Have you ever walked into a Target to buy one item and ended up walking out with two full bags instead? You’re not alone. Target has that effect on nearly everyone who shops there, which is why many people benefit from using the Target REDcard credit card.
It can help you save a little money on your next Target run, and it comes with some other convenient benefits as well. But is this card right for you? Let’s find out.
Here’s everything you need to know about the Target REDcard.
Target REDcard overview
The Target REDcard is a card offered by Target to its customers. It comes in the form of a debit card or credit card. Like many store credit cards, this card can only be used at Target stores (including Target.com).
REDcard Features and benefits
Here’s what the card can offer you:
| Pros|| Cons|
The REDcard does have a few restrictions that you should keep in mind while shopping. You won’t get a 5% discount on the following:
Rates and fees
Now let’s take a look at the costs associated with this card.
- No annual fee
- No over limit fees
- APR will vary with the market based on the prime rate
- Late payment and returned payment fees apply
Overall, the Target REDcard does not have many fees. The main costs will come from interest charges if you carry a balance and late fees (if you pay late). The APR changes with the prime rate, so check the current rate when you are applying.
Keep in mind that REDcard has a 25-day grace period. If you pay off your balance in full by the due date each month, you won’t pay any interest.
Target offers an online platform where REDcard holders can log in and manage their card account. You will be able to review all of your transactions, enroll in credit card statements, set alerts, add additional users, and manage your pin.
When it’s time to pay, you can do so online, over the phone, or at the Guest Services counter in-store. You can also set up autopay if you prefer to have your payments processed automatically.
Target REDcard customer service
Target offers various ways to get in touch with their customer service team if you have questions or problems with your REDcard. You can send them a message online by logging into your account, send a message by mail, or call the Target REDcard phone number at 1-800-424-6888.
How to apply for the Target REDcard
To qualify for this card, applicants will need the following:
- Be at least 18 years old
- Social security number
- A government-issued ID
If you have these ready, you can head over to the website and apply online. Here’s how the process works:
Visit the REDcard product page and click “Apply now.”
Enter your basic information.
Provide your identity and income information.
Review the terms and create a pin.
And that’s it. Upon approval, you can have the REDcard in hand within a few business days.
Where can you use a Target credit card?
The Target REDcard credit card can only be used in Target stores and online when shopping at Target.com.
Is the Target REDcard a credit card?
Target offers a REDcard credit card and debit card. The credit card allows you to charge purchases and then receive a monthly bill. The debit card is linked to your checking account, so the funds in your bank account cover the purchases.
Is there an annual fee for Target credit card?
No, there is no annual fee for the card.
Should you get the Target REDcard credit card?
David Yu, Certified Financial Planner, says, “I have the Target REDcard, and I like it. It really isn’t all the much different from other store cards except that you get a 5% savings on every purchase and free shipping on most items.
The current APR is high at 23.90%, so I would not recommend maintaining a balance on it. That 5% of savings will be quickly wiped out by interest costs if you pay off your statement balance in full each month.”
He adds, “The returns are easy as well. You don’t need a receipt. Just give them the card, and they’ll process it. This applies to any card that you charged the purchase on, but knowing that you only use the REDcard for Target purchases simplifies the guessing game of trying to figure out which card you put it on.”
Another user of the card, Alexander Bekhterev, offered the following pros and cons:
1. 5% discount on everything at Target, all the time
1. Although a REDcard can be added to the Target mobile app, it is impossible to configure autopay, see your balance, or select other card-related things from the app
The final verdict?
Overall, if you are a loyal Target customer that frequents the store, this is a card you’ll want to consider adding to your wallet.
It will help you save money, offer you exclusive benefits, and extend your return period. However, with the high APR, you’ll want to make sure you pay off this card in full each month.
For those who don’t shop much at Target or want to carry a balance, another card will be more beneficial. You’ll want to find a card that offers you rewards at many locations (or another store you frequent) and has a lower interest rate.
Click here to learn more details about the Target REDcard.
If you’re highly considering applying for this card, see how it stacks up against other credit cards to ensure you’re making the right decision.