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This question was asked a year ago, which didn't receive much feedback. Oddly, there seems to me almost no feedback elsewhere on the web either. The application reserves the right to check the CRAs.

They've long offered a 5% discount on purchases (or portions of a purchase) paid for with the "red card" (debit or credit). And just recently, target launched a promotion that offers free shipping at target.com. It's been reported that you don't even need to use the red card to get free shipping--it just needs to be linked to your target.com account. Assuming this is true, I think the debit card is worth getting for target shoppers who aren't interested in a target credit line.

Of course it's very possible that different applicants will receive different treatment WRT to inquiries, and that Target's practicies have changed over time. Given that, I'd appreciate getting data points from FW members on this debit card product and the inquiries they received. TIA.

Edit 11/20/11 I applied for the card in store on Saturday. Very impressive experience: they took my DL and SS #s, voided a check, and spit out a receipt with a temporary card number very shortly after. I was able to use the card on a test purchase in the store that same day. And sure enough, no credit inquries show as of this morning. The only problem is that the receipt obscures all but the last four digits. It seems that as a result, you can't link your target.com account to the redcard until the permanent card arrives in the mail. Will keep the thread posted on this, and would appreciate any info on workarounds that you might have discovered.

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unarmdragon , that could mean there's a problem with something like your address verification, or that you have a deroga... (more)

DaveHanson (Feb. 15, 2012 @ 6:08p) |

oh ok. thanks. was worried since i really don't want a credit report inquiry since i need it for a loan soon.

unarmdragon (Feb. 16, 2012 @ 2:15a) |

It really is great how people are worried about a credit report inquiry here (which Target could care less about). We k... (more)

rasheedb (Feb. 16, 2012 @ 3:32p) |

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Thanks Dave. I did not know there was a debit card option and this will be great for an easy 5% everytime I shop there.

When I opened debit card with them last year, they did not check my credit history.

Thanks for the data point stuffedwallet. Anyone else?

Glad this was helpful money2011.

I did the credit, just bc I dont use any debit cards. I do know that I had a cc from them previously and if you dont use it like with in 6mo they close it.

I signed up for the debit card a while back... no hard credit pull.

I just got debit Red Card a week or two ago (went to the store with Mrs. Simcode ). No inquiries on my credit report. Here's how it went down.

I went to a register at a store and ask the person working to set me up. He turned off his "open lane" light and asked for a check and an ID. He ran the check through the register and had me fill out my SS#, a PIN number, signature and agree to terms on the little terminal they have (where you scan your credit card).

Then, they automatically put that day's purchase on my new Red Card (he did not ask if this was okay, if you don't want them to pull money of your checking account right away then you should probably avoid a purchase transaction when you sign up).

He printed out a receipt-like paper with a bar code on it that can be used at Target stores as a temporary card until the real one applies. I checked my credit reports a few days later and did not notice a soft or hard inquiry.

I did not want the Target Visa since we have enough credit cards already.

Thanks everyone, and great details Simcode. Looks like no hard credit pull, and a great way for target shoppers to increase their options. If anyone has a conflicting experience or more info, by all means please post.

I applied for the AMEX cash preferred card. A $75 annual fee and I buy all gift cards from the grocery store incl Target and get a 6% CashBack.

Is the debit card purchase treated like an ACH transaction and takes a few days to post or is it instantaneous? Could be great for gaining a few extra days of interest.

It looks like its an ACH transaction, it takes a business day or two to post.

I was told that the people who do the check verfication (and go after the bad check writers for bad checks) have a database of bad check writers, so that if you bounce a check they could decline you for a Red Card.

OldOneEye, you're likely referring to ChexSystems. That would make sense as an appropriate bureau for Target to check for this product.

Great question Dave. I'm now seriously considering getting this debit card. I hadn't been considering the Target credit card, because with the amount I spend at Target, I couldn't justify the credit hit for the 5%. If I can get the 5% without a credit hit (and it sounds like that's the case), this would be great.

Since many of my purchases at Target are small (<$10), I find myself using a debit card on one of my rewards checking accounts to burn through my 42 monthly required debit card purchases. Does anyone know if you attach this to a RCA, does a Target purchase through the Target debit card hit the checking account as a purchase or as something else (like an ACH)?

Chris.

I know that this is not entirely relevant to this thread...

I got the REDcard (credit) last year. The hard pull only appeared on Equifax, FWIW. The line is indeed reported on all three reports, and they do regular account reviews against all three, but the application's hard pull only hit the one agency.

I fail to fully understand the mindset about "taking the hit" on one's CR. If you need/want credit, get it. It's not like they're sawing off your arm or something. In my experience, if you have good credit, an inquiry is inconsequential in the larger scheme of things...

That said, it seems that the debit card (and it's application process) is indeed credit report review free...

NorthStar2020 said:   I applied for the AMEX cash preferred card. A $75 annual fee and I buy all gift cards from the grocery store incl Target and get a 6% CashBack.

I havent seen any target gift cards at any grocery store that i have visited in NY, NJ area. What grocery stores sell target gift cards. I thought these could only be purchased at target ? Any inputs from FWF community appreciated

simcode said:   I just got debit Red Card a week or two ago (went to the store with Mrs. Simcode ).


HotSalami said:   I know that this is not entirely relevant to this thread...

I got the REDcard (credit) last year. The hard pull only appeared on Equifax, FWIW. The line is indeed reported on all three reports, and they do regular account reviews against all three, but the application's hard pull only hit the one agency.

I fail to fully understand the mindset about "taking the hit" on one's CR. If you need/want credit, get it. It's not like they're sawing off your arm or something. In my experience, if you have good credit, an inquiry is inconsequential in the larger scheme of things...

That said, it seems that the debit card (and it's application process) is indeed credit report review free...


Yes, each incremental credit inquiry is only a minor ding on your credit. But when you have 15 credit inquiries in the last 12 months, it starts to take a toll, and creditors start to take notice, even with otherwise perfect credit. I've been there, and I could easily be there again if I'm not careful. I'm hoping 30 year mortgage rates will dip back down to 4% or below (on a no-fee, 0 point refi), and I want my credit score as good as it can be when I decide to pull the trigger on that.

It's really not a matter of whether I need/want credit. I've got signature credit of over $500,000 right now, which is many times my annual salary. I'm looking at maximizing the $$$ I can get back from cards, both in terms of signup bonuses and, to a lesser extent, in terms of improving my portfolio of CashBack on purchases. There are literally dozens of cards I could apply for right now that would net me $100, $200, even $500 or more in value in the first year. But if I applied for all of them, I'd be back up to the 15 inquiries, with the associated strain on my credit report. So I'm pretty selective on which cards I apply for. The Target credit card provides 5% back on Target purchases. Let's say I make $100 per month in Target purchases (which is probably high). At 5% CashBack, that's only $60 per year. And if I used another card, I'd be getting some CashBack (right now 2.5%), so that brings the benefit of getting a Target card down to $30 per year. That's just not worth burning an inquiry on, not when I can get a different card that can net me $100+ Cash Back.

Chris.

money2011 said:   Is the debit card purchase treated like an ACH transaction and takes a few days to post or is it instantaneous? Could be great for gaining a few extra days of interest.

yes, its an ACH transaction - which is useful in meeting requirements on my reward checking account.

DaveHanson said:   They've long offered a 5% discount on purchases (or portions of a purchase) paid for with the "red card" (debit or credit). And just recently, target launched a promotion that offers free shipping at target.com. It's been reported that you don't even need to use the red card to get free shipping--it just needs to be linked to your target.com account. Assuming this is true, I think the debit card is worth getting for target shoppers who aren't interested in a target credit line.

I don't know if I would say "long offered". The Red Card 5% off has been in place since right around October 17, 2010. So just over a year. The free shipping is a nice add. Good to know you just need to have the Red Card linked to your Target.com account. AAA has a 10% off for Target.com purchases if you are a AAA member.

money2011 said:   Is the debit card purchase treated like an ACH transaction and takes a few days to post or is it instantaneous? Could be great for gaining a few extra days of interest.

YMMV, but in my case it comes through as an ACH and took two days to post to my bank (a local bank). Transaction at Target was on 11/2 and it posted on 11/4.

It posted as: "TARGET DEBIT CRD ACH TRAN TARGET ..." with a transaction type of "Direct Debit."

NorthStar2020 said:   I applied for the AMEX cash preferred card. A $75 annual fee and I buy all gift cards from the grocery store incl Target and get a 6% CashBack.

That would work but is it worth the extra 1% to keep buying gift cards to shop at Target? You would always need to have gift cards worth more than what you are going to spend. Assuming you purchase there frequently. If you are an infrequent purchaser this would make sense.

cpaynter said:   HotSalami said:   I know that this is not entirely relevant to this thread...

I got the REDcard (credit) last year. The hard pull only appeared on Equifax, FWIW. The line is indeed reported on all three reports, and they do regular account reviews against all three, but the application's hard pull only hit the one agency.

I fail to fully understand the mindset about "taking the hit" on one's CR. If you need/want credit, get it. It's not like they're sawing off your arm or something. In my experience, if you have good credit, an inquiry is inconsequential in the larger scheme of things...

That said, it seems that the debit card (and it's application process) is indeed credit report review free...


Yes, each incremental credit inquiry is only a minor ding on your credit. But when you have 15 credit inquiries in the last 12 months, it starts to take a toll, and creditors start to take notice, even with otherwise perfect credit. I've been there, and I could easily be there again if I'm not careful. I'm hoping 30 year mortgage rates will dip back down to 4% or below (on a no-fee, 0 point refi), and I want my credit score as good as it can be when I decide to pull the trigger on that.

It's really not a matter of whether I need/want credit. I've got signature credit of over $500,000 right now, which is many times my annual salary. I'm looking at maximizing the $$$ I can get back from cards, both in terms of signup bonuses and, to a lesser extent, in terms of improving my portfolio of CashBack on purchases. There are literally dozens of cards I could apply for right now that would net me $100, $200, even $500 or more in value in the first year. But if I applied for all of them, I'd be back up to the 15 inquiries, with the associated strain on my credit report. So I'm pretty selective on which cards I apply for. The Target credit card provides 5% back on Target purchases. Let's say I make $100 per month in Target purchases (which is probably high). At 5% CashBack, that's only $60 per year. And if I used another card, I'd be getting some CashBack (right now 2.5%), so that brings the benefit of getting a Target card down to $30 per year. That's just not worth burning an inquiry on, not when I can get a different card that can net me $100+ Cash Back.

Chris.


I made a similar calculation. The Target credit card (which is a Visa that you can use anywhere, but you only get Cash Back at Target) is not worth it on my credit report when so many other better offers are available. Also, from what I've read they usually give very low limits and are stingy with increases.

simcode said:   I made a similar calculation. The Target credit card (which is a Visa that you can use anywhere, but you only get Cash Back at Target) is not worth it on my credit report when so many other better offers are available. Also, from what I've read they usually give very low limits and are stingy with increases.

They no longer offer the VISA Target card AFAIK just their own.

mathfaster said:   simcode said:   I made a similar calculation. The Target credit card (which is a Visa that you can use anywhere, but you only get Cash Back at Target) is not worth it on my credit report when so many other better offers are available. Also, from what I've read they usually give very low limits and are stingy with increases.

They no longer offer the VISA Target card AFAIK just their own.


--- See below --

simcode said:   mathfaster said:   simcode said:   I made a similar calculation. The Target credit card (which is a Visa that you can use anywhere, but you only get Cash Back at Target) is not worth it on my credit report when so many other better offers are available. Also, from what I've read they usually give very low limits and are stingy with increases.

They no longer offer the VISA Target card AFAIK just their own.


From their website:
https://redcard.target.com/redcard/content/rcw_benefits_tgt_rewa...

"Additional Target Visa Credit Card Features

With a Target Visa Credit Card you can make purchases anywhere Visa Credit Cards are accepted. It also helps you take charge of your bills. Target has partnered with Billeo to offer you an easy way to pay phone bills, cable/satellite, utilities and more. "

I don't think they have just a store card, it's the Visa or the debit card AFAIK.


They used to offer the VISA card. If you have the Target VISA you still get the 5% back but you cannot apply for one any longer. https://redcard.target.com/redcard/content/rcw_tck_application Now it is the debit card or their own credit card not VISA. I have their store credit card which is not VISA.

mathfaster said:    The free shipping is a nice add. Good to know you just need to have the Red Card linked to your Target.com account. .

can someone who has this, confirm??

Can you also do this with their store credit card which is not VISA.


I paid over $15 shipping for a MC OO promo.

vickh said:   mathfaster said:    The free shipping is a nice add. Good to know you just need to have the Red Card linked to your Target.com account. .

can someone who has this, confirm??

Can you also do this with their store credit card which is not VISA.


I paid over $15 shipping for a MC OO promo.


Yes, would be nice if confirmed. I got this today from Target:

"When you use your Target Debit Card™, Target Credit Card® or Target® Visa® Credit Card (each, a "REDcard®") on Target.com, you will receive free shipping on all your Target.com purchases (Target Debit Card cannot be used on the mobile Target.com website). Offer applies on standard shipping to all 50 states, as well as APO/FPO addresses and Puerto Rico. If you upgrade your shipping method, shipping fees will apply. This offer is not valid on previous orders, or where otherwise prohibited by law. Target reserves the right to discontinue or alter the terms of this program at any time".

I have the Target debit card, they did not pull my credit and the 5% off is applied at the end when you swipe your card.

I just received my REDcard (yes, with the weird capitalization) today and signed up for the online service. Some other things that I found are:

1) You get a 5 percent discount online and at stores (but not on Target's mobile website). It clearly states that you get free "standard" shipping with your REDcard.

2) You can also sign up so that Target donates one percent of your purchases (apparently in addition to your 5 percent?) to a school of your choosing. They send a check to the principal. If nothing else I figure this might help with property taxes.

3) The discount does not apply to prescriptions, gift cards, or the vision center. However after you fill five prescriptions they will mail you an additional 5 percent coupon that you can use for normal merchandise.

My wife and I chose to get this card so that we can do some of our Christmas shopping at Target this year. For some of the things we're looking at the five percent makes it the lowest available price.

HotSalami said:   I know that this is not entirely relevant to this thread...

I got the REDcard (credit) last year. The hard pull only appeared on Equifax, FWIW. The line is indeed reported on all three reports, and they do regular account reviews against all three, but the application's hard pull only hit the one agency.

I fail to fully understand the mindset about "taking the hit" on one's CR. If you need/want credit, get it. It's not like they're sawing off your arm or something. In my experience, if you have good credit, an inquiry is inconsequential in the larger scheme of things...

That said, it seems that the debit card (and it's application process) is indeed credit report review free...

It's not so much the inquiry that hurts you the most but rather the hit to your AAoA (average age of accounts).

The fact that the discount is the same via their credit card or their debit card, as well as the fact that their CC limits are typically low, makes the debit card the better choice IMO. I am usually anti debit card because of the lack of rewards, the lack of protections, as well as lack of perks like warranty extension, but how often would you ever need such protections with items you buy at target?

triger716 said:   HotSalami said:   I know that this is not entirely relevant to this thread...

I got the REDcard (credit) last year. The hard pull only appeared on Equifax, FWIW. The line is indeed reported on all three reports, and they do regular account reviews against all three, but the application's hard pull only hit the one agency.

I fail to fully understand the mindset about "taking the hit" on one's CR. If you need/want credit, get it. It's not like they're sawing off your arm or something. In my experience, if you have good credit, an inquiry is inconsequential in the larger scheme of things...

That said, it seems that the debit card (and it's application process) is indeed credit report review free...

It's not so much the inquiry that hurts you the most but rather the hit to your AAoA (average age of accounts).

The fact that the discount is the same via their credit card or their debit card, as well as the fact that their CC limits are typically low, makes the debit card the better choice IMO. I am usually anti debit card because of the lack of rewards, the lack of protections, as well as lack of perks like warranty extension, but how often would you ever need such protections with items you buy at target?


Yeah, I forgot average age. Yeah, that stings, too. But for me, I have 30 open accounts, with an average age of three years. One more card is only going to drop my average age of open accounts maybe from 36 months to 35 months. I think the inquiry hurts more.

Chris.

OP updated to reflect another data point: no credit pull and very little hassle getting the card in-store on 11/19/11.

My problem is that when I tried to shop target.com today, I couldn't apply the card because the complete card number isn't on the receipt that the customer service manager told me would contain it...only the last four digits. Would appreciate any information othes have on a reliable way to get this without waiting on snail mail. TIA.

DaveHanson said:   OP updated to reflect another data point: no credit pull and very little hassle getting the card in-store on 11/19/11.

My problem is that when I tried to shop target.com today, I couldn't apply the card because the complete card number isn't on the receipt that the customer service manager told me would contain it...only the last four digits. Would appreciate any information othes have on a reliable way to get this without waiting on snail mail. TIA.


AFAIK the number is not on the receipt. I tried to decipher it based on the bar code on the receipt, but it was not the account number. I did not try calling in and getting it, you might give that a try. The number on the back of my card is 888-729-7331.

My card arrived rather quickly (5 days).

Thanks simcode. Before updating the OP, I tried quick calls to the number you posted (which was on my receipt), target.com, and the target store I signed up at. Alas, no one was able (willing?) to disclose the information, even after I was fully ID'd.

Dave, when I signed up (mind you I did credit then - before this thread) not only did I have a receipt, but there was a small card that had my account number on it. That's what I used in the store the first few days. Guess you were not provided this.

This is great! I ask them every once in a while if there is still a credit pull.

this might be a stupid question, but is the redcard debit account forever linked to the account associated with the check you supplied during signup? or is there some intermediary target account which can be added to later?

solarUS said:   this might be a stupid question, but is the redcard debit account forever linked to the account associated with the check you supplied during signup? or is there some intermediary target account which can be added to later?

You may change account at anytime, with immediate effect.

Another thing to note about the debit card is that you can add an authorized user to it at anytime. For example, I have an AU that's not on my main bank account.

Skipping 15 Messages...
It really is great how people are worried about a credit report inquiry here (which Target could care less about). We know the real answer why Target is doing this, we just did not know really how good they are at this process. Of course, Target did not really need this card to collect this data, any debit/credit card with a similar name or number or check info is as good to add purchase data to the Guest ID profile, but the Target REDcard (like any other loyalty card) gives explicit permission just in case the laws change later.

Now Target is not the only one, but Target appears to have gotten this game well honed.

Here is the Target REDcard privacy policy relevant section:
https://redcard.target.com/redcard/content/rcw_tnb_privacy_polic...
For our marketing purposes — to offer our products and services to you
May Target share your REDcard personal information? Yes
Can you limit this sharing? No


Here is the article with a great example and unintended effect and how they try to make you think that the coupons are not targeted:

http://www.nytimes.com/2012/02/19/magazine/shopping-habits.html

I wish the federal law required disclosure upon request (retrieve Guest ID data) of what data Target held that was tied to a person just like any other credit bureau, but for now, if you absolutely do not want this, you have to use cash only AND NO COUPONS OR OFFERS THAT ARE UNIQUELY BAR CODED. So much for FW deals.

A few times a year, I might get a unique (custom print jobs) Target coupon book, but probably nothing much compared to REDcard holders.

Rasheed



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