In this article, I will tell you about Ulta Credit Card Interest Rate. The Ultamate Rewards® Credit Card* is a store card whose perks are easy to predict. It earns rewards on Ulta Beauty purchases, and they’re limited to Ulta Beauty stores. However, the value of said rewards is in the higher range, which is rather surprising for a card of this type. Let’s take a look at the Ulta credit card, its benefits, and whether they’re right for you.
Ulta Credit Card Interest Rate – Ulta Credit Card Benefits
As a frequent Ulta Beauty customer, you have two credit card options available to you: the Ultamate Rewards® Credit Card* and the Ultamate Rewards® Mastercard® Credit Card*, both of which are issued by Comenity Capital Bank. Both cards have no annual fees, and offer 20% off your first purchase at Ulta Beauty and 2 points per dollar on every Ulta Beauty purchase (1 point as a general member and 1 point as a credit card holder).
However, the Ultamate Rewards® Credit Card* can be used at Ulta stores only, and the Ultamate Rewards Mastercard can be used anywhere a Mastercard is accepted.
The Ultamate Rewards Mastercard also offers 500 bonus points after spending $500 outside of Ulta Beauty in the first 90 days of opening an account as well as 1 point per $3 on non-Ulta purchases.
Unfortunately, the only way to find out which card you’ll be approved for is after filling out an application. Comenity will take matters into its own hands and approve you for a card based on your creditworthiness.
The third option is the Ultamate Rewards Card, which isn’t a credit card at all, but a simple rewards card for Ultamate Rewards program members. It’s free to join, and every time you shop at Ulta, you’ll earn rewards by presenting your membership card at checkout.
If you apply for an Ulta credit card at a brick-and-mortar store, it’s possible to use it on your first purchase. If you apply online, you have to wait for the card to arrive before you can use it.
With either version of the Ulta credit card, you’ll get a 20% discount on your first purchase at an Ulta Beauty store. After the first purchase, the rewards structure is as follows:
- 1 point per dollar on Ulta purchases (on both cards)
- 1 point per $3 spent at other stores (on the Ultamate Rewards Mastercard only)
The 1 point per dollar earning rate is in addition to the 1 point per dollar you would earn as a rewards program member. Keep in mind that points expire at the end of the calendar quarter following the 12-month period since you earn the rewards. If you’re a Platinum or a Diamond member, Ulta points don’t expire.
The more frequently you shop at Ulta Beauty stores, the faster the points add up. And, the more points you accumulate, the more they’re worth.
Here’s how much your Ultamate Rewards are worth:
- 100 points = $3
- 250 points = $8
- 500 points = $17.50
- 750 points = $30
- 1,000 points = $50
- 2,000 points = $125
So, you can get anywhere from 3 cents per point to 6.25 cents per point in value, depending on the redemption option you choose. This is quite a bit higher than the industry standard of 1 cent per point you’ll find with many cashback credit cards.
The rewards potential earned with the Ultamate Rewards Credit Card or the Ultamate Rewards Mastercard varies and depends on how often you shop at Ulta and the amount you spend every visit.
Let’s say that you visit an Ulta Beauty store every two months and spend $60 each time you shop, which adds up to $360 on makeup and skincare per year. So, you earn 1 point per dollar by being a general Ultamate Rewards member and another 1 point by using your Ulta credit card, which yields 720 points annually. According to the redemption chart above, you can redeem 500 points for $17.50 worth of merchandise.
You’ll earn even more if you get beauty services like haircuts or makeup services from an Ulta salon, which counts as Ulta Beauty spending on an Ulta-branded credit card.
Depending on how often you cut and color your hair or get your makeup done at an Ulta salon, you could reach top-tier Diamond status in the Ultamate Rewards program and earn even more points on Ulta purchases and therefore increase their redemption value.
Other Ultamate Rewards Membership Benefits
As an Ultamate Rewards member, you get to enjoy some perks of your membership, and the benefits vary based on your membership status.
To become an elite shopper with Ulta, you must spend:
- $500 per year to be a Platinum member
- $1,200 per year to be a Diamond member
All members receive the following benefits:
- 1 point per dollar spent at Ulta
- 2 points during your birthday month
- Bonus savings
- Redeem points for discounts
- Free gift during your birthday month
Platinum members receive the following benefits:
- 1.25 points per dollar at Ulta
- Points don’t expire
- $10 birthday month coupon
- Exclusive deals, gifts, and early access
Diamond members receive the following benefits:
- 1.5 points per dollar at Ulta
- Diamond gift
- $25 services reward
- Free shipping on orders of at least $25
Who Should Get the Ulta Credit Card?
It goes without saying that frequent Ulta Beauty shoppers are the target audience for the Ulta credit card, especially because the rewards can be redeemed only at Ulta stores. Those who receive Ulta salon services will benefit by charging the services to the card and earning enough rewards to receive status in the Ultamate Rewards program.
Those who tend to carry a balance on credit cards should steer clear. The interest rate on Ulta credit cards goes as high as 30.24%. Although beauty requires sacrifice, the APR is a bit too much of a sacrifice in this case.
Alternatives to The Ulta Credit Card
Although the Ulta credit cards offer high value for their rewards, they do expire every year and they’re limited to Ulta stores. Consider the following general-purpose credit cards to earn more flexible rewards that can be turned into cash.
Citi® Double Cash Card
For those looking to earn rewards on every purchase in the form of cashback that can be used anywhere, enter the Citi® Double Cash Card. With this card, you’ll earn 2% cash back on all purchases—1% when purchases are made and another 1% when they’re paid off. Cash back earned with the Double Cash can be redeemed in the form of a statement credit, direct deposit or check and isn’t limited to just one merchant.
Chase Freedom Flex℠
Earn 5% cash back on up to $1,500 in categories that rotate quarterly (requires activation), 5% on travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1% on all other purchases with the Chase Freedom Flex℠*. The rotating bonus categories typically include grocery stores, gas stations, restaurants, and Amazon. It’s a useful card for earning easy-to-use cash rewards without paying an annual fee.
Blue Cash Everyday® Card from American Express
Another cashback card with a $0 annual fee, the Blue Cash Everyday® Card from American Express (Terms apply. See rates & fees) earns 3% cash back at U.S. supermarkets, U.S. gas stations, and online retail purchases in the U.S. (on up to $6,000 in each category per year in purchases, then 1%), and 1% cash back on other purchases. Cash back is received in the form of Reward Dollars that can be easily redeemed for statement credits. The cashback earned with this card can be issued in the form of statement credits.
With enrollment, you also get an $84 annual Disney bundle credit (in increments of $7 per month) and a $180 Home Chef credit (in increments of $15 per month), so you’d be making money on a card with a $0 annual fee if you maximize the credits.
Additionally, you’ll get a 0% intro APR for 15 months on purchases and on balance transfers requested within 60 days of account opening, followed by a variable APR of 18.74% – 29.74%. A balance transfer fee of $5 or 3%, whichever is greater, applies so you can catch a little break if you need one.
Is the Ulta Credit Card for You?
Although the value of the rewards is pretty high, both the Ultamate Rewards Credit Card and the Ultamate Rewards Mastercard are designed for those who shop at Ulta Beauty, so their use is rather limited. On top of that, the points expire and the redemption options are predetermined. If you’re looking for more flexible rewards that can be used as statement credits toward anything, consider the cashback cards above.