You do not get the 5% off if you pay with a Target gift card, since you're not charging that amount. You also don't get the 5% off of the item that comes with a gift card for the amount of the gift card. For example, I bought 4 x $50 gift cards with the $10 gift card offer from Target. My cost with the 5% discount would have been $190, but it was actually $192 because of the 4 x $10 cards I received as a bonus, so no 5% off the $40, or $2.
I love Target, I really do, but I hate the Target credit policies. I applied for my Target card just after I'd moved and gotten a new job (new address, new job, high balances on other cards are all negatives for credit). Target set my credit limit at $1000, which was fair and was all I needed at the time. Also, there wasn't a Target close to my new home so I rarely went. Now I've moved again, and when I asked Target to up my credit limit they said no. Not because I don't have excellent credit, but because they don't take requests from the cardholder to increase the limit! Ever. The guy told me that if they think I need a higher limit, they will increase it but I can't ask. And, by the way he said, you don't come close to the limit very often so you don't need a higher limit. Wrong, I said. I don't come close to the limit because that's a negative on your credit score so I like to stay below 30% of the limit. I also pay it off every month so they aren't making any money on me. When I wanted 2 iPads this Christmas, I had to buy one, go home, wait 2 days for the charge to post, pay it online, wait one day for the payment to process and go buy the second one. I'm only going to do that for really good deals.
I would think that the debit card limits are set in the same way, and it will take a long time for the Target credit people to decide you need a bigger credit limit.
I've worked in consumer credit for years, and Target's policy is the worst I've ever seen. But I'll take the stinking 5%.
Nancy
