In case you are one among the many credit cardholders out there, you might have heard of Amazon credit card. It looks like a wonderful and unique way to make online purchases. There are only few restrictions that are imposed when using this card to make purchases at Amazon. So, how can one pay Amazon credit card?
One of the advantages of using this card is the low annual percentage rate. If you compare it with other credit cards, you will find that paying your monthly payments on time is very easy. Apart from this, you are not obliged to pay any interest on your Amazon credit card balance. That means, you don't have to worry about paying extra on your Amazon credit card balance.
Now comes the question, what happens if I cancel my Amazon credit card? Actually, that depends on what happens to your other credit cards. Most of them usually have some sort of fees, annual fee and interest added to them. In order to keep you as a customer, they usually charge some extra fees.
Amex has one of the most attractive offers with zero annual fee and no interest for five years. With this advantage, most of the other credit cards are easily worth their prices. But, does cancelling a credit card with an annual fee or interest hurt your credit score? The answer is NO.
If you have an Amazon credit card with a zero annual fee and no additional annual fee, what else do you need? Well, aside from being able to use your credit card for any purpose, it also helps in building your credit rating. So, what does cancelling an Amazon credit card worth if we look at the benefits in terms of building credit rating?
In simple words, cancelling your Amazon credit card helps you in building a good credit score. It also reduces your financial worries. There is actually no better time to build credit score than right now. Why? Because things are going to get even better in the future. As for now, there are a lot of options out there that can make your life a whole lot easier.
If you cancel your credit card, you are actually reducing your debt burden. When you go with credit cards that have zero or low interest rate, you can save a lot of money every month when it comes to your monthly payments. Apart from that, as you pay off your balance on time, you also increase your credit score which will help you in obtaining more loans in the future. Basically, when you have managed to manage your debt well by using credit cards and amazon rewards, you can be rest assured that you have done something right in managing your finances.
One more benefit that you can get when you cancel your Amazon store card is the fact that you are automatically qualified for their cash back reward program. This can mean a lot to you, especially if you think about how difficult it was to pay for your credit card at the start. Amortization has been one thing that is never easy. Therefore, if you cancel your amortization, you can be sure that you will have a lot more cash on hand so that you can pay off more debts and achieve more financial stability for yourself and your family.
So, does cancelling a credit card account with amortization impact on your credit score? Well, it depends on what kind of effect your credit score will have on your life. If you use your credit card wisely, paying off your balance regularly, and you manage your finances well, then yes, you can expect to have a positive impact on your credit score.
On the other hand, if you were to misuse your Amazon account and if you did not pay off your balance, then there is a chance that you might have to suffer from a negative impact on your credit score. This is because you are considered a high-risk client when it comes to credit card accounts with high balances. On the other hand, if you have a poor credit score, then you might have to look into other options such as applying for a gift card instead of an amortization or for a secured loan instead of using your Amazon account. Both methods are equally beneficial, so the choice is really up to you.
Finally, as mentioned before, if you already have a secure debit card with Amazon and you do not have a gift card, then you can always consider applying for a secured credit card from Amazon itself. You can find out more about these cards by visiting their website. Once again, this information should be considered as a general basis only and not as legal or regulatory information.