Amazon has partnered with British multinational universal bank Barclays to launch a co-branded credit card. In essence, the card allows users to accumulate rewards on their spending, which can be redeemed for gift cards at Amazon.co.uk.

The Amazon Barclaycard offers 1% cashback on purchases made through Amazon and 0.5% on other expenditures for the first year. After the initial 12 months, the cashback rate for non-Amazon purchases drops to 0.25%. Users can manage their rewards and redeem them for Amazon gift cards via the Barclaycard app.

The card does not carry an annual fee, and new applicants receive a GBP 20 Amazon.co.uk gift card upon approval. Amazon Prime members will receive 2% cashback on Amazon purchases during special shopping events such as Cyber Monday, Black Friday, and Prime Day. Additionally, cardholders benefit from 0% APR on purchases for the first six months.

Following this period, the card has a Representative APR of 28.9%, with the rate dependent on individual financial situations and credit history. Cardholders also gain access to Barclaycard’s entertainment benefits, including early access to selected UK events and a 10% discount on pre-sale tickets when using the Amazon Barclaycard. Furthermore, users receive a 10% discount on food and beverages at selected locations.

Officials from Amazon cited by electronicpaymentsinternational.com stated that the new card aims to provide value by offering rewards on both Amazon purchases and everyday spending without an annual fee. Barclays officials noted that the card is designed to reward frequent Amazon shoppers and aligns with Barclays' strategy to enhance its UK credit card offerings. The card, which is issued by Visa, benefits from Visa’s global merchant acceptance, fraud protection features, and Zero Liability Policy.

What else has Barclays been up to? In July 2024, Barclays announced the sale of its German consumer finance business to Austrian bank BAWAG Group AG for a small premium above net assets. The transaction, aimed at streamlining Barclays' operations, involved its Hamburg-based unit and was expected to enable BAWAG to expand its loan portfolio and customer base in the region. In 2023, BAWAG emerged as a top contender among several European banks and private equity firms bidding for the acquisition, according to previous reports by Reuters.

The sale was anticipated to release approximately EUR 4 billion of risk-weighted assets for Barclays Europe and improve its CET1 ratio by about 10 basis points. However, Barclays did not disclose the exact sale price. .