Amazon Is Changing How Some Advertisers Pay for Ads: What to Know Before August 1

Key takeaways

• Amazon is moving a small group of advertisers off credit card billing, effective August 1, 2026.

• Affected accounts default to deduction from their seller or vendor account balance, or can choose Pay by Invoice.

• A credit or debit card stays on file only as a backup payment method.

• You can keep paying Amazon by card and preserve rewards by routing a Pay by Invoice bill through Melio.

What is changing with Amazon Ads payment methods

Amazon is updating how a small group of advertisers pay for their ad campaigns. The company is moving these accounts off standard credit-card billing. Amazon confirms the change takes effect on August 1, 2026.

Affected accounts will default to having ad costs deducted from their seller or vendor account balance. Advertisers can also choose Pay by Invoice instead. A credit or debit card stays on file as a backup for insufficient funds.

This shifts when and how the money leaves your business. Instead of a card charge you settle later, costs come out of your funds sooner. That timing matters a lot for cash flow.

Who is affected by the billing change

This update doesn’t apply to every advertiser. It affects only a small group of accounts that Amazon contacted directly, not all sellers. Most advertisers can keep paying the way they do today.

If Amazon has not reached out to you, your billing likely stays the same for now. Still, it helps to understand the change in case it reaches your account later. A little planning today saves stress down the road.

The safest move is to confirm your status rather than assume. Watch your email and account notifications from Amazon closely. Sellers and vendors may see slightly different details in their notices.

What Amazon Ads payment options are available now?

Affected advertisers have a few paths forward. Here are the main options on the table:

• Proceeds deduction: Amazon pulls ad costs straight from your seller or vendor balance. This is the default for affected accounts.

• Pay by Invoice: Amazon invoices you at the end of the month, and payment is due 30 days later.

• Backup card: a credit or debit card stays on file and covers costs when your balance runs short.

Each option changes your timeline for paying. That timeline sits at the heart of the cash flow question below.

How the change affects cash flow and card rewards

Under the old setup, sellers paid ad costs by card while proceeds were disbursed separately. Together, that gap created roughly a 60-day working capital buffer, which disappears for affected accounts. Losing it can strain cash flow, especially for thin-margin sellers.

Card rewards take a hit too. A seller spending $50,000 a month at 2% card rewards loses about $1,000 a month. That adds up to close to $12,000 a year. Amazon issued a one-time $2,500 promotional credit to affected accounts, but that credit runs out.

Why does the buffer matter so much? Paying by card let sellers hold their cash while proceeds landed on a separate schedule. That gap acted like short-term working capital at no extra cost. Proceeds deduction closes it, so money you counted on stays tied up in ad spend.

For context, US credit card interchange fees typically run 1.5% to 2.5%. One practical tip remains. Keep clean records of your ad spend either way, so your books stay accurate.

How to prepare before August 1

Keep earning card rewards on Amazon Ads with Melio

Melio lets you pay virtually any business bill with a credit card. This works even when the biller only takes a bank transfer or check. So you can pay an Amazon Pay by Invoice bill by card through Melio. That means you keep earning card rewards on your ad spend.

Melio charges a flat 2.9% fee on card payments. Payments arrive the same business day when you schedule them before 2 p.m. ET. Your card isn’t charged until your next statement, so you hold onto your float. Recipients don’t need a Melio account to get paid.

If Amazon moves you off card billing, this is one way to keep your rewards and breathing room. Your card still funds the payment, and the recipient gets money the way they expect. You stay in control of your timing.

You can do the same for other platforms, like paying for Meta ads with a credit card. Sign up for Melio to keep paying by card.

Amazon Ads payment methods FAQs

Here are answers to some frequently asked questions about Amazon Ads payment methods and the coming billing change.