Are Target RedCard and Circle Memberships Worth It? (2024)

RedCard is Target’s flagship program, and it has been around for over a decade. It requires you to either open a credit line or connect a bank account to a Target debit card. In exchange, you get a flat 5% off nearly all purchases and free two-day shipping on most items—without any extra work on your part. This is Target’s answer to Amazon Prime. We think it’s a great value considering the service is free to join, compared with Prime, which recently increased its subscription price from $119 to $139 annually. RedCard members also receive an additional 30-day window for returns and exchanges (up to 120 days from 90), early access to deals events like Black Friday and Cyber Monday, and access to member-exclusive deals and offers. And again, RedCard doesn’t have a sign-up or annual fee.

But any time you open a credit card or credit line, you have to keep in mind that if you make late payments and incur fees, it can affect your credit score and offset any potential benefits. Target’s debit card option gives you all of the RedCard benefits without a credit card, but it also doesn’t offer the same anti-fraud protections that a credit card would. There have also been data breaches in the past that affected customers’ privacy.

Target Circle is also free to join. Think of it as the modern equivalent of a coupon booklet you’d get in the mail, but with ever-changing personalized coupons driven by your shopping habits. Although I’m loath to share even more data with any company* (does anyone really need to know that I’m searching for ramen at 2 a.m. on a Tuesday?), it’s useful to get deals on the stuff I’m interested in. Circle coupons are redeemable in-store via the app, and most coupons can also be redeemed for online purchases as long as you’re logged into your account.

Circle also has other perks similar to those with the RedCard membership, like exclusive deals and offers, as well as early access to Black Friday sales and other events, along with the aforementioned coupons. Additionally, Circle also offers a “community giving” program where you can vote for local non-profit organizations to receive funding from Target.

Target is also partnering with Apple to provide free trials to services like Apple TV+, Apple Music, iCloud, and Apple Arcade.

Circle also offers 1% credit back on eligible purchases. This 1% is given in the form of Target credit, which lasts for one year before expiring. That 1% also jumps to 5% in the month surrounding your birthday. Since Circle is a free way to get some money back, and you’re automatically enrolled when you create a Target account, it’s a no-brainer for many people.

If you’re already a RedCard holder, it’s important to note that the 5% RedCard discount and 1% Circle credit back do not stack. However, the RedCard discount does stack with Circle’s personalized coupons and deals. So if you’re an avid couponer, enrolling in both programs could save you a hefty chunk of change by using the 5% RedCard discount on Circle’s personalized coupons. However, if you’re already a RedCard member and not interested in the coupon game, you’re unlikely to get a lot of use out of the Circle program.

If we had to choose just one, we’d probably pick Target RedCard. Though neither is perfect, RedCard gives you the most benefits with 5% off nearly all products and the all-important free two-day shipping. Circle membership is still a worthwhile program since it doesn’t cost you anything and gets you 1% back on most purchases, but you’ll need to be a real coupon connoisseur to get the most out of it. At the end of the day, if you find yourself regularly shopping at Target, both programs are likely worth your time.

*We reached out to Target for comment but had not heard back at the time of publication.

This article was edited by Ignacia Fulcher and Nathan Burrow.