Target Circle Credit Card Review 2025: Is the 5% Discount Worth It?
Target Circle Credit Card Review 2025: Is the 5% Discount Worth It?
Quick Take
- 5% discount on Target purchases
- No annual fee
- $50 welcome bonus on $50+ purchase
- 2% back on dining and gas
- Free two-day shipping
Card Overview
The Target Circle™ Mastercard combines the convenience of a store card with broader payment flexibility. Its standout feature is an automatic 5% discount on Target purchases, making it attractive for frequent Target shoppers. However, the card’s value proposition extends beyond just Target spending.
Card Basics:
- Annual Fee: $0
- Required Credit Score: 690+
- Regular APR: Variable (see terms)
- Issuer: TD Bank
Key Benefits
Core Features:
- 5% discount on Target purchases
- Free two-day shipping on Target.com
- Extended returns (30 extra days)
- 5% off in-store Starbucks
- Exclusive cardholder events
Beyond the headline 5% discount, cardholders enjoy several practical benefits that enhance the Target shopping experience. The extended return window and free expedited shipping add significant value for online shoppers.
Earning & Redeeming Rewards
Earning Structure:
- 5% discount at Target and Target.com
- 2% cash back on dining and gas
- 1% cash back on all other purchases
- 5% off specialty gift cards
- 5% off same-day delivery services
“The automatic 5% discount structure eliminates the complexity of traditional rewards programs, offering immediate savings at checkout.”
– Credit Card Expert
Redemption Process
While Target purchases receive an instant 5% discount, rewards earned elsewhere require more effort to redeem:
- Minimum $10 in rewards required
- Must request redemption online or by phone
- Rewards issued as Target gift cards
- No reward expiration (unless account closes)
Welcome Bonus Details
New cardholders receive a $50 discount on a qualifying purchase of $50 or more. While this bonus has numerous exclusions (including Apple products and gift cards), it’s easily attainable with everyday Target purchases.
Bonus Requirements:
- Must be uploaded to Target app
- 30-day redemption window
- Single-use coupon
- Exclusions apply
Alternative Cards to Consider
Better Options For:
- General Spending: Citi Double Cash
- Amazon Shoppers: Prime Visa
- Flexible Rewards: Chase Freedom Flex
- Premium Benefits: Capital One Venture
While the Target Circle card excels at Target purchases, other cards may offer better overall value depending on your spending patterns. Consider your total shopping habits before committing to a store-specific card.
Final Verdict
The Target Circle card delivers solid value for Target loyalists through its automatic 5% discount and shopping benefits. However, its complicated redemption process for non-Target purchases and limited broader benefits make it less appealing as an everyday card.
Best For:
- Frequent Target shoppers
- Online Target customers
- Target grocery buyers
- Simple rewards seekers
“Consider this card if Target represents a significant portion of your monthly spending. Otherwise, a general-purpose rewards card might serve you better.”
– Financial Advisor