Home Depot’s credit card system offers many benefits for customers. But do they function as standard credit cards? Can I use my Home Depot Cards is a legitimate question asked by many.
No, you can’t use Home Depot cards everywhere since they are store credit cards. However, there are valid payment forms in any of the Home Depot shops, including an online store. Four types of these cards can be used for individual and business purchases. Each of them has different terms and conditions.
Find out more about how you can benefit from getting a Home Depot card, even though you can’t utilize it anywhere else.
Home Depot Card Can Be Used Only in Home Depot Stores
Home Depot cards are private label credit cards that can be used only for a purchase made in Home Depot store chains or on their website. Purchasing products from other stores such as Target, Walmart, and the like is not possible with it.
However, you’ll be able to shop in any Home Depot store or purchase through an online shop. If you need to rent tools and equipment, not buy them, these cards can also be used. However, remember that they can’t be valid forms of payment if you want to purchase a gift card.
How Does Home Depot Credit Card SystemFunction?
These cards work similarly to usual credit cards, which means they offer a line of credit that needs to be paid off in the future with a special interest rate. So, why would you opt for using them?
Home Depot sells home improvement products, and they don’t always come cheap. One of the solutions to that problem is getting a credit card to help you make your costly purchase. All you have to do is visit the website and apply for the one you want.
To get approved, you need to have at least a fair credit score (above 640). After the approval, it takes a couple of weeks for your new car to get to you. In the meantime, you can purchase with a temporary card issued in the Home Depot store or a unique code you got if you applied online.
Types of Home Depot Credit Cards
Currently, there are four types of cards that can be used for either individual or business purchases. Consumer Card and Project Loan are meant for individual customers, while Commercial Account and Commercial Revolving Card can be chosen for companies’ needs.
When it comes to commercial cards, your company may be young, and it may not have enough credit history. In that case, you can give a personal guarantee and get approved. However, then the whole payment liability will rest on you.
Take a look at the table below to learn the interest rates and possibly additional fees for these card types.
|Card Type||Consumer Credit Card||Project Loan||Commercial Account||Commercial Revolving Card|
|Interest rate||From 17.99% to 26.99%,|
based on the credit score of the customer
|From 4.42% to 19.96%, depending on the final number of monthly payments||No interest||No interest / 21.99% (it can be lower in some states, such as Georgia and North Carolina)|
|Late fee||Up to $40||Up to $40||Up to $35||Up to $40|
Key Benefits and Disadvantages of Using a Home Depot Card
Each of these cards has pros and cons, so let’s have a closer look at them:
- Consumer Card offers a promotional period where you’re entitled to 6 months zero financing for purchases that are higher than $299. Additionally, there will be special discount offers and extended financing during special promotions. However, if you don’t manage to meet the obligations until the agreed-upon date, you’ll be subjected to deferred interest – it will be charged retroactively.
- Project Loan implies that you can get a loan of up to $55,000, which you have to return in full in the future for nine and a half years (114 months). It’s an excellent deal when you want to start some expensive renovation, but ensure to pay the loan in full sooner rather than later. The bigger number of monthly payments means larger amounts paid over the original loan.
- Commercial Account is more of a charge card. Not paying an interest rate on purchases is the leading benefit of this card type. However, keep in mind that, with it, payments must be completed in full each month. Getting Pro Xtra membership is an added advantage.
- Commercial Revolving Cards hold plenty of the same benefits as Commercial Account. However, with it, you can choose whether you want to pay in full each month with no interest or make small monthly payments. Keep in mind that the company needs to have a good credit score in order to be approved for this card.
Will You Get Cash-Backs, Rewards, or Miles If You Use Some of the Home Depot Cards?
Customer cards are not reward-based. Rather than benefiting from earning points or miles, people opt for them because of the special financing system.
On the other hand, commercial cards offer Pro Xtra membership as a loyalty program for businesses. With it, you can get discounts on volume purchases, paint and fuel rewards, and other exclusive offers.
Which Bank Does Home Depot Use for Their Card System?
All Home Depot cards are issued by Citibank. When applying for a card, you’ll be automatically redirected to a Citibank application page (if you’re applying online). If you need to report your card has been stolen, add or remove authorized users, update profile information, you can do it all through your Citi account.
Why Use a Home Depot Card If You’re Limited When Buying, and Do You Need One?
Is it worth it getting a Home Depot card, considering you can only buy items sold at their stores? It all comes down to how much you plan on buying here.
Home Depot cards are made for customers who are highly involved in the home improvement process. If remodeling is your passion, you have a big DIY renovation task in the future, or you’re in a line of business that needs Home Depot products, these cards can be very useful.