Amazon launches new offer for 20% off with targeted Discover credit cards

Jennifer Yellin, CNN Underscored
Updated Fri May 15, 2020

If you're a Discover card holder and an Amazon shopper, you might be in luck. Amazon has launched a new targeted promotion offering a 20% discount on most products sold directly by Amazon when you use cash back points from select Discover cards. If you're eligible, you can save up to $20 when you use your Discover cash back to pay for at least a portion of your purchase at checkout.

Some targeted card holders are seeing a $10 maximum on this offer, while others are getting $20. Both are lower than the $50 maximum on the offer that recently ended. But this new one isn't set to expire until June 30, so now's the perfect time to save on any Amazon purchases you were planning to make.

Targeted Discover card holders can get 20% off at Amazon.

There are a number of steps you'll need to follow to actually lock in the 20% savings, so we've put together a step-by-step guide to ensure you're getting every penny.

How to save 20% at Amazon with your Discover card

For starters, in order to potentially be targeted for this promotion, you must have a Discover credit card. These include the Discover it® Cash Back, the Discover it® Miles and the Discover it® Chrome.

If you have one of these cards but haven't connected your Discover card to your Amazon account, you'll need to first link your two accounts. Log in to Amazon and add your Discover card as a payment method, then look for the option to enroll in "Shop with Points" under the "Your Account" tab. On the next screen, click the "Enroll" button for the Discover card you just added.

Add your Discover credit card to your Amazon account and enroll in "Shop with Points."

Once your accounts are linked, you'll need to check to see if you're eligible for the offer by clicking on this link. Unfortunately, this is a targeted promotion, so you might see a message saying that you're not eligible, even if you have a Discover card connected to your Amazon account.

It also might take 24 or more hours after your accounts are first linked for the promotion to appear, so keep checking back if it doesn't show eligibility for you right away.

If you're eligible, make sure to activate the offer for the 20% discount by clicking on the "Activate now" button. You can then go ahead and shop at Amazon as you normally would, but during the checkout process, you'll want to select your linked Discover card as your payment method. You'll then need to apply at least 1 Discover cash back point to pay for your purchase to trigger the 20% discount.

Related: Lower your expenses by getting one of these credit cards with no annual fee.

Amazon might automatically default to applying points for the full purchase amount, but you can manually change it and designate the number of points you want to apply toward your purchase — as little as 1 point if you want. The rest of the purchase can then be paid for with your Discover card.

Fortunately, you'll get the same value redeeming your Discover cash back at Amazon as you'd receive if you chose a statement credit redemption instead. Basically, $1 in cash back equals $1 at Amazon, which means you're getting the same 1 cent per point.

Once you've applied at least 1 point to your payment, you'll see the 20% discount added to your order, but keep in mind you'll only see the discount on items sold directly by Amazon, not most third-party sellers. The discount will also apply to all your Amazon orders through June 30 until you reach the $20 maximum total savings, as long as you pay with your Discover card each time and apply at least 1 point.

Get 20% off some great Amazon products

Let's look at a few examples to see how this 20% discount works using the $20 maximum. Recently our CNN Underscored team found the latest MacBook Air at an all-time low price, but with this Discover promotion, you can get the new 256GB MacBook Air for an even lower $929. Or, if you're looking for something more on the go, there are a few iPad minis on sale at Amazon, such as this 64GB Apple iPad mini for $379 with the 20% discount.

Additionally, if you're looking for ways to entertain your kids, the extra 20% savings can apply to many activities, such as lawn bowling games.

Get 20% off activities that you can use at home with the kids.

You can even pair these promotions with many of Amazon's daily deals or any of its other money-saving offers, like getting $5 off $25 worth of pet products, or buying two books and getting 50% off the second one.

Related: Pay off your debt faster with these balance transfer credit cards.

20% off third-party gift cards too

While the 20% discount doesn't apply to Amazon gift cards, it does apply to many other third-party gift cards that Amazon sells. And Amazon literally has hundreds of options, including retailers that might be useful right now such as Netflix, DoorDash, Safeway and more.

So even if you don't have anything you need at Amazon at the moment, you can buy a gift card for yourself using the discount and bank the savings for later.

What should you do if you're not targeted?

If you're not targeted for this particular Discover promotion, keep checking back, as sometimes previously ineligible customers are suddenly eligible. Similar offers also re-surface throughout the year, so there's a chance you'll be able to receive savings at another point in 2020.

You can also see if you're eligible for a similar promotion Amazon is currently running for American Express cards that could score you a discount of up to 40% if you're targeted. If you happen to be eligible for both the Discover and Amex offers, you could be looking at a total of $100 in savings. Keep in mind though that you can't combine points from the two programs on a single purchase.

And if you don't have either a Discover or American Express card, make sure you check out our guide to be sure you're at least using the best credit card for Amazon purchases, even if you can't get any discounts right now.

With Amazon being a go-to shopping site right now for many households, this promotion is the perfect way to save money if you're eligible. So make sure you take a look if you're a Discover card holder, and if you're targeted, get your 20% discount when you buy from Amazon between now and June 30.

Find out which items CNN Underscored chose as our best selling Amazon products.

Editorial Disclaimer: Opinions expressed here are the author's alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Note: The prices above reflect the retailer's listed price at the time of publication. While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.