Target, which is also known as the Target Corporation, appears to be a large chain of discount stores. Actually, it tends to be the second-largest discounter in the United States, whereas only Walmart beats this company. With such a scale, it shouldn’t be surprising that the company also offers its own credit cards to the customers. This article will provide you with a great deal of information about the Target credit card, its advantages and drawbacks, helping you understand whether this card is right for you. Enjoy the read!
What Is Known About Target?
The Target Corporation was founded back in 1902 as Goodfellow Dry Goods, but its current name the company obtained in 1962. As of the present time, Target appears one of the largest companies in the United States overall. Its revenues almost reached $70 billion in 2016, while the profit exceeded $2.7 billion in the same year.
As of the present time, the company is present in every American State (except Vermont), while it is able to boast 1,828 locations in the United States. It is headquartered in Minneapolis, Minnesota. The company employs more than 341,000 workers. The key product lines of this discount retailer include games and toys, sporting goods, small appliances, shoes, pet supplies, lawn and garden, jewelry, housewares, furniture, food, electronics, accessories, clothing, bedding, health and beauty products.
You are able to apply for a Target credit card in every store of this chain. If you wish to locate the closest Target store around you, please make use of this page.
Types of the Target Credit Card
As of the present time, the Target Corporation offers 3 types of credit cards to its customers. Typically, those are the following types of the Target credit cards:
- Store Branded Target Credit Card. This credit card can be used only at Target.com and the stores of this corporation. The card has no annual fee, but its APR is quite high and exceeds 23%.
- Store Branded Target Debit Card. Same as the previous card, it can be accepted only at Target.com and the stores of this chain. But, unlike the Target credit card, this card will be linked to your account, and so the funds will be deducted each time you make purchases at Target.
- Target MasterCard Credit Card. Considering that this credit card from Target is connected to a larger network (MasterCard), it is accepted anywhere where the MasterCard cards are accepted – that’s pretty everywhere. The card is quite beneficial, as it has no fees on foreign transactions. Yet, you are not able to apply for this Target credit card away. You may be offered to upgrade to this card only after you have used one of the previous two cards at least for a year. The APR of this credit card is similar as the APR of the previous cards.
Basic Information About the Target Credit Card
While many of the store branded credit cards from other stores are often (and deservedly) criticized, the Target credit card tends to stand out among them (here and further we will uncover the Target MasterCard Credit Card, as these cards differ only in where they are accepted). All of the described Target cards, however, have the same cost and reward structure, and it makes them pretty valuable for Target customers.
You must keep in mind, however, that if you decide to obtain a Target credit card, you will not be able to open Amex Serve or Wal-Mart Bluebird account. Thus, you must open this card really only if you a frequenter to target. Otherwise (and especially if you frequently drop in Walmart supermarkets), we recommend you better to apply for a credit card from Walmart (you can also find a review of the Walmart credit card in this section of our website).
Among the things that attract customers to this Target credit card, there is, indeed, the annual fee of $0. It is worth noting, however, that the APR of this credit card tends to be rather on the high side, whereas it is equal to 23.90% (though, it’s common for store branded credit cards). But the rewards are ample, and that’s a good reason to apply for the Target credit card.
One of the things that worries quite many customers is how difficult is to be accepted for the Target credit card and how high one’s credit score must be. There is barely any reason to worry, as it was reported that even people with credit scores around 580 were accepted. Though, it may come with a credit limit of just $250.
Advantages of the Target Credit Card
Unlike many store branded credit cards, the Target credit card can boast quite a large number of benefits. This section of our Target credit card page is going to uncover them, and they are just one side of the coin. Below, we will also reveal what are the disadvantages of this credit card. So, the most outstanding advantages of the Target credit card are the following ones:
- 5% of cash back on purchases you make in Target stores and at Target.com. This benefit is what the Target credit card is mostly valued for, and this is among the most generous rewards on the market. The 5% discount from Target can be applied to all goods and products except of the following categories:
- Eye exams at Target Optical.
- Prescriptions, OTC drugs, and medical services at Target clinics.
- Target gift cards, prepaid cards, and all other types of cards.
- Gift wrapping, shipping, handling fees at Target.com.
- All payments and deposits from/to a Target credit card (cash advance, etc.).
- Restaurants in Target stores, such as Pret A Manager, Freshii, and D’Amico & Sons Italian Kitchen.
- Previous purchases.
- Services of the telecommunications providers.
- Any other discounts that may be prohibited by law.
- Free standard shipping within the United States. If you frequently shop at Target.com, obtaining this card may be quite beneficial for you. With a Target credit card, you will be able to qualify for a free standard shipping of products within the United States. In addition to that, this credit card also allows you to get additional 30 days to return the items you purchased (this can be applied to the majority of the products, but not all).
- This Target credit card doesn’t charge you too many fees. Unlike many other store branded credit cards, this Target credit card allows you to use it, for example, abroad without any foreign transaction fees. Additionally, you will not be charged no monthly fees and no fees when reloading cash to your Target credit card in the Target stores.
- It tends to be fairly easy to get accepted for the Target credit card. There are have been numerous reports that people with the credit score as low as 580 were accepted for this credit card. Though, you should keep in mind that, if you have that low credit score, you will either get a low credit line, or you will just get a debit card. But, one way or another, it is a fairly good chance to build a good credit history.
Drawbacks of the Target Credit Card
The Target credit card offers pretty solid advantages to its holders, but, as every store branded card, it also comes with numerous drawbacks. This section of our page explores the disadvantages of this credit card, and they are the following ones:
- Too high APR. As every store branded credit card, the Target credit card has quite a high APR: 23.90%. This makes this card barely usable for crediting, and we highly recommend you to pay your bills on time and in full.
- If you get a Target credit card, you will not be eligible for obtaining an Amex Serve or Wal–Mart Bluebird credit cards. Those two credit cards are also quite generous with rewards. But, unfortunately, you cannot apply for these credit cards as long as you have a credit card from Target.
- This card is not suitable if you want to get rewards outside the Target stores. Unfortunately, the use of this card is limited only to the Target stores. And while it may be beneficial to use it abroad due to no cash load and foreign transaction fees, the card will not help you in collecting bonuses for making purchases elsewhere.
As it typically tends to be with store branded credit cards, this card will be suitable for you only if you a frequent shopper at Target. Otherwise, this card will bring you very few benefits. Additionally, it may make you not eligible for applying for other credit cards (like from Walmart), and you would lose a lot if you are a frequenter at Walmart. But if you tend to shop at Target quite often, you will definitely benefit from the generous rewards of this credit card.
Reviews of other credit cards can be found here.