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Chase Amazon Equal Pay Promo Caution

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CJ7
Frequent Contributor

Chase Amazon Equal Pay Promo Caution

Unexpected scenarios may occur when you have Equal Pay Promos running:

 

Situation 1:  You pay more than the Interest Saving Balance.  Any amount paid more than this amount

will be applied to the Equal Pay Promo, not your regular outstanding but *not yet due* balance.

So if you're trying to get ahead on next month's Interest Saving Balance, guess again.

 

Situation 2:  You return something you purchased from Amazon or anywhere else, and you receive a credit

on your statement.  They will treat this as a payment:  it will not offset your Interest Saving Balance due;

it will be applied to your Equal Pay Promo instead.  Absolutely insane.

 

Example:  You have a $50/month Equal Pay Promo with a $250 balance remaining.  You use your card

during that month to only make one purchase for $100 on Amazon and then return it for a credit. 

You'd expect the $100 credit to offset the $100 purchase and you'd only owe the $50 EPP.  Wrong!

You now owe $150 under the Interest Saving Balance and your EPP balance is now $150.

They just forced you to make two additional EPP payments RFN, robbing you of 2 months of 0%.

 

 


Message 1 of 7
6 REPLIES 6
FireMedic1
Community Leader
Mega Contributor

Re: Chase Amazon Equal Pay Promo Caution

Terms and Conditions:

"Equal Pay promotions do not earn % back rewards. When you place your order, the total purchase amount (including any shipping and handling costs, plus applicable taxes) will be charged to your card and deducted from your available credit."

Not everyone reads the fine print. Bottom of page:

https://www.amazon.com/b?ie=UTF8&node=19185153011 

 

 


Message 2 of 7
SouthJamaica
Mega Contributor

Re: Chase Amazon Equal Pay Promo Caution


@FireMedic1 wrote:

Terms and Conditions:

"Equal Pay promotions do not earn % back rewards. When you place your order, the total purchase amount (including any shipping and handling costs, plus applicable taxes) will be charged to your card and deducted from your available credit."

Not everyone reads the fine print. Bottom of page:

https://www.amazon.com/b?ie=UTF8&node=19185153011 

 

 


I never thought about this, and looked it up to see what it is. I can't see why anyone would use it and give up their 5% cash back.


Total revolving limits 741200 (620700 reporting) FICO 8: EQ 701 TU 704 EX 685

Message 3 of 7
Namaste7
Established Contributor

Re: Chase Amazon Equal Pay Promo Caution


@CJ7 wrote:

Unexpected scenarios may occur when you have Equal Pay Promos running:

 

Situation 1:  You pay more than the Interest Saving Balance.  Any amount paid more than this amount

will be applied to the Equal Pay Promo, not your regular outstanding but *not yet due* balance.

So if you're trying to get ahead on next month's Interest Saving Balance, guess again.

 

Situation 2:  You return something you purchased from Amazon or anywhere else, and you receive a credit

on your statement.  They will treat this as a payment:  it will not offset your Interest Saving Balance due;

it will be applied to your Equal Pay Promo instead.  Absolutely insane.

 

Example:  You have a $50/month Equal Pay Promo with a $250 balance remaining.  You use your card

during that month to only make one purchase for $100 on Amazon and then return it for a credit. 

You'd expect the $100 credit to offset the $100 purchase and you'd only owe the $50 EPP.  Wrong!

You now owe $150 under the Interest Saving Balance and your EPP balance is now $150.

They just forced you to make two additional EPP payments RFN, robbing you of 2 months of 0%.


@CJ7 - I agree that Situation and Situation 2 are not expected outcomes. 

 

To avoid this hang up, I do not combine normal purchases and interest free financing in the same period. Sometimes, I'll default to Visa for the cash back and the Store card for interest-free financing. This keeps things clean and avoids the situations you called out. 

 

IIRC, Apple Card (Goldman Sachs) and PayPal Credit handles those situations properly by applying excess or return payments against the current purchase/balance (that's interest bearing) as opposed to the installment balance (zero- or deferred interest). 

~~MMXX~~
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Message 4 of 7
longtimelurker
Epic Contributor

Re: Chase Amazon Equal Pay Promo Caution


@SouthJamaica wrote:

@FireMedic1 wrote:

Terms and Conditions:

"Equal Pay promotions do not earn % back rewards. When you place your order, the total purchase amount (including any shipping and handling costs, plus applicable taxes) will be charged to your card and deducted from your available credit."

Not everyone reads the fine print. Bottom of page:

https://www.amazon.com/b?ie=UTF8&node=19185153011 

 

 


I never thought about this, and looked it up to see what it is. I can't see why anyone would use it and give up their 5% cash back.


Think of it like a Plan It/Pay over Time etc from other issuers and here the 5% reward is the fee.   If you are buying something expensive that you cannot PIF, a 12 month plan MIGHT be worth losing the 5% rewards (I guess you can get the rewards and then BT to another card, but that will usually have a fee too)

Message 5 of 7
CJ7
Frequent Contributor

Re: Chase Amazon Equal Pay Promo Caution


@longtimelurker wrote:

12 month plan MIGHT be worth losing the 5% rewards

It certainly is when the going APR is 19.24%.  I'd rather give up 5% than pay almost 20%.


Message 6 of 7
Lou-natic
Established Contributor

Re: Chase Amazon Equal Pay Promo Caution

My AMEX Business Prime card does the same thing. You can have your 5% cash back or you can get 90 days interest free but not both.

 




3/4/23



Message 7 of 7
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