What the Shop Your Way Credit Card Is
The Shop Your Way credit card is a store card issued by Synchrony Bank that you can use at Sears, Kmart, and other retailers in the Transformco family. It works like any other credit card — you charge purchases, receive a bill, and pay it back over time or in full. The card comes with rewards tied to shopping at those stores, but it also carries an interest rate and annual fees that you need to understand before you open an account.
This is not a general-purpose card you can use everywhere. It is designed for people who shop regularly at Sears or Kmart and want to earn rewards on those purchases. If you rarely visit these stores, the card's benefits probably will not outweigh its costs.
Key Takeaways
- The Shop Your Way card charges interest on balances you do not pay in full each month, with rates that vary based on your credit history.
- You earn Shop Your Way points on purchases at Sears, Kmart, and partner retailers, but the card may carry an annual fee depending on the version you hold.
- The card's rewards are only valuable if you shop at these stores regularly enough to offset any fees and interest charges.
- Carrying a balance on this card costs significantly more than paying it off monthly, because the interest rate is typically higher than general-purpose credit cards.
How Rewards and Points Work on This Card
When you use the Shop Your Way card at Sears, Kmart, or participating partner retailers, you earn points on your purchase. The exact earning rate depends on which version of the card you hold and which store you are shopping at. Sears and Kmart typically offer higher point rates than partner retailers.
Points accumulate in your Shop Your Way account and can be redeemed for discounts on future purchases at participating stores. You can also use points toward special member-only sales events. The value of each point varies — sometimes Synchrony runs promotions where points are worth more, and sometimes less. This means the real value of your rewards depends on when and how you redeem them.
Points do not expire as long as your account remains open and active, but if your account is closed for inactivity or default, you may lose any points you have not redeemed. Check your account regularly and redeem points before they become at risk.
Interest Rates and What You Pay If You Carry a Balance
The Shop Your Way card charges interest on any balance you do not pay in full by the due date. The interest rate — called the Annual Percentage Rate, or APR — varies based on your credit score and credit history. Synchrony will tell you the specific rate when you open the account, but typical rates for store cards range from 16% to 24% APR.
If you carry a $1,000 balance at 20% APR and make only minimum payments, you will pay hundreds of dollars in interest before the balance is gone. This is why store cards are most useful for people who pay their full balance every month. If you cannot pay in full, the rewards you earn will be wiped out by interest charges within a few months.
Synchrony occasionally offers promotional periods with 0% APR for a set number of months on new purchases or balance transfers. These offers are temporary and explore only to balances you incur during the promotional window. Once the promotion ends, the regular APR kicks in on any remaining balance.
Annual Fees and Other Costs
Some versions of the Shop Your Way card carry an annual fee, while others do not. The fee amount and whether it applies depends on which specific card product you are offered. Before you open an account, ask Synchrony directly whether the card you are considering has an annual fee and what it is.
Even if there is no annual fee, you may face other charges: a late payment fee if you miss a due date, a returned payment fee if a check or automatic payment bounces, and a cash advance fee if you withdraw cash using the card. These fees add up quickly if you miss payments or use the card for cash advances.
When This Card Makes Financial Sense
The Shop Your Way card is worth considering only if you meet specific conditions. You should shop at Sears, Kmart, or their partner retailers regularly — at least several times per year. You must be able to pay your full balance every month to avoid interest charges that will erase your rewards. And you need to track your points and redeem them before they are at risk.
If you carry a balance month to month, the card costs you money rather than saving it. If you shop at these stores only occasionally, the rewards will not accumulate fast enough to matter. If you forget to pay on time, late fees and interest will quickly exceed any points you earn.
For people who meet all these conditions, the card can provide modest value. For everyone else, a general-purpose rewards card with a lower interest rate and no annual fee is a better choice.
How to Compare This Card to Other Options
Before opening the Shop Your Way card, compare it to other cards you might use instead. Look at the interest rate you would receive on each card — store cards typically charge more than general-purpose cards. Calculate how much you would earn in rewards at each card over a year of your actual spending, then subtract any annual fees and the cost of interest if you carry a balance.
A general-purpose card that earns 1.5% cash back on all purchases might seem less generous than a store card that earns 5 points per dollar at Sears. But if the store card charges 20% interest and you occasionally carry a balance, or if you only shop there three times a year, the general-purpose card will cost you less money overall.
Use an online calculator to estimate the true cost of carrying a balance on each card. Many credit card issuers provide calculators on their websites that show how long it takes to pay off a balance and how much interest you will pay. This real-world comparison is more useful than comparing reward rates alone.
What Happens If You Miss a Payment
If you miss a payment on the Shop Your Way card, Synchrony will charge you a late fee and report the missed payment to the credit bureaus. A single late payment can lower your credit score by 50 to 100 points, depending on how late the payment is and your overall credit history. The damage to your score can last for years.
If you miss payments repeatedly, Synchrony may close your account and send your debt to a collection agency. This makes it much harder to borrow money in the future and can affect your ability to rent an apartment or get a job in some fields.
If you are having trouble making payments, contact Synchrony before you miss a due date. They may be able to work with you on a payment plan or temporarily lower your interest rate. Calling ahead is always better than letting a payment slide.
Frequently Asked Questions
Can I use the Shop Your Way card outside of Sears and Kmart?
The card can be used at partner retailers that accept it, but not everywhere. It is not a Visa or Mastercard, so you cannot use it at most other stores. If you need a card for general shopping, you will need a separate card.
What is the difference between Shop Your Way points and cash back?
Points are store credit that you redeem at specific retailers, while cash back is actual money deposited to your bank account or credited to your card. Points are only valuable if you shop at the stores where you can redeem them. Cash back is more flexible because you can use it anywhere.
Do I lose my points if I close the account?
Points may be lost if you close your account, depending on Synchrony's current policy. Check your cardholder agreement or call Synchrony to confirm what happens to your points if you close the account. If you have accumulated points, redeem them before closing.
What credit score do I need to open this card?
Synchrony does not publish a minimum credit score requirement, but store cards typically accept people with fair to good credit. If your score is below 650, you may be denied. The only way to know is to submit an process and see what Synchrony decides.
Is the Shop Your Way card better than a cash back card?
It depends on your spending. If you shop at Sears or Kmart regularly and pay your balance in full every month, the Shop Your Way card may earn you more rewards. If you shop there rarely or carry a balance, a general-purpose cash back card will cost you less money overall.