Amazon Bank Account Threatens Incumbents

Amazon Bank Account Threatens Incumbents

Amazon is reportedly looking to cut out the credit card companies.

According to Bloomberg, Amazon is looking for a banking partner to allow purchases on its eCommerce platform without paying credit card companies their cut.

Amazon already dipped its toes in the payments space with two products: Prime Reload and a Chase rewards card.

With Prime Reload, consumers use a debit to fund an Amazon gift card in exchange for cashback rewards.

The Chase rewards card is a more traditional credit card.

As Amazon’s revenue continues to grow, reducing payment overhead is a way to increase profit or offer higher margins to merchants.

Get the Drift - 200 hours of fintech compressed into 5 minutes a week

Dominick DeJoy

Dominick DeJoy

Dominick DeJoy (@dominickdejoy) is the owner of Fintech Drift and a frequent contributor. With a history in finance and tech, he currently works at Preqin, previously was in commercial real estate investing, and was one of Bounce X’s (now Wunderkind’s) first employees.

More Fintech Drift

Leave a Comment

Your email address will not be published. Required fields are marked *

Share this post

Share on linkedin
Share on twitter
Share on facebook
Share on email

GET THE DRIFT

Get the Drift.

Get quick fintech insights and news in your inbox twice a month. Only for cool people.