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- T.J. Maxx Credit Card Review
T.J. Maxx Credit Card Review: Great for Shoppers but Lacking Elsewhere
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If you're a fashionista on a budget (or if you just have a lot of kids to clothe), the T.J. Maxx credit cards might have piqued your interest. There are two of them -- the TJX Rewards® Platinum Mastercard® that can be used anywhere, and the TJX Rewards® Credit Card that can only be used in-store.
Since they don't carry an annual fee, you may think there's no harm in applying for either card -- it's essentially free rewards, right? That's largely true, but as you'll see in our T.J. Maxx credit card review, for most people these cards are a bit more of a tired tchotchke than a shiny bargain. If you're good at scoping out deals on your wardrobe, it's likely you can find better deals for your wallet as well.
Full T.J. Maxx Credit Cards review
Top perks
Good earnings rate for TJX brand purchases: Each card will give you 5% back in TJX stores towards TJX Rewards Certificates. This is a pretty good rewards rate, on par with some of the highest cash back credit cards.
Use your card to earn rewards from multiple brands: The cards say "T.J. Maxx" on them, but you can also use them to buy things at Marshalls, HomeGoods, Sierra (formerly Sierra Trading Post), and Homesense stores. These are all great stores for people scouting out deals.
Automatic rewards redemptions: These cards have one of the easier rewards redemption options we've seen. Instead of fussing with external accounts or debit cards, you'll simply get a Rewards Certificate in the mail with your statement when you've accumulated enough points. These are sent out automatically in $10 or $20 amounts, so if you don't have enough points they'll roll over until you do.
No annual fee: These cards don't come with an annual fee. Which is a good thing, considering there's a pretty long list of drawbacks.
What could be improved
Application process: There's only one application for both cards. You don't get to choose which one to apply for -- you fill out the form and see which one they decide to offer you, if any. If you're hoping for the higher-end TJX Rewards® Platinum Mastercard® and all you get offered is the TJX Rewards® Credit Card, for example, you've just added another credit inquiry to your report and potentially dinged your credit score for nothing.
Poor earnings rate on non-TJX spending: Speaking of the differences between these cards, you can only use the TJX Rewards® Credit Card at TJX stores and nowhere else. You can, however, use the TJX Rewards® Platinum Mastercard® elsewhere, but you'd be better off avoiding it if you have better rewards card options. That's because it only earns 1 point per dollar spent on non-TJX purchases.
Limited rewards use: We hope you like these brands, because you can't use your Rewards Certificates for anything else. You can't get cash back or gift cards -- just discounts on T.J. Maxx brands, and that's it.
Rewards Certificates expire: It's nice that the company sends out your rewards automatically. But that also means you have to actually use the rewards on a regular basis, because each Rewards Certificate has a two-year expiration date. In other words, you can't save up your rewards and then redeem them on a mega shopping spree.
High interest rate: We recommend avoiding this card entirely if you think you might carry any balance at all. If you pay off your balance each month you won't have to pay any interest. But if you don't, you'll have to pay a sky-high interest rate. If you need to finance your clothes or other purchases, choose a credit card with a lower interest rate or better yet, one with a 0% intro APR offer.
No 0% intro APR offer: Speaking of zero-interest offers, these cards don't have any of them. It's pretty standard for retail credit cards to offer you some sort of discount financing after you open the card, but this one doesn't. It's yet another reason to never carry a balance on this card.
Lackluster perks: It's also fairly common for retail cards to offer a jackpot sign-up bonus, fancy perks, or other nice touches to entice you. Don't get us wrong, the T.J. Maxx cards do offer perks -- they're just not as shiny as we would expect. The only extras you get are a 10% discount on your first purchase after you sign up and access to "exclusive private shopping events," whatever those are. We think T.J. Maxx could do much better.
Suggested credit score
You'll want fair to good credit -- a score of at least 620 -- to have a chance at approval for these credit cards. A higher score of at least 670 will significantly increase your odds of approval.
Remember that a high score isn't a guarantee of approval, and a low score doesn't always mean you'll be denied. Other factors, such as your income, existing debts, and credit history will be taken into consideration.
Alternatives to consider
- If you want a better all around card: The Chase Freedom Unlimited® will offer most cardholders more cash back with its unlimited 1.5% back program. What's more, the card includes a big sign up bonus and a long 0% intro APR offer.
- If you want to earn cash back while paying off debt: The Discover it® Cash Back card offers up to 5% cash back in rotating quarterly categories you activate. Better yet if you're in debt, it comes with a 14-month 0% intro APR offer to help you pay it off.
As of Nov. 25, 2020
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| Chase Freedom Unlimited® | Discover it® Cash Back |
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Rating image, 5.0 out of 5 stars.
5.0 stars
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. |
Rating image, 5.0 out of 5 stars.
5.0 stars
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. |
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On Chase's Secure Website. |
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On Discover's Secure Website. |
| Read Full Review | Read Full Review |
| Rates & Fees | |
| Bonus: $200 after spending $500 within 3 months | Bonus: Dollar-for-dollar match of all cash back earned the first year |
| Rewards Program: Unlimited 1.5% cash back, 5% cash back at grocery stores in the first year ($12,000 spending cap), no minimum redemption | Rewards Program: Cash back on everyday purchases at different places each quarter like grocery stores, restaurants, gas stations, select rideshares and online shopping, up to the quarterly maximum when you activate. Unlimited cash back on all other purchases - automatically |
| Intro APR: Purchases: 0%, 15 months Balance Transfers: N/A | Intro APR: Purchases: 0%, 14 months Balance Transfers: 0%, 14 months |
| Regular APR: 14.99% - 23.74% Variable | Regular APR: 11.99% - 22.99% Variable APR |
| Annual Fee: $0 | Annual Fee: $0 |
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On Chase's Secure Website. |
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This credit card is right for you if:
If you're a frequent shopper at T.J. Maxx or one of the other store brands under the TJX umbrella, you're unlikely to find a traditional credit card product that matches the high rewards rate on purchases at TJX stores, unless it's part of a limited-time rotating bonus category.
While you could use the TJX Rewards® Platinum Mastercard® outside the TJX family of stores, frankly, the rewards rate on other purchases doesn't quite measure up to many other cash back and travel rewards credit cards on the market. And don't forget that it has an extremely high APR.
These credit cards are only really useful only at TJX stores and websites. And only if you plan to pay off your balance in full each month because otherwise any cash back you get will be more than wiped out by interest charges. If you're not a frequent shopper at TJX stores, or you plan to carry a balance, you're probably better off looking at a traditional credit card.
About the Author
Lindsay VanSomeren has been working as a personal finance writer and expert since 2015. Her work has appeared on Business Insider, Credit Karma, LendingTree, Northwestern Mutual, and The Balance, among other publications. She is passionate about making personal finance accessible to everyone by delivering straight talk about financial products. She has a bachelor's degree and a master's degree from the University of Alaska Fairbanks.
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