Reasons To Get a Store Credit Card

In Education

Store credit cards are cards you could only use in one store. These cards are relatively easy to get as the store wants to encourage its customers to buy from them. They even get them to customers without good credit.

Store credit cards could have a high APR

These cards also have a high purchase APR of 25% or more. You could avoid this purchase APR if you pay your full bill on time every month. The cards also waive annual fees. It could also give cardholders access to new deals and discounts at the store.

While the card is only applicable in one store, having a store credit card could still influence your credit. The reason is that the store can choose to send your information to a major credit card company. If you pay your balance on time, this could benefit you.

Some of the cards could come with a 0% introductory APR for the first few months. While this might seem like a good deal, you must pay all your balances before this period ends. Otherwise, the store will carry forward any bill and expect you to pay from the moment of purchase.

How to get a store credit card

While store credit cards are easy to get, there are still a few hurdles to jump. For instance, you will need to be 18 or older, and some stores will require you to have fair credit. The store could also check your credit report.

The score you need to get a store credit card depends on the store type. You might get a card with a score of 600 at a gas station. However, you might need a higher score with other stores. Some stores consider other factors instead of your credit score.

Getting your card approved is fast and easy. Additionally, you could begin using the card the same day you get it. A cashier could give you an application form to fill out and then assigns you a temporary card number you could use until your card arrives.

While having a store card can be useful, cardholders should ensure they don’t have too many cards as this could affect their credit. Moreover, it could be more difficult to get a loan with multiple cards if your risk of debt is higher.

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