Michaels Credit Card: Rewards, Approval, and Alternatives

Love getting lost in the yarn aisle? If you shop at Michaels often, the store card pays 9% back on every craft haul. That is a high reward rate, but a store credit card like this comes with a high APR and tight fine print. This review covers the exact rewards, the welcome offer, the real APR and fees from the cardholder agreement, and who should skip it.

Figures are verified as of June 2026 against the Comenity Capital Bank agreement on file with the CFPB. Terms and conditions apply, and APRs vary by creditworthiness.

Key Facts at a Glance

What Is the Michaels Credit Card?

The Michaels Credit Card is a store card issued by Comenity Capital Bank (Bread Financial), not by Michaels. It is a closed-loop card, which means it works only inside Michaels stores and on Michaels.com.

There is no Visa or Mastercard logo on it, so you cannot use it for gas, groceries, or anywhere else, and there is no foreign transaction fee because it cannot be used outside the store. Think of it as a loyalty tool for one store, not an everyday card. It reports to all three major bureaus.

Rewards and Welcome Offer

The headline is the earn rate.

• 9% back in rewards on Michaels purchases, in store and online
• A welcome offer of a one-time 20% discount on your first purchase with the card
• A daily cap of $150 in total rewards earned, and a maximum of 9% per transaction

Rewards are issued as vouchers, and here is the catch: each voucher expires 32 days after it is issued. You cannot stockpile them for a big purchase, so the 9% rate works best if you shop frequently enough to spend each voucher before it lapses. Rewards also exclude taxes, gift cards, shipping, and some third-party items. The card may also offer occasional free shipping and periodic special-financing (deferred-interest) promotions, where unpaid promo balances accrue interest from the purchase date at the 35.99% APR.

APR and Fees

The interest rate is where a store card can quietly cost you.

• Purchase APR: 35.99% variable, tied to the Prime Rate
• Penalty APR: up to 39.99% variable, which may apply after a late payment
• Annual fee: $0
• Foreign transaction fee: none (store-only card)
• Paper statement fee: $2.99 each month your balance is over $3.50 and a paper statement is mailed, up to $35.88 a year
• Minimum interest charge: $3.00
• Late payment fee: up to $41 ($30 if no late fee in the prior six billing periods)
• Returned payment fee: up to $41

A 35.99% purchase APR is very high. Carrying a balance can erase 9% rewards in a single billing cycle, so this card only makes sense if you pay in full each month. Understanding what APR means on a credit card helps here, and switching to electronic statements avoids the paper fee.

Who Can Get Approved?

Store cards like the Michaels Credit Card are often easier to qualify for than premium cards. Reported approvals typically start around a 640 score (fair credit), though approval is never guaranteed and depends on your full profile. Comenity does not publish a fixed starting credit limit, so reported figures vary by applicant. Applying triggers a hard inquiry, which can dip your score by a few points. The card reports to all three major credit bureaus, so on-time payments can help your history.

Pros and Cons

Pros

• Strong 9% reward rate for frequent Michaels shoppers
• 20% off your first purchase
• No annual fee, and easier approval than premium cards

Cons

• Closed-loop: useless outside Michaels
• Rewards vouchers expire just 32 days after issue
• 35.99% purchase APR, with a penalty APR up to 39.99%
• Paper statement fee unless you go paperless

Who Should Skip It

Skip the Michaels Credit Card if you shop there only occasionally (those 32-day vouchers will expire unused), if you ever carry a balance (the APR is punishing), or if your main goal is building a broad credit history. A single-store card does little for everyday spending or emergencies.

Cards That Build Credit You Can Use Anywhere

If your real goal is a credit history you can use everywhere, an unsecured card with no deposit usually serves you better than a store card. If approval is a concern, the Aspire Cash Back Rewards Mastercard is an unsecured card with no security deposit, prequalification up to a $1,000 limit, up to 3% cash back, and reports to all three bureaus. Because it runs on the Mastercard network, you can use it far beyond a single store.

For a paycheck-powered way to build credit, Perpay is powered by your paycheck — no security deposit, shop and pay over time while it reports to all three bureaus, members see an average 32-point increase. Whichever route you choose, charge only what you can pay off in full each month and keep your credit utilization low to support a healthier score.

If you want another no-deposit option that grows with you, the Arro Card is an unsecured starter card with no deposit and no hard credit check; start with a limit up to $300 that grows toward $2,500 via in-app tasks, reports to all three bureaus. Like the cards above, it works far beyond a single store and helps you build a broad credit history.

Frequently Asked Questions

Can I use the Michaels Credit Card anywhere besides Michaels?

No. It is a closed-loop store card issued by Comenity Capital Bank, so it works only inside Michaels stores and on Michaels.com. It has no Visa or Mastercard logo, so you cannot use it for everyday purchases elsewhere.

What rewards does the Michaels Credit Card earn?

It earns 9% back in rewards on Michaels purchases, capped at $150 in total rewards per day and 9% per transaction. New cardholders also get a one-time 20% discount on their first purchase. Rewards vouchers expire 32 days after they are issued.

What is the APR and what credit score do I need?

The purchase APR is 35.99% variable, and the penalty APR can reach 39.99% after a late payment. Reported approvals typically start around a 640 score (fair credit). Pay your balance in full each month to keep the 9% rewards worthwhile. The card reports to all three bureaus.

Does the Michaels Credit Card have other fees?

There is no annual fee or foreign transaction fee, but a $2.99 monthly paper statement fee applies (up to $35.88 a year) when a paper statement is mailed and your balance is over $3.50. Late and returned payment fees run up to $41. Going paperless avoids the statement fee.