Kohl's - Credit Card Review

I have several different credit cards in my wallet. Even though I am fully aware of the potential financial hazards of credit card ownership, I like to have several different credit cards because I like to take advantage of the latest offers. One credit card that I recently obtained is a card issued by one of my family's favorite stores. It's the Kohl's Credit Card, a piece of plastic that makes shopping at Kohl's even easier than before.

Credit Card Commentary:

First, let's talk about the basics. Kohl's Credit Card is a store- issued card and it is generally very easy to obtain. Applications for a Kohl's Credit Card have to be processed at a Kohl's Department store. The online site allows customers a way to print an application, but it has to be taken to a store for completion. It cannot be electronically processed.

Kohl's Credit Card, like other store credit cards, carries no annual fee. But, also like other store credit cards, the interest rate for a Kohl's Credit Card is pretty high- around 22 percent annually. The high rate takes effect immediately, as soon as you open and account, and it is fixed. A twenty- eight to thirty day (based on the number of days in the month) grace period is offered on all purchases.

Kohl's Credit Card is my newest credit card and, if my family has any say in the matter, it will likely occupy a permanent place in my wallet. The reason is because Kohl's is my wife and girl's favorite store to shop for clothing. Even my young baby girls (ages one and two) have already developed a liking for Kohl's because they know this is a place to shop for clothes, which is something they love to get, almost as much as they love toys.   

Kohl's Credit Card does have limited use, like most store credit cards, since it can only be used at a Kohl's store or online at Kohls.com. But the deals for Kohl's shoppers really are quite good, and they make ownership of a Kohl's Card worthwhile. In fact, it is these special promotions that convinced me to accept this credit card offer in the first place. At least once per month, Kohl's will offer special deals that are valid only for Kohl's Credit Card holders. These special offers are usually a percentage off of your total bill and they apply to your full purchase. When I first signed up for the Kohl's Card, I received 20 percent off my bill plus I was given a gift card toward a future purchase. This was enough to convince me that a Kohl's Credit Card was a good idea. We already shop at Kohl's all the time anyway, so why not use a credit card and receive a discount on our purchases? It made sense to go ahead and accept.  

I like Kohl's Credit Cars, but it does have at least one bad feature:: It has a very high interest rate- higher than most all of the major credit cards and there is little or no hope of ever seeing a reduction. Consumers can try to keep this extra expense under control by exercising discipline when using the Kohl's Credit Card and also by making it a point to pay off the balance in full every month. This is sometimes easier said than done, with all these great promotional offers. But if one can resist the temptation to shop and carry a balance each month, they can easily come out ahead with this credit card.

Another incentive offered by Kohl's to its credit card customers is the Most Valued Customer status. Cardholders achieve this status as soon as they spend more than $600 in any given year. MVC customers have the advantage of choosing their own sale day, six months per year. These MVC customers also get additional savings opportunities- above and beyond the twelve opportunities offered to regular cardholders.

Bottom Line Viewpoint:

Overall, Kohl's Credit Card is a credit card I don't regret accepting. My family and I shop all the time at Kohl's anyway, so it makes sense to convert these shopping excursions into money saving events. The interest rate on this card is high, but there is a one- month grace period and as long as you pay off your balance (or most of your balance) in full every month, the savings from the discount offers easily makes Kohl's Credit Card a piece of plastic worth owning.