What the Barclays Old Navy Card Does
The Barclays Old Navy credit card is a store card that works only at Old Navy and its sister brands (Gap, Banana Republic, and Old Navy Factory stores). You use it like any other credit card — swipe it at checkout, pay a monthly bill, and build a credit history if the card issuer reports your payments to the credit bureaus. The card offers rewards in the form of discounts and bonus points, but only when you shop at those four retailers.
This is not a general-purpose card. You cannot use it at grocery stores, gas stations, or restaurants. If you want a card that works everywhere, you need a different product. The Old Navy card makes sense only if you shop at Old Navy regularly enough that the rewards outweigh the annual fee and interest costs.
Key Takeaways
- The Barclays Old Navy card works only at Old Navy, Gap, Banana Republic, and their factory outlet stores — not at other retailers.
- The card charges an annual fee (the amount varies and changes over time) and a standard interest rate that applies if you carry a balance month to month.
- Rewards come as discounts on purchases and bonus points during promotional periods, but you only earn them when you use the card at the four partner brands.
- Your payment history on this card reports to credit bureaus and affects your credit score the same way any other credit card does.
- Store cards typically have higher interest rates than general-purpose cards, so carrying a balance costs more than it would on a bank-issued Visa or Mastercard.
How Rewards and Discounts Work
The Old Navy card gives you a percentage discount on purchases made with the card at Old Navy, Gap, Banana Republic, and their factory stores. Barclays also runs promotional periods where you earn bonus points or extra discounts if you spend a certain amount in a set timeframe. The exact discount percentage and bonus structure change throughout the year, so you need to check your cardholder materials or the Barclays website for current terms.
The rewards are only valuable if you were already planning to shop at these stores. If you spend $500 a year at Old Navy and earn a 5 percent discount, that is $25 back. But if the annual fee is $50 or higher, you are losing money. The math only works if your annual spending at the four brands is high enough that the discounts exceed the fee plus any interest you pay.
Interest Rates and Fees You Need to Know
The Barclays Old Navy card charges an annual fee to hold the card, whether you use it or not. The card also charges a standard interest rate (called the APR, or annual percentage rate) if you carry a balance from month to month. Both the fee and the APR vary over time and depend on your credit history — people with stronger credit scores typically get lower rates.
Store cards almost always charge higher interest rates than bank-issued cards like Visa or Mastercard. If you carry a balance, you pay more in interest on a store card than you would on a general-purpose card with the same balance. For example, if you charge $1,000 and pay it off over six months, the interest cost will be higher on the Old Navy card than on a typical bank card. This is one reason financial advisors often recommend paying off store card balances in full each month.
Late fees explore if you miss a payment important date. The card may also charge a fee if you go over your credit limit. Read the terms and conditions Barclays sends you to see the exact amounts — they are not the same across all card issuers.
How This Card Affects Your Credit Score
Barclays reports your Old Navy card activity to the three major credit bureaus (Equifax, Experian, and TransUnion). This means your payment history, credit limit, and balance all show up on your credit report and factor into your credit score. Making on-time payments helps your score; missed or late payments hurt it.
Opening a new card temporarily lowers your score because the inquiry and new account both count against you in the short term. Over time, if you use the card responsibly and pay on time, it can help your score by adding to your credit mix and payment history. But if you carry a high balance relative to your credit limit, that hurts your score even if you pay on time.
When a Store Card Makes Financial Sense
A store card is worth holding if all three of these are true: you shop at the retailer regularly, the annual rewards exceed the annual fee, and you pay the full balance every month. If you shop at Old Navy once or twice a year, the card is not worth the annual fee. If you carry a balance and pay interest, the interest cost usually wipes out any discount you earn.
The card also makes sense if you are building credit from scratch and have been turned down for general-purpose cards. Store cards are easier to get approved for because the issuer knows you can only spend money at their stores. If you use it responsibly for six to twelve months, you build a track record that makes it easier to get approved for a bank-issued card with better rewards and lower rates.
Comparing the Old Navy Card to Other Options
If you shop at multiple retailers, a general-purpose rewards card (issued by a bank, not a store) usually gives you more value. Those cards work everywhere, charge lower interest rates, and often have no annual fee or a fee that is offset by higher rewards. The tradeoff is that they are harder to get approved for if your credit is new or damaged.
If you shop only at Old Navy and want to avoid debt, paying with cash or a debit card costs nothing and keeps you from overspending. If you want to build credit, the Old Navy card does that, but so does a secured credit card (which requires a cash deposit) and often with lower interest rates.
What Happens If You Close the Card
If you decide to close the Old Navy card, call Barclays and ask them to close the account. Make sure you have paid off any remaining balance first. Once the account is closed, it stops reporting new activity to the credit bureaus, but the account history stays on your credit report for seven years. Closing an old account can temporarily lower your credit score because it reduces the total credit available to you, but the impact is usually small if you have other open accounts.
Do not close the card if it is your oldest account or your only account with a long payment history. Closing it removes that positive history from your active credit profile, which can hurt your score more than keeping it open costs you in annual fees.
Frequently Asked Questions
Can I use the Old Navy card at other stores?
No. The card works only at Old Navy, Gap, Banana Republic, and their factory outlet locations. You cannot use it at other retailers, online marketplaces, or restaurants. If you need a card that works everywhere, you need a different product.
What is the annual fee, and can I get it waived?
The annual fee amount varies and changes over time. Check your cardholder agreement or call Barclays customer service for the current fee. Some cardholders have had fees waived by calling and asking, especially if they have a long payment history, but Barclays is not required to waive it.
Does carrying a balance on this card hurt my credit score?
Yes. A high balance relative to your credit limit (called high utilization) lowers your score even if you pay on time. Paying the full balance each month keeps utilization low and protects your score. If you carry a balance, the interest cost usually exceeds any discount you earn.
How do I know if the rewards are worth the annual fee?
Add up what you spent at Old Navy, Gap, Banana Republic, and their factory stores in the past year. Multiply that by the discount percentage the card offers. If that number is larger than the annual fee, the card paid for itself. If not, you lost money by holding it.
Will opening this card hurt my credit score?
Opening any new card temporarily lowers your score by a few points because of the inquiry and new account. The impact fades within a few months. If you use the card responsibly and pay on time, it can help your score over time by adding positive payment history and credit mix.