There is special financing on big-ticket purchases for the Homedepot credit card. But it’s not actually a 0% offer, and you’ll earn no rewards for frequent use.
There is something pleasant about browsing the huge aisles of Home Depot, dreaming of home-improvement projects you might one day undertake. Sadly, the Home Depot Consumer Credit Card lacks the same warm fuzzies, even with its $0 annual fee.
Be careful, though, that deferred interest is not the identical thing to a genuine 0% intro APR offer. With the former, interest is piling up in the background during the intro period.
The Home Depot Credit Card
That’s because the store-brand card earns no recurring rewards and offers minimal reward benefits. Even the most ardent Home Depot fan would be better off with a flat-rate rewards or cash-back card.
It will allow you to charge a big home project and pay for it later; that is its core proposition. It offers deferred interest on purchases of $299 or more.
With the latter, the interest rate during the intro period really is 0%; no interest is building up at all. That’s a big distinction if you come to the end of the intro period and you still have not paid off the full balance.
With the Home Depot Consumer Credit Card, if you fail to pay the entire balance at the end of the interest-free period, you’ll be saddled with all the interest that accumulated from the time you bought something.
That could be an expensive error. With a 0% promotion, you will be charged interest only on what you owe and only from today forward.
If you can manage to get a card offering a real 0% introductory APR offer for 12 months or more, you’d be better off. The BankAmericard® credit card is a suitable choice.
You’ll get 0% intro APR for 18 billing cycles on new purchases, as well as on balance transfers completed within the first 60 days. Once the intro APR offer ends, there will be a variable APR of 15.24%-25.24%, the prevailing rate, which will change.
Are There Any Special Promotions for the Home Depot Card Holders?
The Home Depot Credit Card can help you pay for a large home improvement project; that is really its big draw. It offers deferred interest on purchases of $299 or more.
Be aware, however, that deferred interest is not the same as an actual 0% intro APR offer. In the former, interest is accumulating in the shadows as long as the introductory phase stays in force.
In the latter, the interest rate of the intro period is actually 0%; no interest is accumulating at all. That’s a big difference if you hit the end of the intro period and you’ve not paid off the outstanding balance in full.
With The Home Depot Consumer Credit Card, if you don’t pay the entire balance at the conclusion of the deferred interest period, you’ll be charged all the interest that had been accumulating since the purchase date.
That could end up being an expensive error. With a 0% promotion, however, you will only owe interest on the outstanding balance and only in the future.
If you can qualify for a card with an up-front, honest 0% introductory APR offer good for 12 months or more, you’d be better served. The BankAmericard credit card is a great choice.
You’ll get 0% intro APR for 18 billing cycles on purchases and on any balance transfers made in the first 60 days. When the Intro APR promotion’s end date occurs, a Variable APR of 15.24%-25.24%, based upon your creditworthiness, will apply
Is There a Standalone Card for Big Projects?
Home Depot also offers the Home Depot Project Loan Card, which allows you to borrow up to $55,000 for big improvement projects. As of Aug. 2023, you might be able to get a loan with as low as 7.42%, but your terms will vary.
It’s meant to be used to finance large projects such as a kitchen or bathroom reno and could appeal to consumers who don’t have access to lower-APR loans elsewhere, say, a home equity loan.
Even if you don’t take the deferred interest offer, you’ll want to avoid carrying a balance from month to month. As with so many store-brand credit cards, the standard rate can be high. The standard APR is 29.99%, variable APR.
The Last Lines
Armed Home Depot fanatics may enjoy the Home Depot Consumer Credit Card’s financing offers. But with no ongoing rewards, you can do better.
For example, if you’re a do-it-yourself sort and you’re not a Home Depot aficionado, the MyLowe’s Rewards Credit Card rewards 5% on qualifying in-store purchases, which puts it on NerdWallet’s list of best store credit cards. On purchases of $299 or more, you can take the 5% savings or the similar deal of deferred interest.
