Do you carry Store Credit Cards? The Pros and Cons
When it comes to store credit cards you may be tempted to move forward so you can buy everything you have ever wanted, plus much more. As you know, most large stores, such as Macys and many others, offer a store credit card. But before you decide for or against this you need to know what you are going to face in the future. When it comes down to it there are pros and cons of store credit cards, and if you are not careful you could make the wrong decision which will in turn affect you in more ways than one.
The main drawback of most store credit cards is the interest rate. If you are going to carry a store credit card you should follow this rule of thumb: never carry a balance from one month to the next. If you do you are probably going to be hit with a finance charge in the range of 15 to 20 percent. This means that the savings you accrued by using a store credit card are now being given right back.
Another drawback of store credit cards is that you may feel inclined to spend more than you can afford. Again, this puts you in a bad position because you are going to end up in financial trouble and more than likely a bill that you cannot pay off right away.
So what are the benefits? One of the best is that you may receive special offers from time to time if you are a card holder. And while this is a good thing it can turn bad in a hurry if you go overboard or don’t pay off your bill before finance charges add up.
If you are going to apply for a store credit card be sure to consider the pros and cons before filling out an application.
