Target RedCard credit card review: A bullseye for Target shoppers

10.05.2024 - 14:37 / thepointsguy.com

The Target REDcard is a solid earner, featuring a 5% discount on Target and Target.com purchases, 2% back on dining and gas station purchases and 1% back on everything else. It is a strong contender for those who spend big at Target — but not elsewhere. Card rating*: ⭐⭐½

With everything from clothes and electronics to diapers and groceries, shopping at Target is as close to one-stop shopping as possible. If you spend much of your budget here, you can benefit from the savings and benefits the Target REDcard credit card offers.

The card has no annual fee and a recommended credit score of 670. Note that there is also a debit card version of this product.

Let's break down the RedCard's perks and earning structure to help you decide if it's a good fit for you.

The information for the Target RedCard credit card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.

This card doesn't have an annual fee, but it doesn't offer a sign-up bonus either.

Still, many will find that the card's simple earning and redemption structure is valuable enough to forego a bonus.

As a cardholder, you'll get free two-day shipping on online Target orders without the usual $35 order minimum, an additional 30 days for Target returns and exchanges, and access to RedCard exclusive special offers and items.

This card also has no foreign transaction fee, which is unusual for a no-annual-fee, cash-back card.

The REDcard's earning structure is different from most reward cards.

Instead of earning points or cash-back rewards at Target, this card's most valuable benefit is a 5% savings on most in-store and online Target purchases (exceptions apply, such as prescriptions and gift cards). This also includes purchases at in-store Starbucks locations as well as specialty gift cards for travel, restaurants and movie tickets, among other things. This structure is especially great for anyone who doesn't want to keep up with earning rewards since these savings are automatic.

Apart from Target purchases, you'll earn 2% back on dining and gas purchases and 1% on all other purchases. So, you'll earn rewards everywhere you spend.

You'll get a 5% automatic discount on most purchases when shopping in-store or online with Target.

However, when spending elsewhere, it's more complicated. Once you reach at least $10 in savings, you need to go online or call to request an electronic or physical gift card to use at Target. This is a more complicated process than most other cash-back cards, which offer statement credits as the easiest method to redeem rewards.

If you don't spend the majority of your budget at Target (who does?), there are more valuable cards out there:

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