5 Reasons to Get a Best Buy Credit Card Before the Holidays

For most people, at least one of the latest electronic gadgets can be found on their holiday wish list. The high demand for electronics translates to big business for specialty retailers like Best Buy. When considering purchasing phones, tablets, computers, and other devices, most shoppers weigh the decision of buying on credit or simply paying cash. While many consumers may be less thrilled about using credit cards when they think of interest and monthly payments, there are also a few compelling reasons for shoppers to leverage their credit this holiday season. Best Buy offer a selection of credit cards that offer many perks and advantages when used strategically for holiday shopping.

Reward Card and Financing Combined

Best Buy offers a separate customer loyalty rewards program that awards points and other perks for qualifying purchases. All shoppers are qualified to join the standalone rewards program and accumulate points when shopping online or in-store. Best Buy credit card customers may earn rewards faster when using their store credit account. In addition to earning five percent back on their total purchase price, using a rewards credit card earns 2.5 points for dollar spent in-store and one point for each dollar spent at Best Buy’s online store. Store card holders may also opt out of the rewards program if they prefer to do so. Rewards members are eligible to receive a $5 gift card for every 250 reward points they accumulate.

Free Shipping

When making an online Best Buy purchase with the retailer’s credit card, all orders that total $35 or more qualify for free shipping. People who do most of their electronics shopping online may realize substantial savings when using their Best Buy card when purchasing gadgets for themselves or as a gift.

Interest-Free Financing: A Caveat

The best way to utilize and build credit is to pay for the card balance before interest accrues. For many consumers, Best Buy’s high interest rate, which typically hovers just below 30 percent, is a concern. However, those who would like to have additional time to pay off their balance are often pleased to learn that Best Buy credit cards offer a six month interest-free option for purchases totaling $149 or more. Despite the seemingly generous interest-free period, card members should be aware that if a even a small portion of the original purchase remains unpaid at the end of the six month period, Best Buy reserves the right to charge interest on the entirety of the original purchase amount.

Several Credit Limits Available

Best Buy credit cards are awarded with many different credit limits, depending on the applicant. People who have lower credit scores often find that applying for a Best Buy credit account is an excellent way to build credit and improve their overall score. According to Credit Karma, approximately 50 percent of Best Buy card members have a limit of less than $1,000 while 38 percent have a credit line between $1,000 and $3,000; 17 percent of card members have a credit line that exceeds $3,000. Therefore, Best Buy has a card for people with nearly every type of credit profile.

Frequency of Use

One major disadvantage of having a Best Buy credit card is that earning awards is very easy when shopping at Best Buy; however, points and cashback rules are less generous when shopping elsewhere. Companies that offer general cashback cards or rewards cards give card holders an incentive to use their card in everyday settings. For example, some companies offer two percent cash back on all purchases and up to five percent on a revolving category of purchases. Therefore, card members are able to earn more money back when purchasing gas, groceries, and anywhere else they may frequently shop. Therefore, the Best Buy credit card is best suited for people who frequently purchase electronic products, complementary accessories, and other products that can be found at Best Buy.