I was at my car dealership the other day when they told me I really needed my rear tires replaced. As we all know, normally car dealers just lie to us, but they were actually being honest this time… there was almost no tread left on the back tires! But I wasn’t going to get ripped off by overpaying for my Goodyear Wrangler tires at the dealership, so instead I drove down the street to the tire store.
Then I saw the interest rate…
My jaw dropped when I saw the interest rate – at the time of writing it was an unbelievable 28.99% APR! They say it’s “a fast, convenient way to make your tire and service purchases.” Well maybe that’s true, but it certainly is not a smart way! Why on earth would you pay nearly 27% interest when most credit cards charge less?
I price out my tires, but they were a lot more than I was expecting. The associate asked me “Would you like to apply for a Goodyear credit card? It can save you $60.” She handed me the application for it. The promotion wasn’t even that great either…
- Spend between $250 and $649.99 and get a $20 mail-in-rebate
- Spend between $650 and $999.99 and get a $40 mail-in-rebate
- Spend $1,000 or more and get a $60 mail-in-rebate
Well for starters, she should have told me “up to” $60, because based on the above tiers, it doesn’t look like me or the average buyer will be saving that much with the Goodyear card promotion unless they are spending $1,000+ on their tires.
What are other people saying?
I searched online and found one review of the Goodyear card with a lot of nasty comments left behind. Reportedly there are a lot of customers that are not at all happy with the service (or lack thereof) that comes with the Goodyear card.
Should you apply?
I honestly cannot find a single worthwhile reason to apply. The promotion for the mail-in-rebate is far from impressive. The interest rate is so high that carrying a balance for any amount of time would be like shooting yourself in the foot.
The Goodyear credit card really should only be considered a last resort if you need tires or emergency service ASAP and absolutely cannot qualify for any other card.
Here’s a better option for you…
For those with good credit: If you have good credit, check out our sponsored offers for cash back credit cards. There you will find great reward cards with MUCH lower interest rates, even 0% offers for purchases. Some even come with special signup bonuses of $100 or more!
For those with poor credit: There are credit cards for people with bad credit history that will still probably be a better deal than that 29% APR I saw on Goodyear’s credit card application. There are many banks out there that have unsecured credit cards for bad credit. The key is to find one with reasonable fees.
Updated for 2013