Frequent Contributor
jd5189
Posts: 470
Registered: ‎08-14-2012
Re: Why do people use store cards?

Store cards definitely have their place in the credit market. Stores use them to get you to buy more as studies show that you are inclined to spend more with a CC vs. cash. They entice you into the store usually by discounts/promotions of some kind. For some, if you typically shop at a certain store, the discounts can add up. Or in the case with home improvement cards - they radomly offer 0% financing for longer than some CC's offer - also without the need to apply for a new CC to get the 0%.

I personally don't have any store cards yet, but if I develop a trend where I tend to shop at a store often and the rewards look good, I might app for one in the future.

In my wallet: Amex PRG & Zync, Amex BCE (19.2k), Chase Freedom (5k), PSECU Visa/PSL (20k)
Current Scores: Equifax: 738 (Fako) TransUnion: 721 (Fico) Experian: 717 (Fico)
Disclaimer: I am by no means a financial advisor. My posts are based on opinion, experience, and/or knowledge.