Lowe’s Credit Card Review: Evaluating the Value of Financing for Home Improvement Projects

The Lowe’s credit card, issued by Synchrony Financial, remains a popular financing option for consumers undertaking home improvement projects. With a 24-month 0% introductory APR on purchases exceeding $299, the card appeals to those planning larger renovations without immediate interest costs. This feature is particularly relevant given that the average home improvement project in the U.S. costs $12,800, according to industry estimates, making deferred payment plans attractive. Despite the promotional rate, the card carries a variable APR of 24.99% for purchases after the intro period and 29.99% for cash advances. Late payments may trigger penalty rates up to 29.99%, and there is no annual fee. The card’s redemption program offers 5% back on purchases at Lowe’s and 1% on all other spending, though rewards are not transferable and have no cash value. Data from credit reporting agencies show that Lowe’s card accounts for approximately 1.4 million active accounts in the U.S., with a 12-month delinquency rate of 7.3%—slightly above the average for retail credit cards. This indicates that while the card drives sales volume, it may also carry elevated credit risk for some users. For retailers, such cards contribute to higher customer retention and increased basket size, with Lowe’s reporting a 12.5% increase in credit card sales during Q4 2025. Investors tracking Lowe’s (LOW) and Home Depot (HD) should note that credit card financing can influence consumer spending patterns during economic volatility. While Lowe’s credit program supports top-line growth, it also exposes the company to potential charge-offs if macroeconomic conditions worsen. The card’s performance remains a secondary factor compared to broader retail metrics like same-store sales and inventory turnover.