Branded cards offer the best of both worlds — cash back for spending on specific brands and the credit card company’s conventional bonus categories. Capital One’s co-branded store cards are more attractive because of easy terms and lower fees than other issuers. So, what stores use Capital One for their branded credit cards? Keep reading to find out!
Our Favorite Capital One Card: Capital One Platinum Card
What Stores Use Capital One for Their Branded Credit Cards?
Several well-known stores use Capital One for their branded credit cards. These are:
- Walmart
- REI Co-op
- Pottery Barn
- William Sonoma
- Cabela’s CLUB
- BJ’s Wholesale Club
Since they use the Mastercard or Visa networks, you can earn cash back on purchases outside the co-branding stores with most of these cards. Remember to check the card’s spending options, though. Every store card does not offer this flexibility.
Another significant feature of these cards is that there’s no annual fee attached. But card users should make a note that they may incur high APRs if the monthly dues are not cleared.
Branded vs. Co-Branded Cards
When considering a store card from Capital One, you must know the difference between branded and co-branded cards. They might seem similar to conventional credit cards. However, they have different features.
Branded Cards
Branded cards are retail-specific and can usually be used only at the issuing store or website. With a branded card, you may enjoy perks like:
- Exclusive discounts – Get special deals that are only available to cardholders.
- Rewards programs – Earn points for purchases at the issuing retailer.
- Promotional financing – Access special financing deals for larger purchases.
Co-Branded Cards
Co-branded cards are a partnership between a retailer and an issuer like Capital One. We prefer them as they can be used anywhere the network (e.g., Visa, Mastercard) is accepted. They offer broad advantages such as:
- Rewards Flexibility – Earn rewards on all purchases, not just those at one retailer.
- Wider Acceptance – Use the card worldwide, anywhere the card network is accepted.
- Additional Perks – Card perks often include travel rewards, sign-up bonuses, and other network-wide benefits.
Store Cards by Capital One
The bank offers 11 co-branded cards to purchase from the collaborating stores.
- Capital One Walmart Rewards Mastercard – 5% cash back on purchases from Walmart.com. This includes pick up and delivery. Also, a 2% return on restaurant and travel purchases.
- REI Co-op Mastercard – Besides a 5% return on REI purchases, you earn an unlimited 1.5% return on every other purchase.
The Williams-Sonoma Inc. cards earn you a 5% cash back on purchases from the seven brands under their umbrella. Remember you cannot use these cards for purchases other than in the affiliated stores. They co-brand four cards with Capital One:
- Pottery Barn Key Rewards Visa
- Williams Sonoma Key Rewards Visa
- West Elm Key Rewards Visa
- The Key Rewards Visa
Moving on to other cards:
- Cabela’s CLUB Card – Earn 2% points on brand purchases along with 1% points on Mastercard-centered purchases.
- Bass Pro Shops CLUB Card – Earn 2% of CLUB points on purchases of Bass Pro and Cabela.
- Bass Pro Shops and Cabela’s CLUB Business Mastercard – Earn 1.5% CLUB points on Mastercard-acceptable purchases.
- BJ’s One Mastercard – BJ’s members earn 3% on BJ’s purchases plus a 1.5% return on Mastercard purchases. You also get a discount on gas.
- BJ’s One+ Mastercard – BJ’s members get a 5% discount on BJ’s stores and a 2% return everywhere else. You get per-gallon discounts on gas, too.
Benefits of Capital One Store Cards
Consumers prefer store-branded cards to gain more profits while shopping from their favorite outlets. Here are some other reasons why people opt for Capital One store cards:
Easy Access
Capital One’s retail partners offer store-branded cards that are generally more accessible, even if you have a limited credit history.
More Rewards
We like Capital One’s co-branding because of enhanced reward structures across various spending categories. You may get higher cash back percentages when shopping at the affiliated retailers. The great thing is that you earn this extra reward along with the cards’ regular bonus categories like a 1.5% return on routine purchases.
Special Benefits
When you use a Capital One store card, you get several cardholder benefits, including:
- Exclusive Discounts – Receive discounts simply for being a cardholder.
- Special Financing – Some cards provide options for special financing on larger purchases, making them more manageable.
Risks of Capital One Store Cards
A significant risk of in-store cards is that users tend to overspend while using them. Here are some other potential risks of using these cards:
Higher APR
Many store cards from Capital One often come with higher APRs than general-use credit cards. The Cabela’s Club Mastercard is an example. Also, the Pottery Barn Key Rewards Visa Card for frequent shoppers of Williams-Sonoma Inc. incurs a high APR of 30.24%.
Inflexible Redemption Policies
You don’t get many redemption options other than at the same stores. You can use your cash back to make more purchases at the Williams-Sonoma brands only. This is inconvenient if you don’t shop frequently from those stores.
Related Questions
What is the Difference Between a Co-Branded Credit Card and a Regular Credit Card?
A co-branded card, such as the Capital One Walmart Rewards Mastercard, is partnered with a credit card issuer and a specific retailer. It offers rewards and benefits tied to that retailer. Conversely, a regular card is more versatile. It allows you to accrue rewards across various merchants with no specific retail affiliation.
What is the Difference Between Private Label and Co-Branded Credit Cards?
Private label cards are often referred to as store cards, too. You can use these cards only at the brand stores, and not anywhere else. They may not bear network logos like Visa or Mastercard. On the other hand, co-branded cards are usable wherever their network is accepted. They are often tied to a rewards program that benefits everyday purchases and those made with the retail partner.
Can You Use Capital One Card in Shops?
Your Capital One card is designed for widespread acceptance at various shops and online retailers. That is if they accept cards from the network displayed on your card, such as Visa or Mastercard. This includes co-branded store cards that serve as traditional and reward-earners at specific retailers.
Conclusion
Capital One co-brands with six stores and offers 11 store cards. A major benefit of this collaboration is that these cards use the Visa or Mastercard networks, which means you can earn rewards or cashback at specific stores as well as anywhere the card’s network is accepted. However, you can only redeem them with store purchases instead of general categories like conventional credit cards.