Most people who use Rakuten take the quarterly cash back check and never think twice. If you have an American Express card that earns Membership Rewards points, that habit may be costing you. The same Rakuten purchases can earn transferable Amex points instead of cash, and for travelers those points are often worth considerably more.
This guide explains how Rakuten works, how to switch your earnings to Amex Membership Rewards points, when points beat cash, and how to stack Rakuten with your credit card for even more value.
What Is Rakuten and How Does It Work?
Rakuten, formerly known as Ebates, is a free shopping portal. Retailers pay Rakuten a commission when you shop through its links, and Rakuten shares part of that commission with you. You start at the Rakuten website, app or browser extension, click through to the store, and shop as usual. Your earnings track to your Rakuten account and are paid out on a regular quarterly schedule.
Rates vary by store and change often, with frequent boosted rates during sales events. Thousands of retailers participate, from department stores to travel booking sites.
How to Earn Amex Membership Rewards Points With Rakuten
If you have an American Express card that earns Membership Rewards points, you can switch your Rakuten account from cash back to Membership Rewards. Once you do, Rakuten shows rates as points per dollar instead of a percentage. A store offering 5% cash back, for example, earns 5 Membership Rewards points per dollar spent.
- Sign in to your Rakuten account.
- Go to your account settings and choose the option to earn Membership Rewards points.
- Link your eligible American Express account.
- Shop through Rakuten as usual. Points post to your Membership Rewards account with Rakuten’s regular payout schedule.
The switch affects all of your Rakuten earnings going forward, so you are choosing points or cash for the whole account, not store by store.
Cash Back vs. Membership Rewards: Which Is Worth More?
The answer depends on how you use Amex points. Here is the math for a $500 purchase at a store offering 5%.
| Payout option | What you earn | Approximate value |
|---|---|---|
| Cash back | $25 | $25 |
| Membership Rewards, transferred to airlines | 2,500 points | $37.50 to $50 at 1.5 to 2 cents per point |
| Membership Rewards, redeemed for statement credit | 2,500 points | Less than $25 at typical statement credit rates |
The values in the second row are estimates based on what travelers commonly achieve by transferring to airline partners for premium flights. The key point holds regardless of exact valuations: points only beat cash if you transfer them to travel partners. If you would redeem Amex points for statement credits or gift cards, take the cash.
When You Should Choose Amex Points
- You already transfer Amex points to airlines. Partners such as Air Canada Aeroplan, British Airways, Air France-KLM Flying Blue and Delta give your points real travel value. Our guide to airline alliances explains how these programs open up partner airlines.
- You are saving for a specific trip. Rakuten points can top off a balance for a premium award.
- You spend a lot online. Large purchases such as electronics, furniture or travel bookings can generate meaningful point balances quickly.
When Cash Back Is the Better Choice
- You do not have an Amex card that earns Membership Rewards points.
- You rarely transfer Amex points to travel partners.
- You need the money for expenses rather than travel.
- You plan to cancel your Membership Rewards card soon. Points in the account can be forfeited if you close your last card without using or moving them.
How to Stack Rakuten With Your Credit Card
Rakuten earnings are separate from your credit card rewards, so you earn twice on the same purchase. Pay with a card that earns well in that category, and you collect both the Rakuten rate and the card’s points or cash back. Some retailers also allow you to add a promo code or use store loyalty programs, which can add a third layer of savings.
A few rules keep your earnings tracking reliably:
- Click through Rakuten right before you buy. Leaving and coming back later can break tracking.
- Turn off ad blockers during checkout, since they can stop Rakuten from recording the purchase.
- Only use promo codes listed on Rakuten or on the store’s own site. Codes from other coupon sites can void your cash back.
- Keep your order confirmation. If earnings do not appear, Rakuten’s missing cash back form usually needs your order details.
Using Rakuten for Travel Bookings
Rakuten also pays on many hotel, car rental and travel booking sites. Before you book, check whether the booking still earns hotel points and elite credit. Third-party bookings often do not, so a direct booking with your hotel program may be worth more than the Rakuten rate. Compare both before you click. For more ways to cut travel costs, see our travel budget hacks.
Common Questions About Rakuten and Amex
These are the questions readers ask most often before switching their Rakuten payout to points.
Which Amex cards work with Rakuten? You need a card that earns Membership Rewards points, such as the Amex Gold or Platinum. Cards that earn cash back or co-branded points, such as Delta or Hilton cards, do not qualify for this option.
Do I have to pay with my Amex card to earn points? No. Rakuten earnings depend on clicking through Rakuten, not on which card you use. You can pay with any card and still earn Membership Rewards points from Rakuten, then earn your card’s rewards on top.
How long do the points take to arrive? Rakuten earnings first show as pending while the store confirms the purchase, then pay out on Rakuten’s quarterly schedule. Expect a delay of a few months between purchase and points.
Can I switch back to cash? Yes. You can change your payout preference in your Rakuten account settings, which affects future earnings.
Is Rakuten safe to use? Rakuten is a long-established, widely used portal. As with any account, use a strong password and review your tracked purchases occasionally.
Getting Started With Rakuten
Signing up is free. You can join through our Rakuten referral link, which often comes with a new member bonus after your first qualifying purchase. Check the current bonus terms on the sign-up page. Then install the browser extension so Rakuten reminds you when a store offers cash back.
If you also want to use Amex points for shopping, our guide to Amazon Shop With Points explains when that makes sense and when it does not.
This post contains a referral link. See our Advertiser Disclosure for details.
Takeaway
Rakuten pays you for shopping you already do, and if you hold an American Express card that earns Membership Rewards points, you can turn those earnings into transferable points. Choose points if you transfer them to airline partners for travel, and take cash if you would redeem Amex points for statement credits. Click through Rakuten right before you buy, pay with a card that earns well, and keep your confirmations. Small habits like these add up to free flights over a year of everyday shopping. Set up your account once, choose your payout, and let every online order work a little harder toward your next trip.
New to Rakuten? New members can currently earn a $50 bonus, or up to 5,000 Membership Rewards points. Here’s how the Rakuten sign-up bonus works.
