There is a lot of demand for a thorough IKEA credit card review, so here it is! A summary of everything you need to know about an IKEA credit card, including how it compares to cards from rival retailers like Lowe’s and The Home Depot.
In 2020, there will be more than $4.68 trillion in transactions processed through Visa in the United States.
Rewards are Simple to Get
IKEA, which is well known for its customer service, has also made an effort to add hospitality to its credit card by developing a feature that makes it simple to accrue points. IKEA, Taemand, and TaskRabbit purchases will all earn cardholders 5% back in rewards per dollar spent, among other lucrative benefits.
The advantages don’t stop there. Additionally, you can receive 3% back in incentives for spending money on things like groceries, utilities, and dining out—things we typically take for granted anyhow. A normal 1% back on all other purchases made with this card is offered in the final bucket. Giving you a great chance to accumulate points that will enable your home’s interior designer to save money.
Valid only at IKEA
It’s interesting that IKEA customers can accumulate points, but it’s important to keep in mind that these points can only be used at IKEA. The way the system operates is that you can either have certificates mailed to you or choose to access “Reward Dollars” online, just like you would with any other charge card. You receive IKEA gift cards by mail in $15 increments at a time.
The only drawback is that the Reward Dollars you accrue expire 36 months after they are posted to your account and that these certificates expire 45 days after the day they were issued. Meaning that you are under some sales pressure to close a deal.
IKEA Projekt vs. IKEA Visa Credit Cards
The IKEA Projekt credit card and the IKEA Visa card differ significantly in one important way.
The unique financing that is offered to new card members is the main factor that influences people’s decisions to use an IKEA Projekt Credit Card. Renovating a home, apartment, or condo is typically the first thing someone does after buying one.
Depending on the size of your purchase, there are three buckets you may be put into with the IKEA Projekt credit card to get 0% interest for 6, 12, or 24 months. The purchase APR will rise to a maximum of 21.99% after the introductory 0% APR term has elapsed.
The IKEA Visa Credit Card is less appealing than its rival because it DOES NOT provide any exclusive financing for IKEA purchases.
Both will also be automatically signed up for the free IKEA Family program, which allows members to get offers for discounts of 15%.
In summary, the IKEA Projekt Credit Card is a pretty practical option for IKEA purchases you’d normally be required to pay in full at once because it has no annual charge.
Ikea Credit Card Acceptance Chances
According to numerous sources, the IKEA Visa requires a credit score of 670 or above for the highest likelihood of approval.
This card has many common features, such as a balance transfer fee of $10 or 5% of the transaction (whichever is larger), late payment penalties of up to $37 for IKEA credit card payments, and an APR as high as 23.99%.
Visit Experian.com or CreditKarma.com to simply find your credit score for nothing and without having any impact on it.
No yearly fee and decent annual rewards value
In the end, this card is reasonable for the benefits it offers if you are the sort that might spend a few thousand dollars on furniture one year.
The IKEA Projekt Card, in contrast, is perhaps a much better option because it can be used for the same purposes as this Visa and has a lower promotional APR.
The following are the IKEA Visa credit card fees:
- Purchase APR: 21.99%
- Balance Transfer APR: 26.99%
- Balance Transfer Fee: $10 or 5%, whichever is greater
- Annual Fee: $0
If you desire IKEA goods but don’t particularly like having a revolving balance, the IKEA Visa Card is reasonably priced and valuable. Given that the special APR of up to 24 months at 0% interest is so alluring, an IKEA Projekt card may offer the best value for your card if you’re more comfortable carrying a load. Online IKEA credit card management is simple. For easy bill payment, statement viewing, and other functions, just log in with your IKEA credit card.
Numerous cash-back credit cards may, in contrast, be a far better overall choice.