Old Navy Credit Card Review: Are the Rewards Worth It?

Old Navy and its sister brands (Athleta, Banana Republic, and the Gap) are wildly popular, and it’s no surprise why. Where else can you get a whole wardrobe for less than $200? Offering clothes for the whole family, Old Navy makes sense for both budget and fashion-conscious shoppers.

If you’re a frequent Old Navy shopper, you’ve likely been offered the Old Navy credit card at check out. Depending on your habits, the card could be a worthwhile choice.

Old Navy Card vs. Old Navy Visa Card

When you apply for an Old Navy credit card, you’re automatically considered for two different cards: The Old Navy Card and the Old Navy Visa® Card. If you have good credit, you may qualify for the Old Navy Visa Card, which can be used anywhere a Visa card is accepted. If your credit is less-than-stellar, you will likely only qualify for the Old Navy Visa card, which can only be used at Old Navy and its sister brands.

Rewards

With either Old Navy card, you’ll earn five reward points for every $1 spent at Old Navy and its sister brands. If you qualify for the Old Navy Visa card, you’ll also earn one point per $1 spent on all other purchases. Once you earn 500 points, you’ll earn a $5 bonus.

To put those numbers into perspective, consider that you can buy a dress at Old Navy for about $40. To pay for that dress solely with rewards, you’d need 4,000 points. That means you’d have to spend at least $800 at Old Navy and its sister brands or $4,000 on all other purchases. That’s a significant amount to earn a relatively small reward.

Benefits

The Old Navy Card and Old Navy Visa Card offer very few benefits. However, if you’re an Old Navy devotee, you could qualify for the Navyist program. If you earn 5,000 points a year, you can qualify for the program and access special perks, including:

• 20% extra rewards points every three months
• Free shipping
• Free basic alterations at Banana Republic

Terms & Fees

The Old Navy credit cards are similar to other retail credit cards, meaning it has a higher APR than you may be used to seeing. If you carry a balance, that high interest rate could cause your debt to balloon out of control. If you do opt to sign up for the card, make sure you pay off your balance in full each month to avoid paying costly interest fees.

Alternatives to the Old Navy Credit Card

If you want to earn rewards on your purchases, but don’t shop at Old Navy often enough to make its rewards pay off, consider signing up for a general rewards credit card, instead.

For example, the Chase Freedom Unlimited® card offers Unlimited Matched Cash Back. Use your card for all your purchases and at the end of your first year, Chase will automatically match all the cash back you earned! There is no limit to how much you can earn. Every dollar in cash back rewards you earn is a dollar Chase will match.

The Chase Freedom Unlimited® card offers valuable benefits in addition to its rewards, too. For example, if you had high-interest credit card debt, you could complete a balance transfer and get 0% intro APR for 15 months from account opening. After that, a variable APR of 20.49% - 29.24% applies. Completing a balance transfer could help you save money and pay off your debt ahead of schedule.

You’d also qualify for other benefits like Zero Liability Protection, Purchase Protection, and Extended Warranty. For more information, check out our review of the Chase Freedom Unlimited® Card.

The Bottom Line

While the Old Navy credit cards may sound tempting at the register, think twice before submitting your application. Unless you spend thousands each year at Old Navy and its sister brands, you’re unlikely to see much value from the card. And, with the card’s high interest rates, you could end up paying more in interest charges.

Instead, look for a rewards credit card that offers cash back on all of the purchases you make. You can see our favorite rewards credit cards here.