Honest Reviews

Walmart vs. Target Credit Cards

Walmart vs Target Credit CardsWalmart or Target?/20off.com

Store credit cards don’t have the best reputation due to high APRs and questionable values after all the perks add up. Walmart and Target credit cards are actually not that bad in this context. They both give their loyal customers 5% back in rewards for shopping there and don’t have annual fees. It would be hard to find other cards that offered such high value for shopping at big box stores, which are usually excluded from cash back on grocery shopping.

Walmart Credit Card PromotionsWalmart visitors love this sign

Walmart has two credit cards:

  • Capital One Walmart Rewards MasterCard
  • Walmart Rewards Card

Walmart Credit Card DealsWalmart offers Visa debit card

Target offers its signature Target RedCard.

Target Credit Card PromotionsTarget shoppers are faithful to it

Let’s take a closer look at them and do some comparison.

Target Credit CardTarget REDcard helps you save money

Rewards policy

All three credit cards offer similar rewards scheme:

  • Walmart Capital One5% cash back for Walmart orders online and via the app, 2% cash back for in-store purchases, Walmart gas stations, restaurants, and travel, and 1% on everything else.
  • Walmart Rewards Card5% cash back for online, app, and grocery delivery orders, 2% cash back for in-store purchases and Walmart gas stations. No restaurants or travel is offered.
  • Target RedCard5% discount on all purchases in-store and online.

Target Red Card DiscountTarget REDcard offers 5% off every day

Target RedCard wins here because customers get instant discount applied on all orders while Walmart offers 2% cash back in rewards in-stores only.

Target Coupons:

  • 25% OFF Select Items
  • Free Standard Shipping on $35+ Order


Both Walmart credit cards let you redeem your rewards any time for any amount. You can get your rewards in gift cards, travel vouchers, statement credit, and in cash discounts while checking out.

Walmart Money Card PromotionWalmart has Visa and MasterCard for its customers

Target RedCard holders redeem their rewards every time they shop, so it’s a tie in this category based on convenience.

Where can the cards be used?

Walmart Rewards Card and Target RedCard can be used at Walmart and Target only, so you will benefit with Walmart in this case as it has around 4,500 locations versus Target with its 1,800.

Capital One Walmart card can be used anywhere, making Walmart a winner because of more shopping locations, but a tie when it comes to online shopping as all three cards can be used equally good.

Walmart Money CardAlways read the rules before signing up for a new card

Do the cards offer welcome bonus?

Both Walmart cards offer 5% cash back on in-store purchases with Walmart Pay for the first year. It’s 2% afterwards.  Target is not offering any welcome bonus, so Walmart wins even if it makes you pay with Walmart Pay to get those 5%.

Walmart Discounts:

  • $10 OFF Purchases of $50 or more with code WOWFRESH
  • Free Delivery on Grocery Order over $50 with coupon code FRESHCAR

Walmart Monay Services DealsWalmart offers money services

What are some extra benefits and perks?

Capital One Walmart Rewards MasterCard offers this:

  • Car rental insurance
  • Extended warranty
  • Baggage delay insurance
  • Travel accident insurance coverage
  • Emergency roadside help
  • Trip protection policy
  • Price protection
  • Travel assistants

Walmart Rewards card doesn’t offer any extra benefits like that.

Walmart Prepaid Debit CardWalmart Money Card offers refunds

Target RedCard has these:

  • Free two-day shipping from Target with no minimum
  • 30 extra days for returns, making it 120 days vs. 90 regular
  • 10% off your purchase for every anniversary if you are signed up for promotional emails
  • Extra offers and exclusive deals

The winner is Capital One as it has the most value in benefits.

Target Visa Gift CardsTarget gift cards feature various designs

What about fees?

While all three credit cards don’t have annual fees, their APRs are quite similar. This is how they stack from worst to best:

3. Walmart Rewards Card with its 26.99%

2. Target RedCard with its 24.65%

1. Capital One for Walmart Card wins with 17.99-26.99%

So which card is the best overall?

If you love Target, RedCard is definitely a way to go and will offer you the most benefits. If you mostly shop at Walmart, go with any one of Walmart’s cards. But if you frequent both stores, you should make a decision to get just one.

If you want to maximize rewards at one of them and redeem them easily, Target RedCard should be your choice as you will get 5% applied to every purchase hassle free. If you want extra flexibility when redeeming your rewards, go with either one of Walmart cards as they give you more redemption options. Walmart has 2,700 more stores than Target, so you will have more places to shop at. Capital One card can be used anywhere MasterCard is accepted, making it the most universal.

Whichever way you choose to go, don’t forget to pay off your credit card balance in full every month to avoid debt and growing ARP. If you won’t, your balances will accumulate and make your savings null and void despite all the rewards and perks.