If Sears and Kmart are the stores you shop frequently at, you may have considered getting a Sears credit card. And you probably heard that even die-hard Sears fans prefer a general-purpose rewards credit card to the Shop Your Way Mastercard with all its generous rewards and benefits. Below, we are trying to understand why you may want to skip the Sears credit card.
Why we like the Shop Your Way Mastercard
While the Shop Your Way Sears Mastercard credit card is a store card, it can be used anywhere Mastercard cards are accepted as a method of payment. The card earns 5% in points on eligible purchases at gas stations, 3% in points on eligible purchases at grocery stores and restaurants, 2% in points on eligible purchases at Shop Your Way merchants (such as Sears, Kmart, and Sears Home Services), 1% back in points in all other eligible purchases.
Sears credit card cardmembers can also see additional savings opportunities in the form of discounts or special 0% financing for 12 months on select purchases.
Earned Shop Your Way points can be redeemed for purchases at Sears and Kmart (online or in-store) and gift cards. The value of points is 1,000 points = $1 in value.
Why we don't like the Shop Your Way Mastercard
At first sight, the Shop Your Way Sears Mastercard shows a good rewards earning potential. But if you carefully read the terms, you can see that there are limits and exceptions. Thus, you will earn 5% and 3% on the first $10,000 of combined gas, grocery, and restaurant purchases per calendar year, then 1% thereafter.
At the time of this writing, the Sears Shop Your Way card does not offer a traditional sign-up bonus. New members indeed can take advantage of discounts or special rates, but they are limited and not always come in the form of point rewards.
We also noticed that the card has a high purchase APR (annual percentage rate). And if there is a special financing offer, the no interest period is not exactly 0%, but deferred interest. That means you will have to pay off your purchase in full within the promotional period if you do not want the interest to be imposed on the starting balance at the APR for regular purchases retroactively from the date of purchase. Plus, not all purchases qualify for special financing.
IS SEARS SHOP YOUR WAY WORTH IT?
- Sign-up bonus: Earn a $75 statement credit for every $500 spent, up to $225, on eligible purchases made wherever Mastercard® is accepted in the first 90 days after you are approved for a new Shop Your Way Mastercard®.
- Annual fee: No annual fee.
- Key feature: Cardmembers can choose 5% off or 12 months financing on select sitewide purchases.