Every year for the past several years in early December, Target has done the unprecedented among general merchandise retailers: Discounting its store gift cards 10%. Walmart, Kmart and Kohl's don't do it. Arguably, some would say Walmart, self-dubbed the "low price leader" doesn't have to offer additional savings.
This year Target is giving shoppers advance notice. Sandwich boards in the entrance of the Nicollet Mall store in Minneapolis on Wednesday made it clear that the sale starts and ends Sunday, Dec. 2 in stores and on Target.com.
Here are the details: Target gift cards purchased on Sunday cannot be redeemed until Monday starting at 10 a.m. CT.
RedCard holders will not receive an additional 5% discount even though gift cards can be charged on the RedCard. Consumers can save an additional 1 to 2% paying with a reward credit card such as a Visa or Mastercard that offers an additional 1 to 2% cash back on all purchases.
The minimum gift card purchase is $10 and the maximum purchase is $300. Last year consumers were able to purchase more than the $300 maximum by paying with different cards or paying in cash.
Here's an interesting angle asked by a reader: Can a customer purchase a $300 Target gift card for $270 (after the 10% savings) and then turn around and buy another gift card such as an Apple App Store & iTunes card?
No. "Target gift cards can’t be used as a method of payment for other gift cards," said Target spokesman Joe Poulos.