Target Circle™ Card Mastercard Review: 5% Off for Frequent Target Shoppers

The Target Circle™ Card Mastercard is the “use it anywhere” Target card. It runs on the Mastercard network (issued by TD Bank USA), so you can use it wherever Mastercard is accepted. It offers big savings at Target, as well as elevated rewards on dining and gas.

The Target Circle™ Card is the “Target-only” version that can only be used at Target and Target.com. If you don’t qualify for the Mastercard, you’ll be automatically considered for this card. It offers most of the same perks and allows you to build credit.

At a glance: Target Circle™ Card Mastercard vs. Target Circle™ Card

Feature	Target Circle™ Card Mastercard	Target Circle™ Card (store card)
Where you can use it	Anywhere Mastercard is accepted	Only at Target stores and Target.com
Target discount	5% off Target and Target.com purchases	5% off Target and Target.com purchases
Additional rewards	2% back on dining and gas 1% on other purchases	None outside of Target
Annual fee	$0	$0
Extra perks	$50 off Target Circle 360 Free two-day shipping Extended returns Mastercard protections	$50 off Target Circle 360 Free two-day shipping Extended returns

Recommended credit: Credit scores ranges may vary. Your individual chance at approval may vary due to factors such as creditors using a particular variation at their discretion Good

Rewards Rate: 5% off at Target, 1% - 2% cash back outside of Target

• Earn 5% off every day at Target and Target.com.
• Earn 2% rewards on dining and gas purchases and 1% everywhere else outside of Target

Welcome offer: $50 cash credit

• Get $50 in Circle Rewards when you spend $50 on your Circle Credit Card within the first 60 days following approval.

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Rates

• Intro purchase APR: N/A
• Regular purchase APR: 28.45% variable
• Intro balance transfer APR: N/A
• Regular balance transfer APR: N/A
• Regular cash advance APR: 29.65% variable
• Penalty APR: N/A

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Fees

• Annual fee: $0
• Balance transfer fee: N/A
• Cash advance fee: Either $10 or 3% of the amount of each cash advance, whichever is greater
• Foreign exchange fee: N/A
• Late fee: Up to $41

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Other benefits

• 5% instant discount on Target and Target.com purchases

  The Target Circle™ Card Mastercard gives you 5% off every day at Target and Target.com. Plus, earn 2% on dining and gas purchases and 1% everywhere else outside of Target.

  Few non-Target cards can beat that return on Target purchases. And unlike most cash back credit cards, Target makes it effortless: your discount is taken automatically at checkout, instead of requiring you to redeem rewards later.

  “I chose the Target Circle™ Card because Target is one of my top shopping destinations. The standout perk is the automatic 5% discount on my Target purchases; there’s no waiting for rewards to post. I also like that I can manage my card and payments directly in the Target app.”

  – Sammi Scharf, credit cards writer at LendingTree

• 5% off in-store Starbucks and select gift card purchases

  You’ll get 5% back on in-store Starbucks purchases, which is especially nice if grabbing a drink is part of your Target routine. And you’ll get 5% off select specialty gift cards from popular brands like Apple, Disney and Airbnb. This means that you can use it as a 5% card for a variety of purchases, like your next vacation or iPhone.

  Money-saving tip: Boost your savings by taking advantage of Target’s 10% off Target gift card promotion, which is usually held in early December. Target Circle members can get a $500 gift card for just $450.

• Target 360 membership discount

  Target Circle™ Card Mastercard holders get $50 off a Target Circle 360 annual membership — making it a smart, budget-friendly alternative to Walmart+ and Amazon Prime. With membership, you’ll score free same-day delivery on $35+ orders from Target and select partners like PetSmart, Lowe’s and 7-Eleven.

  You’ll also get early access to sales and a monthly freebie from a selection of gifts and discounts that change monthly.

• Free two-day shipping

  The card can save you $5.99 in Target.com shipping fees, which can come in handy for out-of-stock items or last-minute gifts. But if your cart typically tops $35, you may already qualify for free two-day shipping on eligible orders, making this perk less useful.

• Extended returns

  Target already has a generous return policy, but paying with the Target Circle™ Card Mastercard gives you an additional 30 days beyond the usual return period.

  The current return times are:

  • 365 days for Target brand items with a receipt
  • 90 days for most items sold by Target
  • 30 days for most Target+ items

  As always, exceptions and exclusions apply, so consult Target’s full return policy when in doubt.

  Pro tip: Start your Target returns in the Target app and select “drive up return” to avoid standing in customer service lines.

• Extra rewards beyond Target

  Because the Target Circle™ Card Mastercard runs on the Mastercard network, you can swipe it anywhere Mastercard is accepted — not just at Target. You’ll earn 2% on dining and gas purchases and 1% everywhere else, but there’s a catch: those rewards come back as Target gift cards. Yet, for regular Target shoppers, this may not be a major issue since you can use gift cards to pay for your purchases.

How much could you save with 5% off at Target?

You could save hundreds of dollars per year with the Target Circle™ Card Mastercard, depending on how frequently you shop at Target. Here’s a glimpse of the savings you could get:

Monthly Target spending	Annual spending	Savings with Target Circle™ Card Mastercard (5%)	Cash back with 2% card	Extra savings
$200	$2,400	$120	$48	+$72
$500	$6,000	$300	$120	+$180
$1,000	$12,000	$600	$240	+$360

Note: These examples assume all purchases are eligible for the 5% instant savings. Exclusions apply, including prescriptions, gift cards, membership fees and taxes.

• High APR

  Like many store-branded cards, the Target Circle™ Card Mastercard comes with a high interest rate. If you don’t pay your statement balance in full by the due date, any savings can disappear into interest charges.

  “I use my Target card’s autopay feature to pay my balance in full each month to avoid missed payments and carrying a balance.”

  – Robin Ratcliff, senior managing editor, LendingTree

• No intro APR offers

  If you’re planning a big purchase you want to finance, this card won’t help — there’s no 0% intro APR to give you breathing room. Consider getting a card with a 0% intro APR instead.

• Limited rewards outside of Target

  Outside of Target and the dining and gas categories, the rewards on everyday spending are modest — you’ll only earn 1% back. If most of your spending happens beyond Target, a flat-rate card like the Wells Fargo Active Cash^® Card may be a better fit, since it lets you earn unlimited 2% cash rewards on purchases.

• Rewards redeemed as Target gift cards

  Your rewards on non-Target purchases can only be redeemed as Target gift cards. Additionally, you need to have at least $10 in rewards before you can redeem them for a physical or digital gift card. However, as long as your account is in good standing, your rewards won’t expire.

• Reward exclusions on some Target purchases

  Some Target purchases are excluded from the 5% category. These exclusions include:

  • Prescriptions
  • Target Optical eye exams and protection plans (though glasses and contact lenses do receive the discount)
  • Target gift cards and prepaid cards
  • Sports betting gift cards
  • Certain restaurant merchants in Target stores
  • Shipt membership fees, Target Circle 360™ membership fees
  • Alcohol purchases in Indiana
  • Gift wrap and shipping and handling charges on Target.com purchases
  • Wireless protection program purchases

• Low starting credit limits

  Many cardholders say they were approved for surprisingly low credit limits, even with good or excellent credit. Forum posts frequently mention going years without a credit limit increase, and note that there’s no way to request one. One Reddit user said that after three and a half years, their card limit was still $600. Another cardholder reports that they’ve had a $500 limit for more than 10 years.

  A low credit limit may be fine if you only shop at Target occasionally. But for frequent Target customers, such low limits are a hassle, forcing you to make frequent payments to have enough available credit.

  Did you know? There’s also a Target Circle™ Debit Card that is tied to your checking account. It offers many of the same benefits, including 5% back on Target and Target.com purchases. This may be an ideal alternative if you need a larger credit limit.

The Target Circle™ Card Mastercard is a great choice if you’re a frequent Target shopper who pays off credit cards each month. It can deliver better savings on Target purchases than most non-branded cards. And, the discount is applied at checkout, which saves you the work of redeeming rewards later.

Who should skip the Target Circle™ Card Mastercard?

• Balance carriers:
  Paying a high interest rate outweighs the 5% discount.
• Infrequent Target shoppers:
  The savings you would see may not justify opening the card.
• Shoppers wanting better rewards:
  The 2% rewards on dining and gas and 1% everywhere else pales compared to the best cards for restaurants and gas.
• Large-purchase planners:
  With no 0% introductory APR, this card isn’t ideal for financing a big-ticket item.

Target Circle™ Card Mastercard vs. Prime Visa

If Amazon — not Target — is where you spend most, Amazon’s Prime Visa is the better “daily driver.” Like the Target Circle™ Card Mastercard, it’s an open-loop card, and can be used anywhere Visa is accepted. It offers a similar rewards rate; you’ll earn unlimited 5% back at Amazon.com, Amazon Fresh, Whole Foods Market, and on Chase Travel℠ purchases with an eligible Prime membership, unlimited 2% back at gas stations, restaurants, and on local transit and commuting (including rideshare), and unlimited 1% on all other purchases.

It comes with a much more generous sign-up bonus that you can earn instantly: Get a $150 Amazon Gift Card instantly upon approval exclusively for Prime members.

The main drawback is that you have to be a Prime member. Although the card has a $0 annual fee, Prime membership costs $139 (or $14.99 monthly). Still, if you’re already a frequent Amazon shopper, this card offers strong value.

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Target Circle™ Card Mastercard vs. Wells Fargo Active Cash^® Card

The Wells Fargo Active Cash^® Card is a better $0 annual fee card if you want one simple “catch-all” card that earns the same flat-rate cash rewards everywhere you shop. You’ll earn unlimited 2% cash rewards on purchases. Plus, you can earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.

It’s also a solid choice for financing, since it offers a 0% intro APR for 12 months from account opening on purchases, then a 18.49%, 24.49%, or 28.49% Variable APR.

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Target Circle™ Card Mastercard vs. Walmart OnePay CashRewards World Mastercard

If you’re already a Walmart+ member, the Walmart OnePay CashRewards World Mastercard is a good alternative to the Target Circle™ Card Mastercard. This $0-annual-fee credit card offers the highest rewards to Walmart+ members. You’ll earn 5% back on Walmart purchases in-store and online, 3% cash back at Walmart for non-members and 1.5% cash back on all other purchases.

Rewards are earned as points and can be redeemed for cash back to your OnePay account or as a statement credit. There’s also a small welcome offer: $35 cash back when you spend $75 within 30 days of account opening.

Like the Target card, this card comes with a high ongoing APR and no intro APR on purchases or balance transfers, so it only makes sense if you pay your balance in full.

The Target Circle™ Card Mastercard offers solid benefits, but it shouldn’t be a license to overspend or indulge in retail therapy. A LendingTree study found that 63% of Americans admit that emotions influence their purchases and 38% cite the stress of the economy as a reason for overspending.

Sticking to your preferred budgeting method helps you stay on track and keep you out of the red, even at a store known for its red branding.

→ Want a better card for everyday purchases? See our best cash back credit cards