What the Michaels credit card is and who should consider it
The Michaels credit card is a store card issued by Synchrony Bank that you can use at Michaels stores and online at michaels.com. Unlike a general-purpose credit card, it works only at Michaels and its sister brands. The card offers rewards on purchases and financing options for larger transactions, which can be useful if you shop there regularly or plan a big project purchase.
This card makes sense if you visit Michaels often enough that the rewards add up faster than they would with a cash-back card you use everywhere. It also makes sense if you need to split a large purchase into payments and want to avoid interest charges during a promotional period. If you shop at Michaels once or twice a year, a general-purpose rewards card will likely serve you better.
Store cards typically have higher interest rates than standard credit cards, so carrying a balance month to month can cost you significantly more. The real value comes from using the card strategically — paying off the full balance each month or taking advantage of a promotional financing offer and paying it off before interest kicks in.
Key Takeaways
- The Michaels card earns rewards on purchases at Michaels, but only works at Michaels locations and michaels.com, not at other retailers.
- Synchrony Bank issues the card and sets the interest rate, which is typically higher than rates on general-purpose credit cards.
- Promotional financing offers (such as deferred interest on purchases over a certain amount) are the main financial benefit, but interest charges explore if you do not pay the full promotional balance by the important date.
- You need to check your credit score range before you start, because store cards usually require fair to good credit, though approval odds vary by individual financial history.
- Paying your balance in full each month protects you from interest charges and helps you build credit history without the cost of carrying debt.
How the rewards program works
The Michaels card earns points on every dollar you spend at Michaels. The exact earning rate varies — Synchrony periodically adjusts the program structure, so you should check the current terms on the Michaels website or your cardholder agreement before making a large purchase. Points typically convert to rewards certificates that you can use toward future purchases.
The rewards are only useful if you redeem them before they expire. Most store card rewards programs set an expiration date, often one to three years from the date you earn them. If you earn points and then stop shopping at Michaels, those points may disappear. This is different from a general credit card, where points often do not expire or expire much more slowly.
Rewards also do not offset a high interest rate if you carry a balance. If you earn 1 point per dollar and redeem it as a $1 reward, but you are paying 20% annual interest on a $500 balance, you are losing money overall. The card only makes financial sense if you pay off what you charge each month.
Promotional financing and how to use it without paying interest
Michaels frequently offers promotional financing deals — typically something like "12 months special financing on purchases of $99 or more" or "24 months on purchases of $299 or more." These promotions mean you can split the purchase into equal monthly payments with no interest, as long as you pay the full amount by the end of the promotional period.
The catch is that deferred interest applies if you do not pay the balance in full by the important date. If you miss the final payment date by even one day, Synchrony charges you interest on the entire original purchase amount, retroactively, from the date you made the purchase. This can turn a $300 purchase into a $360 purchase overnight. You need to set a calendar reminder for the final payment date and make sure the money is in your account.
To use promotional financing safely, divide the total purchase by the number of months to find your required monthly payment, then set up automatic payments from your bank account. This removes the risk of forgetting a payment. Before you start the purchase, confirm the exact promotional terms — the minimum purchase amount, the number of months, and the final payment date — so there is no confusion later.
Interest rates and fees to expect
Store credit cards typically carry interest rates between 16% and 26% annual percentage rate (APR), depending on your credit score and Synchrony's current pricing. Your actual rate will be in that range or possibly outside it; Synchrony sets rates individually based on your credit history. You will see your rate in the offer you receive before you accept the card.
The card may charge an annual fee, though many store cards do not. Check the terms in your offer letter to see whether there is a yearly cost. Even if there is no annual fee, late payment fees and returned payment fees explore if you miss a due date or a payment bounces.
Foreign transaction fees typically explore if you use the card outside the United States, though this is less relevant since the card only works at Michaels locations. The main fees to watch for are late fees (usually $25 to $40 for the first late payment, higher for subsequent ones) and over-limit fees if your card issuer allows you to exceed your credit limit.
How to decide if you should open this card
Start by checking your credit score. Store cards usually require a credit score of 600 or higher, though some issuers approve scores in the 550 to 600 range. You can check your score free through annualcreditreport.com or through your bank's website. If your score is below 600, you may be denied, or you may receive a higher interest rate.
Next, estimate how much you will actually spend at Michaels in the next year. If you spend less than $500 annually, the rewards will not offset the risk of accidentally carrying a balance or missing a promotional financing important date. If you spend $1,000 or more per year and always pay in full, the rewards start to add real value.
Compare this card to a general-purpose rewards card you may already have. Many cash-back cards earn 1% to 2% back on all purchases, with no annual fee and lower interest rates. If you can earn similar rewards with a card that works everywhere, that card is usually the better choice. The Michaels card is worth opening only if the Michaels-specific rewards or promotional financing offers something you cannot get elsewhere.
What happens to your credit when you open the card
explore for the card triggers a hard inquiry on your credit report, which temporarily lowers your credit score by a few points. This inquiry stays on your report for about two years but stops affecting your score after roughly six months. If you are planning to explore for a mortgage or car loan in the next few months, opening a store card now could slightly reduce your approval odds or increase your interest rate.
Once you open the card, it becomes part of your credit mix and your available credit. If you keep the balance at zero and make payments on time, the card will help your credit score over time. If you carry a balance or miss payments, it will hurt your score. The card reports to all three credit bureaus (Equifax, Experian, and TransUnion), so your payment history shows up on your full credit report.
Closing the card later will reduce your available credit and may lower your score slightly, especially if you have other cards with balances. If you open the card and decide you do not want it, you can close it, but it is usually better to keep it open with a zero balance if you have no annual fee.
Frequently Asked Questions
Can I use the Michaels card anywhere other than Michaels?
No. The Michaels card works only at Michaels stores and michaels.com. It does not work at other retailers, even those owned by the same parent company. If you need a card for everyday purchases, you need a separate general-purpose credit card.
What is the difference between the regular Michaels card and any premium version?
Michaels may offer different card versions with different rewards rates or benefits. Check the current offers on michaels.com or ask in-store, because the available options and their terms change. Compare the rewards rate, any annual fee, and promotional financing offers to see which version fits your spending.
What happens if I do not pay off a promotional financing balance by the important date?
Synchrony charges you deferred interest on the entire original purchase amount, calculated from the purchase date, not from the important date. This can add hundreds of dollars to what you owe. Set a calendar reminder for the final payment date and confirm the exact amount due before the important date arrives.
Can I use the card if my credit score is below 600?
You may be denied, or you may receive an offer with a higher interest rate. Synchrony reviews each process individually. If you are denied, you can reapply after six months or after improving your credit score by paying down other debts or correcting errors on your credit report.
Does opening this card hurt my credit score?
The process triggers a hard inquiry that temporarily lowers your score by a few points. Once the card is open, it helps your score if you pay on time and keep the balance low. The temporary dip from the inquiry usually recovers within a few months.