topic Re: Thoughts On Store Cards? in Credit Cards

Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 12:38:15 GMT

I'm just curious on everyone's thoughts on store cards. How do they work for you? I'm thinking about possibly getting one but i'm not sure if i should based on my scores or just in general.

Re: Thoughts On Store Cards?

BmoreBull — Tue, 16 Jun 2020 12:51:31 GMT

Before I found this forum, I got two store cards using the sct. I thought at the time that it would be good to build my credit and pad utilization. I kind of wish now that I hadn't got them. They are both low limit cards($250) and the stores are not really places that I shop on a regular basis. I would say only get a store card if it's somewhere that you shop regularly and would be spending money there any way.

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 13:00:01 GMT

@Anonymous wrote:
I'm just curious on everyone's thoughts on store cards. How do they work for you? I'm thinking about possibly getting one but i'm not sure if i should based on my scores or just in general.

Store cards to boost your scores or store cards in general?

Some store cards can have a place in someone's wallet that gets use out of that cards rewards-if any. Overall, store cards aren't very useful these days.

Opening a few store cards may net you some additional available credit for a better debt-to-credit ratio (if you even allow balances to report on your two cards).

Based on your signature, it seems that you are getting very close to accomplishing better cards. 717 TU? 658 EX? Those are not bad scores.

Have you tried for an unsecured Discover yet? I would stick to the majors and Discover would be my first stop, provided you have not burned them in the past.

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 13:03:01 GMT

@BmoreBull wrote:
I would say only get a store card if it's somewhere that you shop regularly and would be spending money there any way.

Basically this. But also, don't shy away from a store card if it offers valuable benefits at a place you do frequently shop. There are a number of good value store cards, that either pay good rewards or have some useful bonus feature.

But really, the same is true of a bank credit card as well, don't go for a card that offers rewards in categories that aren't reasonable spend categories for you

Re: Thoughts On Store Cards?

TSlop — Tue, 16 Jun 2020 13:20:39 GMT

I like store cards, since I enjoy the extra cashback/points, but only if I shop there consistently. I have a Best Buy card (graduated from a store card to a Visa) and a Target RedCard debit (so it wouldn't hit my credit). I personally don't see a point to opening a store card for a single visit or rare visit, especially since it might hit your credit score. However, even though I didn't shop there much, I opened up Wolf Furniture and Google cards to get 0% financing. The Wolf card only got 1 purchase, but the Google is now on its second phone purchase.

Re: Thoughts On Store Cards?

GApeachy — Tue, 16 Jun 2020 13:25:52 GMT

Also, if you try the SCT you may get the language that you're pre-approved for a major (cc) store card. I've had a few major's through Comenity and knew it before I filled out the app (sp which is awesome- note: not always becuz some have gotten burned with the hp anyway) .....the language will indicate pre-approved for their cc store card, ie. Ulta and GoodSam Camping world do. I believe dh's Williams Sonoma & Sportsmans Guide did too. iirc. BUT, it's NOT a guarantee on the major vs minor store card but an indicator imo.

So anyway, a store card can net you a major or can be a handy dandy if you shop and need some deferred interest promos.

I believe it affects your Auto Insurance scores but Idk by how much or anything....just read it here on myFico. Good Luck!

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 14:14:37 GMT

I've tried discover and they want me to do a secured card unfortunately. But the main thing I was looking for specifically was the best but citi card just cause I shop there a lot.

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 14:47:16 GMT

My understanding is that store cards negatively affect insurance scores.

Re: Thoughts On Store Cards?

K-in-Boston — Tue, 16 Jun 2020 15:57:11 GMT

Store cards can have an effect on auto insurance industry scores, except for CA, HI, and MA where credit scores can not be a factor in determining rates.

I agree that store cards are great as long as they offer you something in return and you will continue to use them. I get a ton of value from mine. For building credit alone, there are often better options if you would not otherwise use them.

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 16:12:02 GMT

@K-in-Boston wrote:
Store cards can have an effect on auto insurance industry scores, except for CA, HI, and MA where credit scores can not be a factor in determining rates.

Or to be a little more precise, the scores are impacted even in those states, just it has no effect on rates!

Re: Thoughts On Store Cards?

Remedios — Tue, 16 Jun 2020 16:22:22 GMT

No one ever quantified impact of store cards on insurance rates.

While LN weighs them as potential negative in presence of other factors, the impact on those with clean file and clean driving record is negligible.

My insurance rate remained unchanged after adding store card, and it didn't go down at the renewal when card was closed.

In fact, the only things my LN bished way back when you could get score in addition to the report were inquires and new accounts, so really, no different than what FICO bishes about (well, it did say my wealth index was impacted by lack of watercraft ownership).

A few dollars lost because you have a store card are completely offset by rewards if you're paying in full.

Re: Thoughts On Store Cards?

K-in-Boston — Tue, 16 Jun 2020 16:28:25 GMT

+100. No clue what if any actual penalty is being applied. Remmy, I still think you should buy a jet ski and a glider, send photos via text message to LN, ask them to upgrade your watercraft and aircraft ownership, and then go insurance shopping for science.

Re: Thoughts On Store Cards?

Remedios — Tue, 16 Jun 2020 16:43:14 GMT

No, I'm going to buy those cute little tubs you bathe babies in, then put it Puget Sound mud water and take a picture, and send it to them while calling it "Dispute".

Also, I'm going to take picture of seals and ask them what kind of broke ish has seal pets (they will never know those are wild animals).

If ostrich feels like photo op, I'll use that as additional proof that I'm right and they are wrong!

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 17:52:52 GMT

@Remedios wrote:
My insurance rate remained unchanged after adding store card, and it didn't go down at the renewal when card was closed. ...

From what I could gather, Esurance calculated my score once at policy inception. I could request a rescore but it did not appear to happen automatically upon renewal. When I called Esurance to cancel, they did a rescore and offered me a slightly lower rate.

I wish insurance scores were more transparent.

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 18:13:43 GMT

@Remedios wrote:

In fact, the only things my LN bished way back when you could get score in addition to the report were inquires and new accounts, so really, no different than what FICO bishes about (well, it did say my wealth index was impacted by lack of watercraft ownership).

Well, that's because the five high-speed power boats you owned (prior to seizure by the DEA) were registered under fake names. Good to avoid criminal charges, but not so good for LN. So on balance, a win!

Re: Thoughts On Store Cards?

Remedios — Tue, 16 Jun 2020 18:25:02 GMT

@Anonymous wrote:
@Remedios wrote:

In fact, the only things my LN bished way back when you could get score in addition to the report were inquires and new accounts, so really, no different than what FICO bishes about (well, it did say my wealth index was impacted by lack of watercraft ownership).

Well, that's because the five high-speed power boats you owned (prior to seizure by the DEA) were registered under fake names. Good to avoid criminal charges, but not so good for LN. So on balance, a win!

Omg, you're a genius

Gonna take a selfie with a six pack of coke and put winky emoji on the pic.

I cannot see where that dispute wont go in my favor.

Re: Thoughts On Store Cards?

simplynoir — Tue, 16 Jun 2020 19:04:25 GMT

@Remedios wrote:
@Anonymous wrote:
@Remedios wrote:

In fact, the only things my LN bished way back when you could get score in addition to the report were inquires and new accounts, so really, no different than what FICO bishes about (well, it did say my wealth index was impacted by lack of watercraft ownership).

Well, that's because the five high-speed power boats you owned (prior to seizure by the DEA) were registered under fake names. Good to avoid criminal charges, but not so good for LN. So on balance, a win!

Omg, you're a genius
Gonna take a selfie with a six pack of coke and put winky emoji on the pic.
I cannot see where that dispute wont go in my favor.

Based on posts on the forum wink emojis apparently solve all disputes so you should be clear

Re: Thoughts On Store Cards?

Anonymous — Tue, 16 Jun 2020 19:16:54 GMT

On another note:

06/16/2020 Going to throw some pillows on the floor and leave a ransome note on the table before I leave for work. Because parenting.

Can I have an option on the movie rights to "Daily Wisdom of Remedios" (and any sequels). You just have to promise that you will keep doing this for long enough (basically to fill 120 minutes of blockbuster greatness). Personally, I bet you will quit by July (Pyschological tactic to keep production going...)

Re: Thoughts On Store Cards?

Remedios — Tue, 16 Jun 2020 20:09:29 GMT

@Anonymous wrote:
On another note:

06/16/2020 Going to throw some pillows on the floor and leave a ransome note on the table before I leave for work. Because parenting.

Can I have an option on the movie rights to "Daily Wisdom of Remedios" (and any sequels). You just have to promise that you will keep doing this for long enough (basically to fill 120 minutes of blockbuster greatness). Personally, I bet you will quit by July (Pyschological tactic to keep production going...)

I'm not going to quit by July because your trick worked.

Re: Thoughts On Store Cards?

Citylights18 — Tue, 16 Jun 2020 20:11:45 GMT

What store cards do for you is open up financing ability so you want to open one unless you intend to be a long term customer. That said there are different classifications of store cards.

1) Wholesale Shopping (Amazon/WalMart)

2) Department Stores (Macys/Sears)

3) Electronics (Apple/Samsung)

4) Home Improvement (Home Depot/Lowes)

I listed big names and those are the most valuable. I wouldn't open one if I didn't see recurring purchases. The last one I opened 2 year ago was a Samsung card for appliances with the idea that in the future I could also put a cellphone or computer on it.

But if I was to build up a new credit card system I would start with a Trifecta from one of the issuers first for the SUBs, then a few travel cards before I'd load up on store cards. A big purchase is a perfect excuse for opening a bank revolver since they'll offer at times 10% or more points per dollar spent.

So you could open up a store card to save 5% on a purchase or use 5% rotator card which has that store category under bonus that quarter. Thus you might be smarter just to open up a Discover or a Freedom and take advantage of the 5% bonus category plus the promotional SUB they are offering.