Kohl’s Card vs Macy’s Credit Card: Which Department Store Card Wins?

Research-based comparison: I haven’t personally held either card. This comparison is based on verified issuer data and research into real cardholder experiences. Verify all figures at the official issuer websites before applying.

The short answer is: Kohl’s Card wins for most shoppers, thanks to a flat 7.5% rate that beats anything Macy’s Credit Card can offer. Macy’s Credit Card wins for one specific profile — a genuine Macy’s loyalist who spends heavily enough to climb into its Gold or Platinum tier. Here’s why.

These two cards never actually compete for the same dollar. Kohl’s Card earns nothing at Macy’s. Macy’s Credit Card earns nothing at Kohl’s. So “which card is better” isn’t really the right question — it’s “which store do you actually shop at, and how much.” I ran the math across 3 real spending profiles, and the results split 2-to-1: heavy or evenly-split department-store spenders come out ahead with Kohl’s Card, while a lopsided, high-volume Macy’s shopper actually earns more with Macy’s Credit Card once the tier system kicks in.

At a Glance

Both cards are 100% closed-loop with $0 annual fees, so this isn’t really “which card is better” in the abstract — it’s “which store do you actually shop at, and how much.” Worth keeping in mind before you apply for either: a store card application still triggers a real credit check, and if you’re weighing that trade-off, our guide on whether store credit cards hurt your credit walks through what actually happens to your score.

How the Rewards Work

Kohl’s Card

Kohl’s Card keeps it simple: 7.5% back in Kohl’s Rewards on every purchase at Kohl’s, in-store or online, no tiers and no categories to track. Here’s the math on why that matters — it’s the highest store-only reward rate we’ve reviewed on this site so far, beating the Target Circle Card’s 5% and the TJX Rewards Credit Card’s 5%. If you shop at Kohl’s regularly, nothing else in this comparison earns you more per dollar. For the full lineup of how store cards stack up against each other, see our roundup of the best store credit cards.

The mechanics matter here too. Kohl’s Rewards accrues daily and converts to Kohl’s Cash in $5 increments on the first of each month. Once issued, that Kohl’s Cash expires 30 days later. That’s a real use-it-or-lose-it risk — miss the window and the reward is just gone. Also excluded from earning: gift cards, Kohl’s Cares items, and Sephora-at-Kohl’s purchases.

In practice, that monthly cycle rewards regular shoppers and punishes sporadic ones. Someone spending $120/month at Kohl’s earns $9 in rewards every single month — comfortably above the $5 conversion threshold, so Kohl’s Cash lands reliably and there’s always a fresh 30-day window to use it. Someone who only shops at Kohl’s once every couple of months has to actually track when their Kohl’s Cash lands, or it’s gone before the next trip.

One small wrinkle worth a mention: some applicants get approved for a Kohl’s Rewards Visa instead of this store-only card, which adds 3% on gas and 2% at grocery stores on top of the same 7.5% at Kohl’s. You don’t get to choose which one you’re approved for — Capital One decides. This comparison covers the store-only Kohl’s Card specifically, so none of the math below applies to the Visa variant.

Macy’s Credit Card

Macy’s Credit Card runs on a loyalty tier system, and understanding it early matters more than anything else in this article. Every new cardholder starts at Silver: 2 points per $1 (2% back) at Macy’s, macys.com, and Macy’s Backstage. Spend $500 to $1,199 at Macy’s in a calendar year and you move up to Gold (3%). Cross $1,200 and you hit Platinum (5%).

Here’s the catch that trips people up: tier is based on the prior calendar year’s spend, not the current one. A brand-new cardholder cannot earn better than Silver’s 2% in year one, no matter how much they spend that year. The upgrade only takes effect the following year, based on what they actually spent. So the card’s real ceiling — 5% at Platinum — is never available immediately, only earned into over time.

Macy’s rewards run on Star Rewards points, where 1,000 points equals $10 in Star Money (1 point = $0.01, so the percentages above translate directly to cash value). Star Money expires 30 days after issuance, the same use-it-or-lose-it risk as Kohl’s Cash.

Here’s the math on how the tier climb actually plays out for a real spender: someone putting $150/month into Macy’s spends $1,800 there over a calendar year. In Year 1, that’s still Silver — 2% the whole way, because the tier hasn’t had a chance to update yet. Only in Year 2, once that $1,800 in prior-year spend is on the books, does the card recognize it crossed the $1,200 Platinum line and start paying 5%. It’s a genuinely different model from Kohl’s flat rate: the card gets better the longer you stay loyal, but only for shoppers spending enough to actually cross a tier line, and only a year after they’ve earned it.

The Math: 3 Spending Profiles

I’ve run the numbers across 3 realistic spending profiles to see which card actually wins in practice. Neither card earns anything on “everything else” spend — both are 100% closed-loop, so that category is a hard $0 on both sides in every profile.

Profile 1: Kohl’s-leaning shopper, occasional Macy’s trips

$120/mo at Kohl’s, $30/mo at Macy’s, $900/mo on everything else. Monthly total: $1,050.

Annual earnings:

• Kohl’s Card: $108/year
• Macy’s Credit Card: $7.20/year (Year 1 tier is always Silver for a new cardholder)

Year 1 (with sign-up bonus):

• Kohl’s Card: $108 + $48 (40% x $120) bonus = $156
• Macy’s Credit Card: $7.20 + $7.50 (~25% x $30, capped at $100) bonus = $14.70

Year 2+ (ongoing):

• Kohl’s Card: $108/year (flat — never changes)
• Macy’s Credit Card: $7.20/year (stays Silver — this profile’s annual Macy’s spend of $360 never crosses the $500 Gold threshold)

Break-even: N/A — neither card carries an annual fee, so whichever card leads in a given year also leads every year after, until a tier change shifts the balance.

Takeaway: Kohl’s Card wins big here. This shopper’s dollars are concentrated at Kohl’s, where Kohl’s Card earns 7.5% and Macy’s Credit Card earns nothing.

Profile 2: Macy’s loyalist, minimal Kohl’s spend

$20/mo at Kohl’s, $150/mo at Macy’s, $700/mo on everything else. Monthly total: $870. Annual Macy’s spend: $1,800.

Annual earnings:

• Kohl’s Card: $18/year
• Macy’s Credit Card: $36/year (Year 1, Silver — every new cardholder starts here regardless of spend)

Year 1 (with sign-up bonus):

• Kohl’s Card: $18 + $8 (40% x $20) bonus = $26
• Macy’s Credit Card: $36 + $37.50 (~25% x $150, capped at $100) bonus = $73.50

Year 2+ (ongoing):

• Kohl’s Card: $18/year (flat — never changes)
• Macy’s Credit Card: $90/year (this profile’s $1,800 annual Macy’s spend crosses the $1,200 Platinum threshold, so Year 2 jumps to 5%)

Break-even: N/A — no annual fee on either card.

Takeaway: Macy’s Credit Card wins here, and the gap widens over time. This shopper’s spend is lopsided enough toward Macy’s, and heavy enough to hit Platinum, that even Kohl’s higher flat rate can’t make up for having almost nothing to earn on.

Profile 3: Family of 5, splits department-store shopping evenly between both

$70/mo at Kohl’s, $70/mo at Macy’s, $2,200/mo on everything else. Monthly total: $2,340. Annual Macy’s spend: $840.

Annual earnings:

• Kohl’s Card: $63/year
• Macy’s Credit Card: $16.80/year (Year 1, Silver)

Year 1 (with sign-up bonus):

• Kohl’s Card: $63 + $28 (40% x $70) bonus = $91
• Macy’s Credit Card: $16.80 + $17.50 (~25% x $70, capped at $100) bonus = $34.30

Year 2+ (ongoing):

• Kohl’s Card: $63/year (flat — never changes)
• Macy’s Credit Card: $25.20/year (this profile’s $840 annual Macy’s spend crosses the $500 Gold threshold but not the $1,200 Platinum one, so Year 2 moves to 3%)

Break-even: N/A — no annual fee on either card.

Takeaway: Even split evenly between the two stores, Kohl’s Card wins for a family of five, both in Year 1 and every year after — its flat 7.5% is simply too far ahead of even Macy’s Gold-tier 3%.

Where Each Card Wins

Because these two cards never compete for the same dollar, “which one wins” really reduces to “which store gets more of your money.” Kohl’s Card’s higher flat rate wins most scenarios, but a genuinely lopsided, high-volume Macy’s shopper can still come out ahead, especially once the tier system kicks in. I’ll admit that’s a less satisfying answer than a clean “Card X wins, full stop” — but store cards are the one category where the honest answer really is “depends on your receipts,” not a hedge.

It’s also worth remembering that both of these carry APRs above 30% — not a small number if you ever carry a balance, and a good reason to understand how promotional retail financing works before you lean on either card; our guide on how deferred interest works covers the mechanics. Neither card advertises a 0% promotional financing period today, but store cards as a category frequently do, and it’s worth knowing the trap before you’re ever offered one.

Who Should Choose Kohl’s Card

✅ Someone who does most of their department-store shopping at Kohl’s specifically and wants the single highest flat rate of any store card reviewed on this site (7.5%)

✅ Someone who wants a no-minimum 40% discount on their first purchase, whatever size it turns out to be

✅ Someone who’d rather have one simple flat rate than track a multi-tier loyalty ladder

✅ Someone comfortable actively managing Kohl’s Cash’s 30-day expiration window

If this sounds like you, Kohl’s Card is the right call.

Who Should Choose Macy’s Credit Card

✅ Someone who’s a genuinely heavy, repeat Macy’s shopper likely to climb into Gold or Platinum tier over time

✅ Someone with fair credit (640) who might not clear Kohl’s steeper 670 bar

✅ Someone who wants a rewards program that gets meaningfully better the more loyal they are, year over year

✅ Someone whose day-of-approval purchase at Macy’s is likely large enough that the 20–30% discount (up to $100) outweighs Kohl’s uncapped-but-lower-percentage 40% offer

If this sounds like you, Macy’s Credit Card is the right call.

The Bottom Line

Here’s what I’d actually tell a friend who asked me this: get Kohl’s Card if you’re not a dedicated, high-spend Macy’s shopper — its flat 7.5% simply outpaces anything Macy’s Credit Card can offer unless you’re pushing serious dollar volume through Macy’s specifically. The one real exception is a genuine Macy’s loyalist spending $1,200+ a year there, where Macy’s Credit Card’s Platinum tier eventually pulls ahead.

Don’t ignore the credit-score gap either. Kohl’s Card asks for 670 (Good); Macy’s Credit Card is more forgiving at 640 (Fair). If you’re not sure where you stand, our guide on what credit score you need for a store credit card walks through exactly that — and it can settle this decision faster than any rewards math if one card is simply out of reach.

Neither card is worthless. Macy’s Credit Card’s tier system genuinely rewards loyalty in a way Kohl’s flat rate never will, and for the right shopper that matters more than the headline number. For most people, though, Kohl’s Card’s full review is the better place to start, with the Macy’s Credit Card review worth a look if your spending actually leans that way. Both also show up in our roundup of every clothing and department store card we’ve reviewed, if you want to see how they stack up against the rest of the category.