Do you visit Ikea regularly and want to see an opportunity to save even more? The Ikea Visa Credit Card will be a great addition to your wallet. From high rewards on Ikea purchases to unique financing options, this card has an arm's length of ways to stretch your budget. This highly versatile card has much in store for Ikea enthusiasts and penny pinchers.
What is the Ikea Visa Credit Card?
The Ikea Visa Credit Card is a co-branded credit card issued jointly with Comenity Bank. It's a financial product that rewards loyal Ikea customers with special perks and benefits to make shopping at this Swedish furniture giant even more delightful.
Key Features
The Ikea Visa Credit Card has several features that set it apart from any normal credit card. It offers earnings on all purchases and an increased earning rate on Ikea-related spending. Those points can be redeemed for Ikea Reward Certificates in a cashback way for future Ikea purchases.
Eligibility and Application
The Ikea Visa Credit Card might require good to excellent credit to get approved. Applications are relatively simple and can be done both on the website and in-store. Once someone gets approved for a card, they can immediately use it for purchases in Ikea before it arrives by mail.
Costs and Considerations
While the card's rewards are handsome, understanding the associated costs will be necessary. The APR for those carrying a balance is high; therefore, it is recommended that the full amount be paid every month. Also, a late fee or a foreign transaction fee may be associated; these should be carefully studied in the card's terms and conditions.
Benefits of the Ikea Visa Credit Card
Earn Rewards on Everyday Purchases
The Ikea Visa Credit Card gives a robust rewards program for more than just Ikea purchases. You get 5% back in rewards on all Ikea purchases, including Ikea services like kitchen installation and TaskRabbit assembly. Additionally, you will receive 1% back on all other purchases and 3% back on groceries, utilities, and eating expenses. These rewards can add up very fast, especially if you are doing a home renovation or frequently shop at Ikea.
Exclusive Ikea Perks
As an Ikea Visa cardholder, you enjoy unique benefits designed for Ikea aficionados. The benefits include free standard shipping and delivery on in-store Ikea purchases, which could save a lot on larger items, and an additional $25 off your first Ikea purchase after opening a new card, meaning you will immediately benefit from signing up.
Flexible Financing Options
The Ikea Visa Credit Card offers flexible financing for larger purchases. You will also enjoy special financing promotions on Ikea purchases, which let you make payments over time. This could be helpful when furnishing a new home or making any significant home improvement; that way, it will be much easier to budget for large items without immediate interest charges.
How to Earn Ikea Rewards with the Card
Reaping maximum rewards with the Ikea Visa Credit Card is much easier than you imagine. This versatile card has numerous ways to rack up points on everyday purchases in and outside Ikea stores.
In-Store Purchases
The Ikea credit card provides the best value when you purchase at Ikea. It boasts an impressive 5% back in rewards on all Ikea purchases, including in-store restaurants. That means if you spend $100 furnishing your home or indulging in Swedish meatballs, you'd earn $5 in rewards.
Everyday Spending
Not only that but don't restrict your rewards to Ikea shopping. It also gives you 3% back on dining, grocery, and utility purchases. This broad category encompasses most households' monthly expenditures. You will be surprised at how fast the rewards can add up.
All Other Purchases
For everything else, you will still get 1% back in rewards. It's not as lucrative as the other categories, per se, but you know you will consistently earn something no matter where you shop.
Redeeming Your Rewards
Rewards are deposited as Ikea Reward Dollars and are redeemed toward future Ikea purchases. They are awarded in $15 increments and mailed electronically for easy savings on your next Ikea shopping spree.
Using your Ikea Visa strategically for Ikea purchases and general purchases can help your rewards rack up quickly, allowing you to furnish your home for less.
Potential Drawbacks of the Ikea Visa Card
While the Ikea Visa Card has some very appealing benefits for Ikea lovers, here are a few potential cons to consider before applying.
High APR
The biggest drawback is its high APR, which can exceed 20% in some instances. With such rates, the balance carried on this card will likely receive substantial interest charges. And if you fail to pay your entire balance every month, the interest accrued could soon surpass the rewards earned.
Limited Reward Redemption Options
While the rewards from Ikea purchases are so strong, there are somewhat significant strings attached regarding redemption options. In effect, the rewards are mainly redeemable for Ikea purchases or statement credits. People who wish to have more versatile options regarding travel miles or cash rewards may not like this card because of that alone.
Narrow Usage Focus
The Ikea Visa Card is best suited for loyal Ikea customers. If you won't make Ikea or TaskRabbit purchases regularly, there's little to see in the rewards structure. Other credit cards offer flexibility and diverse earning potential across various spending categories.
Potential for Overspending
Finally, there is the possibility that Ikea's reward structure for this card could tempt overspending: though racking up points undoubtedly has appeal, responsible spending practices would require refraining from buying to obtain rewards.
Conclusion
The Ikea Visa Credit Card is a great tool for helping regular Ikea shoppers optimize rewards and exclusive benefits. Potential users have to consider high interest rates and poor redemption options. With a proper understanding of its features and responsible expenditure management, cardholders can efficiently use this card to boost their shopping at Ikea.
