Review of the Target REDcard™ Credit Card and Target REDcard™ Debit Card

Brendan Harkness

Brendan Harkness | Reviews

Jun 07, 2016 | Updated Mar 13, 2018

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This is a review of the two reward cards offered by Target: the Target REDcard Credit Card and the Target REDcard Debit Card.

The first is a regular credit card, which you can use to make purchases that you’ll pay for later on. The second is a debit card which connects to your checking account, and purchases are paid for by withdrawing directly from your account (just like a check).

Both of these cards are pretty similar, offering 5% off purchases at Target and some other benefits. The only real difference is that one is a credit card while the other is a debit card.

These cards are meant for people who spend a lot of money at Target, so if that sounds like you it’d be a good idea to consider using one of these cards. Keep reading to learn more about them, and find out if one is right for you!

Target REDcard™ Credit Card
Apply Now

Target REDcard™ Credit Card

For People with
Fair Credit

  • Annual Fee: $0
  • Interest Rate: 23.15% *Variable
Quick Card Facts
  • 5% off Target purchases
  • Free shipping at Target.com
  • 30 extra days for returns
  • No annual fee
Target REDcard™ Debit Card
Apply Now

Target REDcard™ Debit Card

For People with
No Credit

  • Annual Fee: $0
  • Interest Rate: N/A
Quick Card Facts
  • 5% off at Target and Target.com
  • Free standard shipping from Target.com
  • 30 extra days to make returns
  • No annual fee

Where Can I Use These Cards?

You can only use these cards at Target and Target.com.

The REDcard Credit Card acts just like any other credit card – you make purchases with it, and then pay it off later. The debit card, on the other hand, will draw money directly from your checking account to pay for purchases.

The Rewards

This the same for each card. It’s pretty simple and straightforward:

  • 5% off at Target and Target.com

Take note that this discount will not apply to prescriptions, eye exams, gift cards, prepaid cards, gift wrap services, and shipping costs.

The Benefits

You’ll get the same set of extra benefits with each card. Take a look, and ask yourself if you’d make use of the following features.

Perks

  • Extra Savings

    Combine your REDcard savings with Cartwheel, Target Subscriptions, and coupons.

  • Free Standard Shipping

    On your Target.com purchases.

  • Extended Returns Program

    You get 30 additional days to return purchases beyond the standard return policy.

Security

  • Fraud Protection

    You will not be held responsible for unauthorized use of your card if you contact the card issuer immediately.

The Costs & Fees

Card Annual Fee Purchase APR Balance Transfer APR Cash Advance APR Foreign Transaction Fee
REDcard Credit Card $0 23.15% *Variable N/A N/A
REDcard Debit Card $0 N/A  N/A N/A
Card Penalty APR Late Fee Returned Payment Fee
REDcard Credit Card See Terms Up to $37 Up to $27
REDcard Debit Card N/A N/A Up to $40

This category shows the real differences between these cards.

As you can see, the credit card is pretty limited – you’ll be able to make purchases at Target and Target.com, but that’s it. You can’t use it for a balance transfer, or for cash advances.

The debit card only has two categories to consider: the annual fee (which is $0) and the returned payment fee, which can happen if your checking account doesn’t have enough funds to cover a purchase.

The Bottom Line: 4 Out Of 5 Stars

If you’re always shopping at Target, the Target REDcard Credit Card and Target REDcard Debit Card could save you quite a bit of money at the end of the day.

These cards are pretty easy to understand. Since there’s no annual fee, there are only three main features to think about:

  • 5% off at Target and Target.com
  • Free standard shipping at Target.com
  • Extra 30 days on returns

Do these sound great to you? Would they make your life a bit easier, and save you some cash over time?

If so, next ask yourself if you’d rather have the credit card or the debit card. The credit card will let you pay over time, but you’ll get hit with the very high APR if you revolve your balance from month to month. But, if you pay off your full balance on time every month, you won’t have to worry about the APR.

The credit card will also affect your credit, so keep that in mind. This means that it can help you improve your credit score, when you use it responsibly, but it also means that it can hurt your credit if you use it irresponsibly.

The debit card won’t affect your credit at all, for good or for ill. So if you’d rather not worry about paying off another credit card, you can go with the debit card and have the money taken directly from your checking account.

We gave these cards 4 out of 5 Stars because if you want a card to save money at Target, these are the most rewarding ones you’ll find. They don’t offer a ton of features, but the 5% off is pretty significant. If you do a lot of online shopping, you can save quite a bit of money with the free standard shipping. The APR on the credit card is pretty high, but if you pay off your balance in full each month you won’t need to worry about it. And there’s no annual fee, so these cards should be free to use as long as you’re responsible with them.

Do you use either of these cards? How do you like it? Click here to leave your own review of the Target REDcard Credit Card, or Click Here to leave a review of the Target REDcard Debit Card, we’d love to hear from you!

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