8 Clear Signs to Skip the Retail Credit Card
Store cards are rarely the cost-saving tools advertised at the register. If you encounter any of the following eight warning signs, decline the offer immediately and protect your household cash flow.
1. You Plan to Carry Any Balance Past the First Statement
If you cannot pay off your full balance on the very first billing statement, the register discount becomes an expensive financial error. Retailers typically offer a 10% to 20% discount on your initial purchase to entice you to apply. However, with store card APRs averaging above 30%, carrying a balance for just three to four months completely erases your original savings. After month four, you are paying pure interest on merchandise that has already lost its novelty, turning a temporary bargain into a prolonged monthly drain.
