 used prominently," PwC said in a note in August.
According to the note, this growth is accelerated by various products and services being offered by financial institutions, and such products are being increasingly used by customers, especially the millennial population.
On 29 September, India’s largest credit card issuer, HDFC Bank, announced the revamp of three of its existing cards to offer more to customers as it looks to regain lost market share in the next three to four quarters.
The bank had lost ground owing to an embargo by the Reserve Bank following glitches in its e-banking services.
Just about a month since the ban was lifted, HDFC Bank issued over 400,000 credit cards till 21 September.
“I think more responsible financial institutions coming into the credit card space is welcome as it will help grow the market. Like I said earlier, a whole new set of customers is coming in, like the millennials and people who are newcomers to the workforce but are digital-savvy customers, and are a strong target segment for cards," said Parag Rao, group head for payments, consumer finance, digital banking and IT, HDFC Bank.
The enthusiasm on the part of banks also comes at a time when buy now-pay later (BNPL) products have caught the fancy of many customers, especially the youth.
BNPL essentially offers around 15 days of interest-free funds to small borrowers.
I use Target app often to make purchases for drive-up/online/in-store pickups, but then encountered the Target card verification issue when tried to use my Target wallet to pay at the cashier and I don’t carry my red card or the account info with me while I was at the store during checkout. Later, back at home entered the correct info for the Target card verification, but result as invalid or error, then I clicked forgot password & entered the email and/or phone #, but never received the reset password link or vice versa. Then called Target service for help, got transferred to 3~5+ (sorry lost count) different staffs, at the end none of them could resolve this issue. Tried updating the app couple times before deleting the app and download it again => FAILED. Then deleted Target app and download/install it, but then same thing asking for card verification, but this time it’s asking for enabling cookies to sign in which I did enable it as well, so as of today 7/28 still couldn’t use my Target app. Next week is going to be a month anniversary that I’m unable to use the Target app to placing orders for drive-up/online/in-store. P.S. I could log into my account with same info on Target website without any issues, but I like to use the app for drive-up & in-stores pick up. Hopefully someone could fix this issue ASAP!!! Or does anyone know what’s wrong with the Target App? Or else, won’t be shopping at Target.
Debit cards: they’re not just for banks anymore.
The Target REDcard Debit Card is a great example of a debit card that doesn’t require users to throw in their lot with any particular bank. As long as you have an account with an FDIC-insured, U.S.-based bank, you can set up your REDcard Debit Card to draw funds directly from that account to cover purchases made at Target stores and Target.com.
With 5% off on most online and in-store Target purchases and free two-day shipping on most Target.com purchases, the Target REDcard Debit Card is a potentially lucrative spending aid for frequent Target shoppers. It has some other benefits that bear mention, too – so let’s take a closer look at this card’s features, advantages, drawbacks, and overall suitability.
Outside these restricted categories, the 5% discount is functionally unlimited. Bear in mind that split payments only earn the discount on the portion applied to your REDcard. For instance, if you split a $100 order 50/50 between your REDcard and a cash back credit card, your discount will be $2.50 – 5% of $50.
Remember: REDcard doesn’t work at non-Target vendors.
The Target REDcard Debit Card’s other noteworthy benefits include.
Free Standard 2-Day Shipping: When you pay for orders from Target.com with your REDcard, you get free standard 2-day shipping to the United States (including Puerto Rico and APO/FPO addresses). Expedited shipping is subject to shipping fees.
Extended Return Windows: On most merchandise, you’ll have 30 extra days to return purchased items after the regular return window expires. Key exclusions include all-sales-final items, Target Mobile purchases, and items with pre-determined return dates.
Target Subscription Savings: You’ll get another 5% off (10% off in total, including the REDcard discount) when you subscribe to receive select essentials on a recurring basis.
Clearance and Top Deals Savings: Clearance-marked items and weekly Top Deals items are also subject to a bonus 5% off.
Specialty Gift Cards: Specialty gift cards not excluded from the 5% REDcard discount earn bonus 5% off, for a total discount of 10%. If you’re not sure which gift cards qualify, check the fine print at Target.com or ask a sales associate in-store.
Cartwheel: Cartwheel purchases qualify for up to 50% savings, plus the standard 5% REDcard discount.
This card has no annual fees or monthly maintenance fees. Check your cardholder agreement for less common fees and restrictions.
Expansive 5% Discount. Setting aside the important exceptions noted above and reiterated below, the Target REDcard Debit Card promises 5% off most in-store and Target.com purchases. That’s better than the average rate of return on all but the most generous rewards credit cards.
Free Two-day Shipping on Target.com Purchases. REDcard users qualify for free two-day shipping on Target.com purchases, subject to certain exceptions and restrictions. Expedited shipping still incurs a fee.
Extended Returns on Most Items. REDcard users also qualify for extended return windows on most Target purchases – 30 days more to decide whether they really need something.
Opportunities to Earn 5% Bonus Savings on SelectTransactions. Select types of REDcard spending earn 5% bonus savings, for a total savings of 10% off sticker price. This includes clearance-marked items, Top Deals items, subscription products, and specialty gift cards.
No Interest Charges or Long-term Debt. This is not a standard credit card. It’s not a retail store-issued credit card. It’s not a personal loan or line of credit. In fact, it’s not a credit product at all, which means no exposure to interest charges or risk of long-term debt.
No Credit Check Required. As long as you have a valid checking account and can prove your identity, you’re likely to qualify for a REDcard Debit Card. There’s no credit check required.
No Regular Fees. This card doesn’t have an annual fee or monthly maintenance fee. As long as you use the card as intended and keep your linked bank account open, you’re unlikely to ever incur a fee with use.
Seamless Application. It’s super-easy to apply for the Target REDcard Debit Card. You can apply in-store at checkout or online at your convenience – you’ll just need to provide your bank account details and some basic demographic information to get started.
Important Exceptions to the 5% Discount Rule. The 5% REDcard discount isn’t quite universal. Notable exceptions include restaurants (except Starbucks) inside Target stores, prescriptions and clinic services at Target pharmacies, Target gift cards and prepaid cards, and gift wrap.
Doesn’t Work Outside Target. The Target REDcard Debit Card isn’t part of a payment processing network such as Visa or Mastercard, so it’s only eligible for use at Target stores and at Target.com. This is a major drawback for applicants hoping to replace their bank-issued debit card entirely.
No Way to Carry a Balance from Month to Month. While it’s best to pay off credit card balances in full by your statement due date, carrying a balance is sometimes unavoidable or (in rarer cases) even advisable. You can’t do that with this debit card. If you qualify, the Target REDcard Credit Card does allow carried balances.
Doesn’t Build Credit. On the bright side, you don’t need to submit to a credit check (which can temporarily depress your credit score) when you apply for this card. On the other hand, this card won’t build your credit or improve your credit score.
Target doesn’t have a monopoly on non-bank debit cards. Reloadable prepaid debit cards are taking the country by storm, offering low fees, flexible load options, and sensible budgeting tools for consumers who’d rather not deal with traditional bank accounts. Most belong to major payment networks like Visa, Mastercard, and American Express, so their use isn’t restricted to a single retail ecosystem a la the REDcard Debit Card.
Of course, reloadable prepaid debit cards can’t compete with the REDcard Debit Card on the most important metric of all: card rewards, or store discounts in this case. If you’re a frequent Target customer looking to trim your monthly shopping bill, it’s hard to argue with 5% off (nearly) across the board.
Do you have a Target REDcard Debit Card? Are you thinking