While technically classified as superstores, Walmart and Target have become go-to destinations for many consumers’ grocery needs. Their ability to offer competitive pricing and a wide range of non-food items, such as apparel and accessories, alongside essential groceries, has contributed to their popularity.
But, savvy credit card consumers may be wondering how much cash back you can get at Walmart using a credit card. There are many grocery credit cards that offer bonus cash back on grocery purchases; however, as Walmart and Target are considered superstores, they typically fall outside bonus reward eligibility and earn consumers only 1% on their purchases.
So, then what is the best credit card for Walmart and Target purchases? Rest assured that there are still some viable options for cardholders looking to make the most of their rewards. Let’s dive in to the options.
Best credit card for Walmart
Frequent Walmart shoppers may have once turned to the Capital One Walmart Rewards Credit Card to earn up to 5% on their Walmart purchases; but, as of May 2024, Capital One discontinued this card and offered cardholders the chance to transition their account to the card_name instead.
This no-annual-fee card offers 1.5% cash back on all purchases, including at Walmart, and while 1.5% isn’t too shabby, there are other no-annual-fee options such as the card_name and the card_name that offer a flat-rate of 2% back on all purchases, including purchases made at Walmart. While an additional .5% rebate isn’t earth-shattering, it can certainly add up over time. Citi is a CardRatings advetiser.
Better still, some rotating cash-back credit cards such as the card_name and the card_name offer 5% cash back on rotating quarterly categories. Occasionally, such cards have included Walmart and Target purchases. Discover, for example, offered Walmart as one of its bonus categories earlier this year, and Target is a bonus category from October to December 2024. The only catch is you must enroll each quarter to earn bonus rewards, and there is a cap on how many bonus rewards you can earn – 5% on up to $1,500 each quarter.
➤ SEE MORE:Best credit cards for groceries
A great strategy would be to use a card such as the card_name on quarterly bonus categories (such as at Walmart and Target) and a card offering a flat 1.5-2% on all non-bonus spending. That way you are always maximizing the amount you earn on your purchases.
Gerri Detweiler, credit and small business expert and co-author of “Finance Your Own Business: Get on the Financing Fast Track,” says “It’s a good idea to review the cards you hold from time to time to see if they are still a good fit.” Online comparison shopping for the best cash-back cards is an easy way to do this and only takes a few minutes.
BONUS TIP!
The card_name allows you to earn 3% cash back in a category of your choice. One of the 3% cash back categories is online shopping, which includes Walmart.com.
What is the best credit card for Target?
The good news for Target customers is that Target has an attractive retail credit card that offers an ongoing (not quarterly) 5% rebate on Target purchases.
I have personally used the Target debit card, which also offers 5% cash back, for many years and I’m amazed at how much savings I’m able to realize while checking out at my local Target. The only downside is that debit purchases do come directly out of your checking account, so you don’t enjoy a grace period like you do with the Target credit card.
BONUS TIP!
The card_name offers 3X points at supermarkets (including most Target and Walmart locations). This is a unique offer that does not exclude Walmart and Target purchases from the supermarket category.
Final thoughts
It’s no secret that shopping at Walmart and Target can save you money since both discount retailers constantly try to offer the best prices. However, many consumers aren’t aware that they can make their savings go even further by simply using the right credit card.
The good news is that it takes minimal effort to earn an additional 2-5% back. Simply put, if you’re like a lot of cardholders and are only getting a 1% rebate at Walmart and/or Target, then you are leaving money on the table.
