JCPenney Credit Card Review: A Card for Dedicated JCPenney Fans
Review
Updated
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Some folks have that one store that just fits. Everything there is just right for you, and you'll shop there no matter what. If JCPenney is that store for you, then the JCPenney Credit Card may be worth a look. This store credit card offers JCPenney Rewards on purchases and special savings for cardmembers. But the limited use of both the card and its rewards makes it a poor option for anyone but the most dedicated JCPenney shoppers. Check out our JCPenney Credit Card review for the full scoop.
Fair (300-669)
Intro APR
Purchases: N/A
Balance Transfers: N/A
Regular APR
25.99%, variable
Rewards Earn 1 point for every $1 of qualifying purchases, up to a maximum of 2,000 points in a single purchase transaction
Up to 1x points
Annual Fee
$0
Welcome Offer
15% off coupon
A solid fit for frequent JC Penney shoppers, but the lustre wears off quickly for anyone else.
We recommend comparing options to ensure the card you're selecting is the best fit for you. To make your search easier, here's a short list of standout credit cards.
| Offer | Our Rating | Welcome Offer | Rewards Program | APR | Learn More |
|---|---|---|---|---|---|
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Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Discover will match all the cash back you’ve earned at the end of your first year. | 1% - 5% Cashback Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases. |
Intro: Purchases: 0%, 15 months Balance Transfers: 0%, 15 months Regular: 18.24% - 27.24% Variable APR |
|
|
Rating image, 5.00 out of 5 stars.
5.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
$200 cash rewards Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months. | 2% cash rewards Earn unlimited 2% cash rewards on purchases. |
Intro: 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers Purchases: 0% intro APR, 12 months from account opening Balance Transfers: 0% intro APR, 12 months from account opening on qualifying balance transfers Regular: 19.24%, 24.24%, or 29.24% Variable APR |
|
Apply Now for Bank of America® Travel Rewards credit card
On Bank of America's Secure Website. |
Rating image, 4.00 out of 5 stars.
4.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
25,000 points 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases | 1.5-3 points per dollar Earn unlimited 1.5 points per $1 spent on all purchases, with no annual fee and no foreign transaction fees, and your points don't expire as long as your account remains open. Earn 3 points per $1 spent on travel purchases booked through the Bank of America Travel Center. |
Intro: 0% Intro APR for 15 billing cycles for purchases. 0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days. After the intro APR offer ends, 18.24% - 28.24% Variable APR on purchases and balance transfers will apply. A 3% fee for 60 days from account opening, then 4% fee applies to all balance transfers. Balance transfers may not be used to pay any account provided by Bank of America. Purchases: 0% Intro APR for 15 billing cycles for purchases Balance Transfers: 0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days Regular: 18.24% - 28.24% (Variable) |
Apply Now for Bank of America® Travel Rewards credit card
On Bank of America's Secure Website. |
This credit card is a good fit for: Frequent JCPenney shoppers who can maximize the branded rewards.
Store credit card perks are often limited to the brand -- and this card is no exception.
The main draw of the JCPenney Credit Card for most users is likely the JCPenney Rewards you can earn on card purchases. You'll earn 1 point per dollar on JCPenney purchases when you use your card, whether you shop in-store or online. That's double the rewards you could earn by being a regular JCPenney Rewards member (they earn 1 point per $2 spent).
You'll get a $10 reward certificate for every 200 points you accrue. That gives you an effective value of $0.05 per point, or 5% back on JCPenney purchases. While this is a fairly competitive rate -- 5% back is about as good as it gets for most cash back cards -- keep in mind your JCPenney Rewards can only be used on JCPenney purchases. It also can't be redeemed as a statement credit to pay for past purchases.
Another thing to note is that there is a cap on how many rewards you can earn per transaction. Specifically, you can earn a maximum of 2,000 points for any single transaction. So, if you're buying something big, such as a pricey piece of jewelry, you could hit that cap and lose out on extra rewards.
Most rewards credit cards these days come with some type of sign-up bonus. For store credit cards, that bonus typically comes in the form of a one-time discount. The JCPenney Credit Card falls into that category, offering new cardholders who apply online an extra 15% off the purchases made the day you open and use your new card. You can also combine that discount with another eligible coupon for extra savings. You may find a different new cardholder offer by applying in the store.
Although 15% is a solid discount, you'll need to spend quite a bit for it to compare with other sign-up bonuses. For instance, a typical bonus on a no annual fee card is $200. You'd need to make a $1,333 purchase on your JCPenney Credit Card to get that much value from the new cardholder discount.
While the rewards and new cardholder discount are easy enough to quantify, this particular JCPenney Credit Card benefit is a little more nebulous. According to JCPenney, credit cardholders have access to "150+ credit savings days" with exclusive discounts.
Those extra savings are amplified if you're a big JCPenney shopper. If you spend $500 or more in a calendar year, you'll become a JCPenney Gold member, which unlocks a special passbook of coupons. Spending $1,000 or more in a calendar year bumps you up to Platinum status. Platinum cardholders get all the perks of the lower tiers, plus bonus points days and special sales days with up to 30% off.
One really nice perk to the JCPenney Credit Card is that there's no annual card fee. This means no extra fee just to keep your card account open. Having no annual fee is a must-have perk for a store credit card, since most of us don't shop even our favorite stores every week. With no annual fee, you can keep your JCPenney Credit Card active and ready for holiday shopping or spring fashion without having to worry about paying for a card you're not using the rest of the year.
JCPenney Credit Card users will sometimes have access to special financing offers on certain large purchases. For example, you could get 0% interest for 18 months on qualifying furniture or mattress purchases.
This particular perk of the JCPenney Credit Card is kind of a double-edged sword. That's because it uses deferred interest. Basically, you'll pay 0% interest if -- and only if -- you repay your total purchase amount in the set period of time. If you have any balance remaining after the promotional period ends, you'll owe interest on the entire balance.
So, let's say you get the 18-month deal for a $500 mattress. If you pay off the full $500 balance before the 18 months are up, you're good to go with no interest fees. If, however, you come up short -- even by so much as a few bucks -- you'll be charged interest on the full $500 balance.
The downsides to this card could be deal breakers for some folks.
Arguably the biggest drawback to the JCPenney Credit Card is that it's a closed-loop card. This means it can't be used to make purchases anywhere except JCPenney stores or the JCPenney website. Being restricted to JCPenney purchases really limits how useful this card is for anyone other than diehard JCPenney fans.
Oh, and those restrictions apply to the rewards you earn with your JCPenney Credit Card, too. Any JCPenney Rewards and certificates can only be used on more JCPenney purchases.
A common perk among regular credit cards that the JCPenney Credit Card lacks is an intro 0% APR deal on new purchases. These 0% APR offers typically give new cardholders 12 months or more of 0% interest on all new card purchases.
While the JCPenney Credit Card does offer its special financing on select purchases, that financing has a lot of fine print. First, it's only available on certain purchases. And second, it uses deferred interest, which can mean you wind up being stuck with interest fees if you don't pay off the full balance in time.
Adding insult to injury, the JCPenney Credit Card has a very high regular APR compared to other credit cards we've reviewed. This makes it extremely expensive to carry a balance on your JCPenney Credit Card for even a few months, let alone any longer than that.
As a store card, the JCPenney Credit Card is relatively easy to get. It's recommended to have at least fair credit when you apply for a JCPenney Credit Card, though good credit would give you a better chance of approval. This makes it possible to use the JCPenney Credit Card to build credit while also earning rewards on your JCPenney purchases. Be sure to make your payments on time every month and avoid maxing out your card for the best credit score results.
Frequent JCPenney shoppers who are looking for a dedicated way to save on their purchases may get a lot of value from the JCPenney Credit Card. However, if you're an equal-opportunity department-store shopper, or just a casual JCPenney customer, this card may not be worth the hard credit pull. In either case, you can likely find a regular credit card that better suits your spending habits.
At Motley Fool Money, we rate credit cards on a five-star scale (1 = poor, 5 = best). Our rating criteria includes rewards rates, welcome bonuses, fees, and perks like travel credits and 0% intro APR offers to evaluate our ratings.
We combine these factors with an evaluation of brand reputation and customer satisfaction to ensure you're getting the best card recommendations. Learn more about how Motley Fool Money rates credit cards.
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