Target RedCard Credit Card Review

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The Target RedCard, issued by TD Bank, is a no-brainer for loyal shoppers of the retailer, offering a good discount on everyday shopping and some nice perks. There’s no annual fee, so even if you don’t spend a ton at Target, this card can save you money.

Target RedCard™ Credit Card

Overall Rating
2.2
Target RedCard™ Credit Card
Recommended Credit Score Our recommended ranges are based off of the FICO® Score 8 credit-scoring model. Credit score is one of the many factors lenders review in considering your application.
350 579
580 669
670 739
740 799
800 850
Good - Excellent
Regular APR (%) 22.9% variable
Annual Fee $0
Rewards Earning Rate 5% off at Target. In store. Online. Every time.
Ratings Breakdown
for Interest
1.9
for Fees
3.1
for Rewards
2.2
for Credit
2.8

Who Is This Credit Card Best For?

  • Avatar for Deal Seeker Persona
    Diligently searches for the best products and delights in a good bargain See more cards
    Deal Seeker
  • Avatar for Family Shopper Persona
    Looks for good quality at a fair price while buying for the household See more cards
    Family Shopper
  • Avatar for Trendsetter Persona
    Loves being the first to try something new See more cards
    Trendsetter
  • Avatar for Brand Loyalist Persona
    Frequently shops with a particular merchant and wants to be rewarded for their loyalty See more cards
    Brand Loyalist

You can only use the Target RedCard at Target’s stores and website, so it’s best for people who are Target regulars. 

While that makes it less appealing as an everyday card, the value it provides in discounts, free shipping, extended returns, and exclusive extras could make the card worth it for avid Target shoppers.

The RedCard is offering new cardholders $40 off a future purchase of $40 or more. The offer expires Oct. 11, 2020.

Pros
  • Generous store discount

  • Free two-day shipping on many items

  • Extended returns and other perks

Cons
  • Limited acceptance

  • No traditional rewards program

  • High ongoing APR

  • Generous store discount: You get a 5% discount on all eligible items purchased at Target stores and on Target.com. Cards from Gap-brand stores, Macy’s, and a few other retailers offer 5% back on store purchases, but few cards outside the retail realm provide ongoing 5% rewards.
  • Free two-day shipping on many items: Most Target.com shoppers need to order at least $35 worth of items to qualify for free shipping, and even then, it’ll take three to five days to arrive. With the Target RedCard, you get free standard shipping on most items and free two-day shipping on select items. 
  • Extended returns and other perks: Cardholders qualify for an extra 30 days on top of Target’s regular 90-day return period. You also get 10% off Hotels.com purchases, early access to select products and promotions, an anniversary, and more.

Cons Explained

  • Limited acceptance: The Target RedCard can only be used at Target stores and on Target.com. While this setup is relatively common for store credit cards, there are some that offer the ability to use the card elsewhere.
  • No traditional rewards program: The card provides a 5% discount on eligible Target items, but doesn’t offer rewards that you can accumulate over time and redeem for cash back or travel or merchandise. 
  • High ongoing APR: The card doesn’t offer an introductory 0% APR promotion, and has no special financing promotions like some other store cards offer. Its ongoing variable APR is on the high side, so it’s best to avoid carrying a balance.

How to Get the Most Out of This Card

The card offers its 5% discount on more items than not, but it’s important to know what’s not eligible to maximize the value of the perk. You won’t get discounts on:

  • Prescriptions
  • Over-the-counter pharmacy items
  • Eye exams
  • Gift cards and other cash-like purchases
  • Some in-store restaurant purchases
  • Alcohol purchases in Indiana 
  • Gift wrap and handling fees at Target.com
  • Wireless protection program purchases and mobile carrier deposits

Also, remember that the card’s free two-day shipping perk doesn’t apply to all online orders. If you need an order fast, check the item’s page to make sure it’s eligible for two-day shipping and order it before the cutoff time.

Customer Experience

TD Bank doesn’t offer a mobile app for the Target RedCard, so you’ll need to do all your account management online. You can, however, add your card to the Target app and use your phone to check out instead of needing to have your card on hand. 

You can pay your bill online, in-store, by phone, or through the mail. You have to make your online payment by 5 p.m. Central Time for it to post the same day, but payments you make at a Target Guest Services desk will post the same day, no matter what time you make the payment. 

If you have questions about your account, you can call customer service or use Target’s online support chat.

Security Features

Target employs fraud protection processes to monitor card activity and may contact you to verify purchases that look suspicious. However, the card does not offer zero-liability fraud protection, which is standard for many major credit cards. 

This means that if someone steals your card and uses it without your permission, you may be liable for up to $50 of the fraudulent purchases, which is the limit set by the Fair Credit Billing Act.

Target RedCard Credit Card’s Fees

The Target RedCard Credit Card has few fees and none of them are out of line with industry standards.

Next Steps
For Target RedCard™ Credit Card
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CURRENT CARD
Target RedCard™ Credit Card
overall rating
2.2
Recommended Credit Score Our recommended ranges are based off of the FICO® Score 8 credit-scoring model. Credit score is one of the many factors lenders review in considering your application.
350 579
580 669
670 739
740 799
800 850
Good - Excellent
Regular APR (%) 22.9% variable
Annual Fee $0
Rewards Earning Rate 5% off at Target. In store. Online. Every time.
Our Methodology
At The Balance, we are dedicated to giving you unbiased, comprehensive credit card reviews. To do this, we collect data on hundreds of cards and score more than 55 features that affect your finances.
  • Our Reviews Are Always Impartial: No one can influence which cards we review, the way we present them to you, or the ratings they receive. The scores and reviews come directly from the data we collect and our editorial expertise, and we focus on three areas:
  • How Much Does It Cost? With credit card debt at an all-time high, we believe you should know the cost of carrying a balance. Because of that, we give regular purchase APRs significant weight in overall scores, and cards receive low marks if they have an array of pricey fees.
  • What Are the Rewards Worth? Cards accumulate rewards in different currencies—points, miles, cash back—and their values vary widely. To simplify the problem, we built a system that fairly compares rewards and gives them a dollar value. We do this by looking at the ways you can earn and use rewards, which includes evaluating Americans’ typical spending habits and analyzing common travel patterns.
  • Does It Make Your Life Easier? Our scoring system favors cards that accept a wide range of credit profiles and offer simple solutions for things like checking your credit score or contacting customer service. Finally, we give preference to credit cards that have several tools for dealing with fraudulent charges.
  • For every review on The Balance, we hold the credit cards to these standards, and we set the bar high. While we recognize the appeal of splashy features like six-digit sign-up bonuses, our approach ensures that credit cards with the best combination of value, affordability, and accessibility receive the highest scores. See our full methodology for more details.

Article Sources

The Balance requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy .
  1. Target. "RedCard: Save 5% at Target." Accessed Oct. 1, 2020.