum card.
What is NewDay Pulse?
Pulse is the replacement card from NewDay that you’ll be able to swap over to. There won’t be any credit check if you want this card, and things like the account number, direct debit and credit limit will stay the same.
It looks like won’t need to say you want the new card, and it’ll be sent in the post at some point. At the moment it’s not available for brand new customers.
You will need to activate it within 90 days of receiving it. If you do this prior to 11 November your Amazon card will stop on that date – so it might be worth holding back if you are still going to be shopping on Amazon.
If you use the Amazon NewDay app to manage your account you’ll need to change over to the Pulse apps. I’ve tried this and my current log-in details don’t work, so I assume registration will be part of moving to the new card.
* Update 7 September 2022: It now looks like not all customers will be offered the Pulse replacement, and this includes me! MSE reports some accounts are to be closed. So if you’ve not heard about a new card yet it’s likely you won’t get one *
Is the Pulse card any good?
The Pulse card offers 0.25% cashback anywhere that accepts Mastercard. That’s the same the Amazon Platinum card offered at non-Amazon retailers, but obviously less than what you’d get at Amazon itself. The cashback is capped at £150 a year. That might seem tight, but you’d need to spend £60,000 a year to earn this.
When this change was first announced in the spring, there was a mention of 1% cashback for the first three months. Sadly it now appears this was an offer running in April, and it won’t be something you’ll get when you switch the card over.
Either way, there are much better cards available. All the different American Express cards pay a higher rate of cashback, while the Barclaycard Avios is worth 0.8% – as long as you’re happy to convert those points into Nectar points. And of course, new Chase Bank customers can get 1% back for a year via its debit card.
Should you close your Amazon/Pulse card?
A rate of 0.25% back isn’t anything to get excited about, so you might be thinking you’ll close your account before you even get the Pulse card.
Before you do, it’s worth considering the impact on your credit report. First up, if you want to open a card up at a different bank to replace this one you will be credit checked. That hopefully won’t be a problem, but it’s worth checking your report first or avoiding any application if there’s a mortgage on the horizon.
Second, closing down an existing credit card could hurt your credit score. But there’s also the chance it could help it! It’s all a little confusing.
Essentially, getting rid of this card will reduce your overall credit limit. Sometimes lenders don’t like this as a consequence is your average credit use increases. On the other hand, they might like that you’ve less access to credit. You can read more about credit utilisation here.
What happens to Amazon points?
Whether you switch to Pulse or not any points you’ve accumulated via the Amazon cards will be converted into an Amazon gift card and added to your Amazon account by the end of December 2022.
The usual 1,000 points multiple (or £10) won’t apply, so that’s good news. For example I’ve got 324 points (that have been sitting there since I last used my card at Amazon in 2020). I’ll get £3.24 as a result.
Will Amazon launch a new credit card?
Unsurprisingly Amazon will be launching a replacement credit card. There aren’t any details available yet, but I wouldn’t be surprised that moving the changeover from January 2023 to this November is so they can launch the card for Black Friday.
As soon as details are released I’ll update you here on the blog and on YouTube.