I just went to our local Target last week to inquire about the 5% discount on the Disney gifts cards & the Customer Service Staff was emphatic that you DO NOT get 5% off the Disney Cards even when purchased on your Target Card. I was going to buy the cards on my charge & then just pay it off with cash at the CS Desk but since there's not a discount doesn't seem worth it. I know I've purchased other gift cards there & the 5% discount wasn't applied to them.
I bought over 80 gift cards at Target and got the 5%, so customer service must have been wrong. It saved us a few hundred dollars on the trip!