Credit Cards » Credit Card Reviews » Target Red Card Review 2023 – Is It The Best Shopping Card?
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Target Red Card Review 2023 – Is It The Best Shopping Card?

The Target Red card is great for anybody who shops at Target or at Target.com, both loyal customers and occasional shoppers. The 5% discount on all purchases cannot be matched by even some of the best cashback credit cards available.
Author: Lorraine Smithills
Lorraine Smithills

Writer, Contributor

Experience

Lorraine is a freelance finance writer with years of experience in the banking sector and after a successful career in one of the largest retail and commercial financial services providers. She has a passion for helping people with less financial confidence to get control of their money through budgeting, saving, and responsible credit practices.
Interest Rates Last Update: September 20, 2023
The banking product interest rates, including savings, CDs, and money market, are accurate as of this date.
Author: Lorraine Smithills
Lorraine Smithills

Writer, Contributor

Experience

Lorraine is a freelance finance writer with years of experience in the banking sector and after a successful career in one of the largest retail and commercial financial services providers. She has a passion for helping people with less financial confidence to get control of their money through budgeting, saving, and responsible credit practices.
Interest Rates Last Update: November 1, 2023

The banking product interest rates, including savings, CDs, and money market, are accurate as of this date.

We earn a commission from our partner links on this page. It doesn't affect the integrity of our unbiased, independent editorial staff. Transparency is a core value for us, read our advertiser disclosure and how we make money.

In This Review..

Target Red Card is a store credit card issued by the large retailer Target, one of the largest discount retailers in the US, with many different brick and mortar stores as well as a strong online presence.

The Target card has many perks and rewards for cardholders but the biggest is that customers get 5% off at Target and target.com, 2% on dining and gas purchases and 1% everywhere else outside of Target, no limits. Target Red card can be used online for purchases and when it is used, cardholders get 2 day free shipping.

The card doesn't have an annual fee, and can be great for average credit (around a 615 credit score) who want to use it to build or rebuild their credit. In addition, Cardholders get an extra 30 days for returns with the Target Red card. The card can only be used at Target stores but after a few years of use, Target will upgrade some cardholders to a Mastercard that can be used anywhere.

However, there are almost no perks for using the card outside of Target and the ongoing APR is very high, 22.90% (Variable). 

Target RedCard™ Credit Card

target red card

Rewards Plan

5% 5% off at Target and target.com, 2% on dining and gas purchases and 1% everywhere else outside of Target

Sign up Bonus

None None

0% Intro

None

PROS

CONS

APR

22.90% (Variable)

Annual Fee

$0

Balance Transfer Fee

Unknown

Credit Requirements

Avergae – Good

Card & Issuer Reputation

  • 3.8/5  on J.D. Power U.S. Credit Card Satisfaction Study 2020

Benefits

Let’s take a look at the benefits of the Target Red card and see if it’s the right one for your wallet or not.

You do not have to meet a spending threshold in order to offset an annual fee.

Cardholders of the Target Red card enjoy a 5% off at Target and target.com, 2% on dining and gas purchases and 1% everywhere else outside of Target.

Target Red card can be used online for purchases and when it is used, cardholders get 2 day free shipping. 

Usually to get free shipping from Target customers need to purchase over $35 in merchandise. There are some restrictions so make sure to read item details before making an online purchase.

The Target Red card has no limits with regard to getting 5% off.

Many cards in the market have spending caps on the rewards they can earn, but the Red card does not. 

Cardholders get an extra 30 days for returns with the Target Red card. That means customers have up to 120 days to return items they do not like, need, or that were defective.

Target Red cardholders get access to special offers ranging from increased discounts and early access to Black Friday deals to exclusive products and discounts on outside vendors like Hotels.com.

Also, the high cashback rate perk can be used with sales, coupons, and clearance items, give you the option to save even more on the discounted purchases. 

Many Targets have a Starbucks in the store and the Target Red card can also be used at Starbucks, meaning customers can enjoy 5% off their coffee.

Drawbacks

Here are the most important cons you should consider before applying:

The APR for the Target Red card is a 22.90% (Variable).

These rates are high but many can qualify with ok credit. Most store cards have very high APRs. 

Many credit cards, including store cards, offer some kind of sign-up bonus. This is the extra perk that many need as motivation to get the card. 

Currently, the Target Red card does not offer a sign-up bonus.

The Target Red card does not offer an introductory rate unlike many cards on the market. It you need or are looking for an introductory rate, you will have to look at other offerings.

How To Apply For Target Red Credit Card?

Visit the Target red card homepage.

Next, fill the “Identity Protection Guide,” which includes your names, primary phone, and email address.

On the next page, fill in your security information such as your date of birth, SSN, and your ID, then click “Continue.”

Next, fill in your address as well as your financial information.

Finally, review your application and submit it.

Is the Target Red Card Right for You?

The Target Red card is great for anybody who shops at Target or at Target.com, both loyal customers and occasional shoppers. The 5% off at Target and target.com, 2% on dining and gas purchases and 1% everywhere else outside of Target cannot be matched by even some of the best cashback credit cards available. Shoppers do not have to wait months or build up points or amounts to use the high cashback. 

 Those who are loyal Target customers will find even more perks with free shipping and exclusive offers. Customers who may not have stellar credit may still be able to get a Target Red card and benefit from the perks. They can even use the card to help rebuild their credit history.

Customers will get the same perks as with the Red card but it will be connected to your checking account. However, with the debit card you will not be building your credit. If you do not shop at Target or shop very infrequently there, this may not be the card for you.

Compare The Alternatives

If you're looking for a store credit card – the Target Red card is definitely a good option, but there are some good alternatives:

Citi-costco-anywhere-visa-credit-card review

best buy credit card

Sam's Club® Mastercard®

Costco Anywhere Visa® Card by Citi
Best Buy Visa Card
Sam's Club® Mastercard®
Annual Fee
$0 ($60 Costco membership fee required)
$0
$0 ($50/$110 for Club/Plus membership – MUST)
Rewards
1-4% 4% cash back on on eligible gas and EV charging purchases for the first $7,000 per year and then 1% thereafter, 3% cash back on restaurants and most travel purchases, 2% cash back at Costco and Costco.com, 1% cash back on all other purchases
1-5% 5% back in rewards on shopping at BestBuy, 3% back in rewards on gas purchases, 2% back in rewards on dining, takeout and grocery purchases, 1% back in rewards on everyday purchases
1-5% 5% cash back on gas anywhere Mastercard is accepted (on the first $6,000 per year, then 1% after), 3% cash back on Sam’s Club purchases for Plus members, 3% on dining and takeout and 1% on all other purchases
Welcome bonus
None None
10% first day 10% back in rewards on your first day of purchase
$50 $50 statement credit when you open a new account and make $50 in Sam's Club purchases within 30 days
Foreign Transaction Fee
$0
N/A
N/A
Purchase APR
20.49% (Variable)
29.24% Variable
19.90% or 27.90% Variable

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Lorraine Smithills

Lorraine Smithills

Lorraine is a freelance finance writer with years of experience in the banking sector and after a successful career in one of the largest retail and commercial financial services providers. She has a passion for helping people with less financial confidence to get control of their money through budgeting, saving, and responsible credit practices.
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Rewards Plan:
1-6% 6% cash back at U.S. supermarkets (up to $6,000 per year in purchases, then 1%) and selected U.S. streaming subscriptions, 3% cash back on transit and U.S. gas stations, 1% cash back on other purchases
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Rewards Plan:
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Rewards Plan:
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Welcome Bonus: $300 $300 cash bonus once you spend $3,000 on purchases within 3 months from account opening

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The product offers that appear on this site are from companies from which this website receives compensation. 

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Editorial Note: Opinions expressed here are author’s alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.

Credit Card Reviews Methodology

In order to determine the best possible credit cards, we look at things like fees, interest rates and rewards. We do this with companies that are associated with us as partners as well as other offerings. From there, we make a decision about what the best card is related to different categories and needs. We focus on interest rate cost & fees, especially the cost of carrying a balance, rewards – cards accumulate rewards in different currencies—points, miles, cash back—and their values vary widely usability – cards that accept a wide range of credit profiles and offer simple solutions for things like checking your credit score or contacting. We also consider customer reviews.

We look at cards related to good or excellent credit ratings that will then provide a range of different benefits and improvements for someone who has these scores. We also look at low fees when it comes to those who have lower credit scores.