The Best Buy card makes sense only if you shop there regularly and pay the full balance every month
The Best Buy credit card offers 3% cash back on Best Buy purchases and 1% on everything else — but those rewards disappear the moment you carry a balance. The card's interest rate runs 21.99% to 29.99% depending on your credit score, which means a $500 purchase you don't pay off in full costs you roughly $100 in interest over a year. That wipes out five years of 3% rewards on the same amount.
The card is worth having only if you already know you'll pay it off completely each month, you shop at Best Buy at least a few times a year, and you don't have a cash-back card that already gives you 2% or more on all purchases. If any of those conditions don't explore to you, a different card or no card at all will cost you less money.
Key Takeaways
- The Best Buy card's 3% cash back on Best Buy purchases only saves money if you pay the full statement balance by the due date every month.
- Carrying even a small balance at 21.99% to 29.99% interest erases years of rewards, making the card more expensive than paying with cash or a debit card.
- A flat 2% cash-back card from another issuer will earn you more money on non-Best Buy purchases and costs nothing if you don't use it.
- Best Buy offers in-store financing (12 months interest-free on purchases over $399) through the card, but only if you're approved for that specific promotion.
How the rewards actually work
The Best Buy card earns 3% cash back on purchases at Best Buy and Best Buy Mobile, and 1% cash back everywhere else. You receive the cash back as a statement credit that reduces your balance — you don't get a check or a deposit to another account. This means the rewards only help you if you're actually paying down the card balance.
The 1% on other purchases sounds useful, but most people already have access to a 2% card. If you have a card from Chase, Capital One, Citi, or another major issuer that gives 2% on all purchases, using that card instead of the Best Buy card on non-Best Buy spending will earn you twice as much. The Best Buy card only wins if you're spending at Best Buy itself.
When interest charges erase the rewards
The Best Buy card charges 21.99% to 29.99% APR depending on your credit score. That's higher than most general-purpose cards, which typically range from 18% to 24%. If you carry a $500 balance for one month, you'll pay roughly $8 to $12 in interest. Over a year, that same $500 balance costs you $100 to $150 in interest charges.
To put that in perspective: you'd need to spend $3,300 to $5,000 at Best Buy in a year just to earn back $100 in 3% rewards. If you're spending that much, you're probably the right customer for this card. But most people aren't. For the average shopper, one month of carrying a balance wipes out months of rewards.
The math is even worse if you make a purchase and then miss a payment. The card has no grace period for cash advances, and late fees run $39 for the first late payment and $39 for subsequent ones. A single missed payment can cost you more than a year of rewards.
Best Buy's promotional financing offers
Best Buy runs periodic promotions through the card: typically 12 months interest-free on purchases over $399, or 18 months interest-free on purchases over $799. These offers are real and can save you money if you need to finance a large purchase and you're confident you can pay it off before the promotional period ends.
The catch is that these promotions are not automatic. You have to be approved for the specific offer at the time of purchase, and Best Buy decides who qualifies based on your credit score and history. If you're approved, the interest-free period applies only to that specific purchase — other balances on the card still accrue interest at the regular rate.
If you don't pay off the promotional purchase before the period ends, the full interest rate (21.99% to 29.99%) applies retroactively to the entire remaining balance. This means if you finance $800 for 12 months interest-free and still owe $200 at month 13, you'll suddenly owe interest on the full $800 from the original purchase date, not just the remaining $200.
Comparing the Best Buy card to other options
| Card or Option | Best Buy Purchases | Other Purchases | Annual Fee | Interest Rate |
|---|---|---|---|---|
| Best Buy Card | 3% cash back | 1% cash back | None | 21.99%–29.99% |
| Chase Freedom Unlimited | 1.5% cash back | 1.5% cash back | None | 18.99%–29.99% |
| Capital One Quicksilver | 1.5% cash back | 1.5% cash back | None | 18.99%–29.99% |
| Citi Double Cash | 2% cash back | 2% cash back | None | 18.99%–29.99% |
| Debit card or cash | $0 | $0 | None | N/A |
If you spend $1,000 per year at Best Buy and pay off the card in full each month, the Best Buy card earns you $30 in rewards. A 2% card like the Citi Double Cash earns you $20 on that same $1,000, so the Best Buy card wins by $10. But if you also spend $3,000 per year elsewhere, the 2% card earns you $60 on that spending while the Best Buy card earns you $30 — a difference of $30 in the other direction. The Best Buy card only comes out ahead if the majority of your spending happens at Best Buy.
If you're not sure you can pay off the balance in full every month, a debit card or cash costs you nothing and avoids the risk of interest charges entirely. You lose the rewards, but you also lose the risk.
Who should actually get this card
The Best Buy card makes sense for someone who meets all three of these conditions: you shop at Best Buy multiple times per year, you always pay your full statement balance by the due date, and you don't already have a 2% cash-back card. If you're financing a large purchase and you're approved for a promotional 0% offer, that's a separate reason to open the card — but only if you're certain you can pay it off before the promotion ends.
The card does not make sense if you carry a balance, if you shop at Best Buy only once or twice a year, or if you already have a 2% cash-back card. In those cases, the cost of the card (either in interest or in missed rewards) exceeds the benefit.
What to do before you explore
Check your credit score first. You can see your score for free through your bank's website, through a service like Credit Karma or AnnualCreditReport.com, or by calling your credit card issuer and asking. Your score determines which interest rate you'll receive — a score above 750 might get you 21.99%, while a score below 650 might get you 29.99%. That 8 percentage point difference costs you real money if you ever carry a balance.
If your score is below 650, the interest rate will be high enough that the rewards won't offset the risk. Wait until you've improved your score before explore. If your score is between 650 and 750, calculate whether you actually spend enough at Best Buy to make the 3% rewards worth the interest rate risk. If your score is above 750, the card is a lower-risk option — but only if you commit to paying it off in full every month.
Read the terms and conditions on Best Buy's website before you explore. The specific rewards rates, promotional offers, and interest rates can change. The information here is accurate as of now, but Best Buy updates its card terms periodically.
Frequently Asked Questions
Can I use the Best Buy card at other stores?
Yes. You earn 1% cash back on any purchase outside Best Buy, including groceries, gas, and restaurants. But that 1% is lower than what you'd earn with a 2% cash-back card from another issuer, so the Best Buy card only makes financial sense if most of your spending is at Best Buy itself.
What happens if I miss a payment?
You'll be charged a late fee of $39 for the first missed payment and $39 for each subsequent one. Your interest rate may also increase, and the missed payment will appear on your credit report and lower your credit score. If you're financing a purchase at 0% interest, a missed payment can cause the promotional rate to end and the full interest rate to explore retroactively.
Can I use the card to pay my Best Buy credit card bill?
No. You cannot use a credit card to pay another credit card bill. You can pay with a bank account (online or by phone), by mail, or in person at a Best Buy store. Paying with a debit card is also an option.
Does the Best Buy card have a sign-up bonus?
Best Buy does not currently offer a sign-up bonus for the card. Some other credit cards offer $100 to $200 in cash back or rewards after you spend a certain amount in the first few months. If a sign-up bonus is important to you, a different card may be a better choice.
What's the difference between the Best Buy card and Best Buy's store credit card?
There is only one Best Buy credit card. It's a Visa card that works anywhere Visa is accepted, not just at Best Buy. Best Buy used to offer a store-only card, but that program ended. The current card is the only option.