User Rating: Excellent
Web Site Experience:
Pros:Can opt for credit or debit card--both earn great rewards.
Cons:Can't shop on Target's mobile website with red card.
The Bottom Line: As far as store credit cards go, Target leaves its competition in the dust. This card is a must for Target shoppers.
Target--the slightly upscale competitor of Wal-Mart--leaves the everyday low price giant in the dust when it comes to credit cards.
Recommend this product?
Wal-Mart’s Discover Card offers “up to 1%” cash back on purchases--Wal-Mart’s store credit card offers no rebates at all (except 5 cents a gallon on gas--given today’s prices, not even 2%.)
Target’s Red Card offers more benefits than any credit card I’ve seen:
- 5% discounts on all Target purchases with no annual maximums. The 5% comes off the price immediately.
- free shipping on all Target.com purchases, with no minimum purchase requirement.
- 1% of all purchases can be donated to the card holder’s favorite K-12 school--public, private or parochial. This is in addition to the 5% discount you receive.
- If you use your Red Card to buy prescription drugs at the Target pharmacy, you receive a coupon good for a day of shopping at Target with a 5% discount with every fifth prescription you uy (giving you 10% in discounts if you shop with your Target Red Card.
- Your red card can be used as a debit card and linked to your existing checking account. If you choose to apply for the debit card option, you can get $40 cash back at any Target store. If you choose the debit card option, your purchases will be deducted immediately from your checking account, no matter how large those purchases may be.
Your Red Card Can Also Be a Credit Card
I have not linked my card to my bank account, and so it is in effect a credit card. My interest rate is 17.25% annually--but I haven’t carried a balance yet. There is no annual fee. Fees for late payments are up to $35.
How to Apply
I applied in the store when my sister was in the process of moving here. She asked me to get a TV she had seen on sale at Target. I hadn’t gotten the Red Card yet because I had never made a big purchase there, but when she asked me to make a $500 purchase, it seemed prudent to get the card.
There seemed to be little or no paperwork--I showed a major credit card, they checked my credit, and gave me a credit limit that I am sure I will never need.
They printed out a receipt for me that could be used as a temporary credit card until I received the plastic card in the mail.
The website is user-friendly. You can sign up for auto-pay or make electronic payments--scheduling them in advance or paying them immediately. I have signed up for alerts if a payment is imminently due, or if a large purchase posts to my account. I get my bills through the mail, but I’m also able to access them on the website.
You can’t use your Target Red Card to make purchases on Target’s mobile website. It hasn’t affected me personally, and I think it is a minor inconvenience, considering that you can shop online on a laptop or desktop PC.
So Make Your Choice--Red Card Credit or Debit
If you choose debit, you never need worry about missed payments. And if you buy that $500 TV (like I did for my sister) you can use your Mastercard or Visa to buy it if you don’t have enough money in your checking account.
If you choose credit, and pay for your Target purchases as they come due (my choice) there is nothing but benefit to holding the red card. You save 5% on everything everyday. You get the emotional satisfaction of helping a deserving school in your area--perhaps your own child’s school. You get free shipping every day. You get extra discounts if you buy your prescriptions there.
I love my red card.
Tar-zhay has earned its nickname. The red card is--in one word--classy.
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