What the Kohl's Credit Card is and who should consider it

The Kohl's Credit Card is a store card issued by Kohl's Department Stores and managed by Synchrony Bank. It works like most store cards: you use it to buy things at Kohl's and Kohl's.com, you get rewards on those purchases, and you pay a monthly bill. The card has no annual fee.

The main reason people get this card is the rewards program. You earn Kohl's Cash — a form of store credit — on every purchase. The card also gives you early access to Kohl's sales and special discounts on certain shopping days. If you shop at Kohl's regularly and want to maximize what you spend there, this card can make sense. If you rarely shop at Kohl's or prefer to use a general rewards card that works everywhere, a different card will probably serve you better.

This card is not a Visa or Mastercard, so you can only use it at Kohl's locations and on their website. You cannot use it at other stores or restaurants.

Key Takeaways

  • The Kohl's Credit Card earns Kohl's Cash rewards on purchases, which you can spend on anything at Kohl's with no expiration date.
  • The card comes with no annual fee and offers early access to sales, but it only works at Kohl's, not at other retailers.
  • You need a credit score in the fair to good range to be considered, though Synchrony Bank does not publish exact minimum scores.
  • Interest rates on this card tend to be higher than rates on general rewards cards, so carrying a balance costs more money.
  • Your monthly bill is due on a set date each month, and you can pay online, by phone, or by mail through Synchrony Bank.

How Kohl's Cash rewards work and when you can use them

Every time you use the Kohl's Credit Card to buy something at Kohl's, you earn Kohl's Cash. The earning rate varies depending on what you buy and what promotions are running. During regular shopping, you typically earn $10 in Kohl's Cash for every $50 you spend, which equals 2 percent back. During special promotional periods — often around holidays or major sales events — the earning rate goes up, sometimes to 3 or 4 percent.

Kohl's Cash appears in your account as a credit that you can use on future purchases. Unlike some rewards programs, Kohl's Cash does not expire, so you can save it up and use it whenever you want. You can combine Kohl's Cash with other Kohl's discounts and sales, which means you can stack rewards on top of sale prices.

The card also gives you access to special shopping events. Cardholders get early notice of sales and sometimes receive exclusive discount codes. On certain days — often the first Friday of the month — cardholders get an extra discount on top of whatever sale is running.

What credit score you need and how the process works

Synchrony Bank, which issues the Kohl's Credit Card, does not publish a minimum credit score requirement. However, most people who are approved have a credit score of 620 or higher. If your score is below 620, approval is less likely but not impossible. If your score is above 700, approval is usually straightforward.

You can start an process online at Kohl's.com, in a Kohl's store, or by phone. The online process takes about five minutes and asks for your name, address, Social Security number, income, and employment information. Synchrony Bank will pull your credit report to make a decision, which happens within a few minutes to a few hours.

If you are approved, you can use the card when ready in-store or online. If you are denied, Synchrony will send you a letter explaining the reason. You can contact Synchrony to ask for details or to dispute information on your credit report if you believe something is wrong.

Interest rates, fees, and the cost of carrying a balance

The Kohl's Credit Card has no annual fee, which is one of its advantages. However, the interest rate — called the Annual Percentage Rate or APR — is typically between 19 and 26 percent, depending on your credit score and current market conditions. This is higher than the average APR on general rewards cards, which often range from 15 to 22 percent.

If you carry a balance from month to month, interest charges add up quickly. For example, if you have a $1,000 balance and the APR is 22 percent, you will pay about $18 in interest that month alone. Over a year, that becomes $220 in interest on top of what you owe. The best way to avoid this cost is to pay your full balance each month.

The card does not charge late fees, over-limit fees, or foreign transaction fees because it only works in the United States. However, if you miss a payment, Synchrony will report it to the credit bureaus, which will hurt your credit score.

How to manage your account and make payments

Once you have the card, you can manage your account through Synchrony's website or mobile app. You can view your balance, see your rewards, make payments, and set up automatic payments. Your monthly statement will show your purchases, your Kohl's Cash earned, your balance, and your minimum payment due.

Your payment is due on a set date each month — usually the same day each month. You can pay online through Synchrony's website, by phone at the number on the back of your card, or by mailing a check. If you set up automatic payments, Synchrony will deduct the amount you choose on your due date each month. You can choose to pay the full balance, the minimum payment, or a fixed amount in between.

Paying more than the minimum is always better for your credit score and your wallet. The minimum payment is usually 1 to 3 percent of your balance, which means paying only the minimum will take years to pay off and cost you a lot in interest.

How the Kohl's Credit Card affects your credit score

Using the Kohl's Credit Card can help or hurt your credit score depending on how you use it. If you pay on time every month and keep your balance low compared to your credit limit, the card will help your score over time. Payment history makes up 35 percent of your credit score, so a clean payment record matters.

If you carry a high balance relative to your credit limit, your credit score will drop. Credit bureaus look at your credit utilization ratio — the amount you owe divided by your total credit limit. Keeping this below 30 percent is ideal. If your Kohl's card has a $2,000 limit and you carry a $1,500 balance, your utilization is 75 percent, which hurts your score.

When you first open the card, a hard inquiry appears on your credit report, which temporarily lowers your score by a few points. This effect fades within a few months. Opening a new card also lowers your average account age, which is another small factor in your score. These effects are temporary and usually outweighed by the benefits of responsible use.

Comparing the Kohl's card to other store cards and general rewards cards

The Kohl's Credit Card is one of many store cards available. Other department stores like Target, Macy's, and Walmart offer their own cards with similar structures: no annual fee, rewards you can use at that store, and higher interest rates than general cards. The main difference between them is the earning rate and the frequency of sales at each store.

A general rewards card — like a Visa or Mastercard that earns cash back or points — works everywhere and usually has a lower interest rate. However, general cards often charge an annual fee, and the rewards rate is usually lower (1 to 2 percent) unless you spend a lot. If you shop at Kohl's once or twice a year, a general card is probably better. If you shop at Kohl's multiple times a month, the Kohl's card's higher earning rate may make up for the higher interest rate.

The best choice depends on your shopping habits. If you spend $3,000 or more per year at Kohl's and pay your balance in full each month, the Kohl's card's rewards will likely save you money. If you carry a balance or shop at Kohl's less often, a general rewards card or paying with cash or debit is probably smarter.

Frequently Asked Questions

Can I use the Kohl's Credit Card outside of Kohl's?

No. The Kohl's Credit Card only works at Kohl's stores and on Kohl's.com. It is not a Visa or Mastercard, so you cannot use it at other retailers, restaurants, or gas stations. If you need a card that works everywhere, you would need a different card.

What happens if I miss a payment?

If you miss a payment, Synchrony Bank will report it to the credit bureaus after 30 days, which will lower your credit score. Synchrony may also contact you by phone or mail to collect the payment. Continued missed payments can lead to your account being closed and sent to a collection agency.

Can I transfer my Kohl's Cash to another person or use it online?

Kohl's Cash is tied to your account and cannot be transferred to someone else. However, you can use it online at Kohl's.com the same way you use it in-store. You straightforward enter your card number at checkout, and the Kohl's Cash is applied to your purchase.

What is the credit limit on the Kohl's Credit Card?

Synchrony Bank decides your credit limit based on your credit score, income, and credit history. First-time cardholders often receive limits between $300 and $2,500. You can request a higher limit after you have had the card for a few months and have made on-time payments.

Do I earn Kohl's Cash on everything I buy with the card?

You earn Kohl's Cash on most purchases, but some items may be excluded, such as gift cards or certain services. The earning rate also changes during promotional periods. Check your statement or ask in-store if you are unsure whether a specific purchase earned rewards.