AWS Credit Account Explained: Best Ways to Maximize Your Free Credits

Amazon Web Services (AWS) is a leading cloud computing platform that offers a wide range of services, from computing power to storage solutions. One of the best ways to explore AWS without incurring costs is by using AWS credits. These credits act as a promotional balance that can be applied to eligible AWS services, helping startups, developers, and businesses reduce their cloud expenses.

But how do AWS credits work? And what are the best ways to maximize them? In this guide, we’ll explain everything you need to know about AWS credit accounts and provide actionable tips to get the most out of your free credits.

What Is an AWS Credit Account?

An AWS credit account is a promotional balance provided by Amazon to help users offset the costs of AWS services. These credits can be obtained through:

• AWS Activate (for startups)

• AWS Educate (for students and educators)

• AWS Promotional Credits (offered during events, partnerships, or trials)

• Enterprise Discount Programs (EDP) (for large-scale businesses)

AWS credits are not cash equivalents and cannot be refunded or transferred. They expire after a set period (usually 12 months), so users must utilize them before they lapse.

How Do AWS Credits Work?

AWS credits are applied automatically to your account when you receive them. They cover eligible AWS services, but some restrictions apply:

What AWS Credits Can Be Used For:

EC2 Instances (Compute)
S3 Storage
Lambda Functions
RDS Databases
CloudFront (CDN)
Elastic Beanstalk

What AWS Credits Cannot Be Used For:

AWS Marketplace third-party services
Reserved Instances (RIs)
AWS Support Plans
Data Transfer fees in some cases

To check your AWS credit balance:

1. Log in to the AWS Billing Dashboard.

2. Navigate to Credits.

3. View available credits and expiration dates.

Best Ways to Maximize Your AWS Free Credits

Since AWS credits expire, it’s crucial to use them strategically. Here are the best ways to maximize their value:

1. Prioritize High-Cost Services

Instead of spending credits on low-cost services, allocate them to expensive resources like:

• EC2 Instances (On-Demand or Spot)

• Amazon RDS (Managed Databases)

• AWS Elastic Kubernetes Service (EKS)

2. Use AWS Free Tier Alongside Credits

AWS offers a Free Tier with limited access to many services. Combine this with credits to extend your free usage.

3. Deploy Serverless Architectures (Lambda, API Gateway)

Serverless computing is cost-efficient because you only pay for execution time. AWS credits can cover:

• AWS Lambda (Function compute)

• API Gateway (HTTP APIs)

• DynamoDB (NoSQL database)

4. Optimize Cloud Storage with S3 & EBS

Instead of paying for long-term storage, use credits for:

• Amazon S3 (Object storage)

• EBS Volumes (Block storage for EC2)

5. Experiment with AI & Machine Learning Services

AWS offers powerful AI tools that can be expensive. Use credits to test:

• Amazon SageMaker (ML models)

• Rekognition (Image analysis)

• Lex (Chatbots)

6. Monitor Usage with AWS Cost Explorer

Track credit consumption in real-time to avoid unexpected charges. Set up billing alerts to stay within limits.

7. Avoid Non-Eligible Services

Since credits don’t cover everything, steer clear of:

• AWS Support fees

• Third-party SaaS products in AWS Marketplace

• Reserved Instances (RIs)

8. Automate Shutdowns to Prevent Waste

Use AWS Instance Scheduler to automatically stop unused EC2 instances and save credits.

9. Participate in AWS Promotions & Hackathons

AWS often runs promotions offering extra credits. Keep an eye on:

• AWS Summit Events

• Startup Competitions

• Partner Programs

10. Plan Credit Usage Before Expiry

Since credits expire in 12 months, create a usage plan to ensure you don’t lose them.

How to Get More AWS Credits

If you’ve exhausted your credits, here are ways to get more:

1. AWS Activate (For Startups)

Startups can receive up to $100,000 in AWS credits through:

• AWS Activate Founders ($1,000–$10,000)

• AWS Activate Portfolio ($10,000–$100,000)

2. AWS Educate (For Students & Educators)

Students and educators can access $75–$200 in credits for learning purposes.

3. AWS Promotional Credits

Check AWS marketing emails, events, and partner offers for additional credits.

4. Enterprise Discount Program (EDP)

Large enterprises can negotiate custom credit deals with AWS sales.

Conclusion

AWS credits are a fantastic way to explore cloud services without upfront costs. By strategically allocating them to high-value services, optimizing usage, and avoiding ineligible expenses, you can maximize their benefits.

Key Takeaways:
✔ Use credits for EC2, S3, Lambda, and RDS before they expire.
✔ Combine AWS Free Tier with credits for extended usage.
✔ Monitor spending via AWS Cost Explorer.
✔ Apply for AWS Activate, Educate, or Promotions for more credits.

By following these best practices, you can make the most of your AWS credit account and accelerate your cloud projects efficiently.

FAQs About AWS Credit Accounts

Q: Do AWS credits expire?
A: Yes, most AWS credits expire 12 months after issuance.

Q: Can I transfer AWS credits to another account?
A: No, AWS credits are non-transferable.

Q: Do AWS credits roll over if unused?
A: No, unused credits are forfeited upon expiration.