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Have you ever been asked that question of, “Would you like to open a store card and receive a 20% discount on your purchase today?” Well just about every single time I go in a store that question is always asked. It seems like something everyone should get right? The store will take 20% off of your purchase today, but only if you open a store credit card. Numerous Americans are facing tremendous debt due to overspending and it is important to know the advantages and disadvantages to taking out a store credit card.

The advantages of taking out a store card:

• Promotions
• Discount on purchases
• Can help build your credit history
• Brand loyalty is reinforced
• Possible reward points

The disadvantages of taking out a store credit card:

• High interest rates
• Temptation to spend more than you have
• Low Credit Limits
• Start a bad habit of opening numerous lines of credit
• Possible hidden fees in the card

The best thing you can do when deciding to take or not take out a line of credit is do your research into the card. There is a tremendous amount of information out on the internet with millions of people willing to share their stories and experiences about credit, debt, and finances. The most important thing to remember is always weigh the advantages and disadvantages before taking out a line of credit because it can stay with you for seven years. If you are shopping and planning on purchasing a lot of things from a store and a store discount benefits you where you know you can cover the charges soon, then that can be a good deal. If you weigh the pros and cons then the decision will come to you!

If you have any questions on store credit cards or want to share your experiences then drop us a line because we want to hear from you!