Ann Taylor is a great choice for my formal clothes, but when you just want something casual, you can’t go wrong with their sister store, Loft. But should you be buying their closing using their credit card? Let’s take a look at the pros and cons…

There are actually 2 different cards:

Ann Taylor Loft card – This version can only be used at their stores
Ann Taylor Loft MasterCard – Can be used at Loft and anywhere MasterCard is accepted

Differences? The main difference between the two is that the Ann Taylor Loft MasterCard gives 1% in rewards for purchases made elsewhere. Of course the regular Loft card doesn’t do that since it can only be used at Loft stores.

Annual Fee: Neither of these credit cards have an annual fee.

Rewards: Spending at Loft earns 5 points per dollar and the MasterCard gives 1 point per dollar elsewhere. For each 2,000 points a $20 Loft rewards card is given. That means this card gives 5% at Loft Stores (and 1% elsewhere with Ann Taylor Loft MasterCard).

Benefits: Both of these credit cards give $15 off a purchase during the month of the cardholder’s birthday. With the exception of Loft Outlet Stores, there is a 10% discount given on the first Tuesday of every month.

Interest Rate: A downside to these cards is their high APRs. The store-only Ann Taylor Loft credit card application listed a 24.99% APR and the MasterCard version also has 24.99% as of Jan 2011, the time of writing.

Verdict?

Loft Card: The rewards at their stores are good, but it might not be worth the hassle considering you can only use it at their stores and nowhere else.

Loft MasterCard: This is much better than the regular Loft credit card, since it can be used for purchases at both Loft and elsewhere. The 5% at their stores is good but the 1% on everything else is low compared to some other credit cards on the market. So it’s a tossup.

Better Alternatives?

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