The Old Navy Credit Card will Boost your Rewards: Review

Oct 18, 2016 | Be First to Comment!

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Standing at the cash register in your favorite Old Navy Store, you’ll be presented with the question: “would you like to apply for an Old Navy credit card?” When you answer “yes”, do you know there are two options from which you can choose? With one, you can get cash and rewards, and with the other, you can use it anywhere Visa is accepted. An Old Navy credit card review can help you decide which one is right for you before you fill out the Old Navy credit card application. Explore the differences between the Old Navy credit cards and how they stack up against popular alternative credit cards.

Old Navy Credit Card

The Old Navy Card can be used at any Old Navy retail store and online store. When you apply for the Old Navy card, you receive benefits right away, such as 15% off your first purchase with your Old Navy Card. When you fill out the Old Navy credit card application, if you opt in for paperless billing, you earn an extra 500 rewards points, too. You can earn points when you shop at any one of the family Gap Inc. brand stores:

Synchrony Bank Rates and Fees With Gap Inc. Visa® Card And Gap Inc. Credit Card Account

GAP INC. VISA CARD GAP INC. CREDIT CARD
Annual Percentage Rate (APR) for Purchases 25.24% This APR will vary with the market based on the Prime Rate. 25.24% This APR will vary with the market based on the Prime Rate.
APR for Cash Advances 27.24% This APR will vary with the market based on the Prime Rate. Not Applicable
How to Avoid Paying Interest on Purchases Your due date is at least 23 days after the close of each billing cycle. You will not be charged any interest on purchases if you pay your entire balance by the due date each month. Your due date is at least 23 days after the close of each billing cycle. You will not be charged any interest on purchases if you pay your entire balance by the due date each month.
Minimum Interest Charge If you are charged interest, the charge will be no less than $1.50. If you are charged interest, the charge will be no less than $1.00.
Cash Advance Fee Either $10 or 4% of the amount of each cash advance, whichever is greater. Not Applicable
Foreign Transaction Fee 3% of each transaction. Not Applicable
Late Payment Fee Up to $37 Up to $37

As an Old Navy credit card holder, the company will inform you first about any bargains and deals. You will then have more opportunities to earn cash for your favorite products, and Old Navy will grant you exclusive access to presale opportunities on the company’s most popular sales. When you swipe your Old Navy credit card for your purchase, the rewards add up in your account. For every $1 you spend online or in the store, Old Navy will give you 5 points toward rewards. Once you hit 500 points, Old Navy will send you a $5 Reward.

When you reach 5,000 rewards in a single calendar year, you earn "Navyist" status, which means you earn a slew of benefits:

  • Private, toll-free line to correspond with Old Navy credit card services
  • Basic alterations on your Banana Republic purchases at no cost
  • When you use the code NAVYIST, you get free shipping on your online purchases from Athleta, Banana Republic, Gap, and Old Navy
  • You can earn an additional 20% in rewards every quarter

Note that the bonus rewards for have Navyist status means that you'll earn an effective 6% rewards on your purchases at Old Navy and its sister brands. The various bonus rewards on special sales and offers will increase this rewards rate even more, but it's much more difficult to quantify and it'll vary based on whether or not you take advantage of these sales events.

Get Visa®

If you want to benefit from Old Navy card perks on any other purchases you make outside the Old Navy brand, the Old Navy Visa® credit card allows you to do just that. The Old Navy Visa® credit card features the innovative fraud-preventing chip that is accepted worldwide. It also doesn't charge an annual fee, it offers protection in the form of zero fraud liability, and it's accepted worldwide wherever Visa® is accepted. Finally, for every $1 you spend on everything else, you will earn 1 point on your Old Navy rewards account.

As an Old Navy Visa® cardholder, not only will you benefit from the perks of carrying an Old Navy Card, but you will also be entitled to exclusive offers and promotions offered only to Visa® cardholders.

Bad Credit No Problem

Like many store credit cards, the Old Navy credit card is easier to qualify for when compared to a regular credit card. You may get a small credit line and the purchases can only be made at Old Navy and its sister brands. These restrictions help to cut down the risk of overspending to the point where you'll have trouble repaying the card balance.

Therefore, store credit cards are often good starting points to help someone improve their credit. People with bad credit tend to have a harder to getting approved for typical credit cards. So, they can get a store credit card to begin showing that they can manage credit responsibly.

The strategy involves using the store credit card on a regular basis and making all payments on time. Preferably, you don't carry a balance because you'll have to pay interest charges, which can keep you in debt for longer.

The Old Navy Visa® credit card may be used for the same reason but you should note that it is more difficult to get, compared to the Old Navy store credit card. However, you can still use it to build your credit.

How Does Old Navy Compare?

If you don’t carry an Old Navy credit card, you can still earn rewards and cash back options on your Old Navy purchases when you use alternative rewards credit cards. Three popular credit card alternatives are the US Bank Cash+™ Visa Signature® Card, the Discover It® credit card, and the Citi® Double Cash credit card. Each card has the option to earn rewards and cash back on Old Navy and Gap brand purchases. Check out how these three cards compare to the Old Navy Visa® Credit Card.

US Bank Cash+™ Visa Signature Card®

The US Bank Cash+™ Visa Signature Card® is a card that allows you to earn cash back on your Old Navy and Gap Inc. purchases. Three out of the 4 companies are part of the rewards program. With the US Bank card, you can customize how you want to earn your 5% and 2% Cash+ rewards each quarter. Just like the Old Navy Visa® Credit Card, the US Bank card is chip-enabled to prevent fraud.

As a Visa Signature® card member, you are also entitled to a year-end summary, warranty manager service, reimbursement for your lost luggage when you travel, roadside assistance, and purchase security.

When you apply for the US Bank Cash+™ Visa Signature® Card, if you are not approved, you are automatically considered for the US Bank Rewards Visa Credit Card.

Discover it®

If you prefer Discover, the Discover it® card allows you to earn cash back on your shopping purchase, including any purchase made at Old Navy. Even better, Discover is accepted at more than 9 million establishments and businesses nationwide. Through the Discover Deals, you can earn 5% cashback on the online shopping portal and 1% cashback on all Gap brand purchases you make when you use your card.

When you apply for the Discover it® card, you benefit from a 0% introductory APR for the first 12 months. After the period is over, the regular APR kicks in, and it varies based on your creditworthiness. If you choose to transfer a balance when you open your new card, there is a 3% fee for each balance transfer. There is no annual fee for Discover it® cardholders.

The Discover it® card is also well known for its consumer-friendly perks. One of them is the free monthly FICO credit score, which helps you track your credit. It also waives your first late payment fee and there is never a penalty APR.

Citi® Double Cash

Citi’s® Double Cash card is one of Citi's best cards. It offers more flexibility, more ways to earn cash back, and low interest rates. This card is ideal for shoppers who don’t frequent Old Navy as often and would like to earn money back for all their purchases.

When you open a Citi® Double Cash card, the balance transfer fee is either $5 or 3% of the amount you transfer from your existing card. Within 18 months of opening a new Citi® Double Cash card, you will pay 0% interest on purchases and transfers. After the 18-month introductory period is over, your ongoing interest rate will depend on your credit rating.

Final Verdict: For the Loyal Old Navy Shopper Only

For the hardcore Old Navy shopper, the Old Navy store credit card is definitely worth it, especially if you can obtain the Navyist status. The premium status means that you earn an effective 6% rewards on all purchases at Old Navy, The Gap, Banana Republic, and Athleta. The only other credit card that can match that level of rewards is the Discover it credit card -- and that would require that you only make the purchases online. With the Old Navy store credit card, you'll earn those rewards whether you're shopping online or in-person at a store.

In summary, the Old Navy branded credit cards are perfect for you if:

  • You can obtain Nayvist status for the additional 1% reward.
  • You want to maximize your rewards at Old Navy and its sister brands while shopping at a store location.
  • Your preferred reward is store credit toward more purchases at Old Navy and its sister brands.

If you don't fit the optimal criteria as an Old Navy store credit card customer, you're much better off with one of the cash back credit card alternatives. These alternatives will offer nearly as many rewards, but the rewards come in the form of cash. It is more versatile because you're not forced to use your rewards just for Old Navy purchases.

Additionally, the cash back credit cards may help you generate more overall cash back in the long run. Many of them offer high cash back rates on purchases other than those made at Old Navy.

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