Store cards- the argument for closing

[Msjonesclt]

I have to ahree. When I first started rebuilding, I got as few store cards, but now, I rarely use them. Two of my store cards reduced my limits even though I have never been late or had any uti issues. That alone makes me think I'm better off without them. 

[DebtJoe]

My Kohls Card gets a ton of spend on it. Always lots of deals and Kohl's cash is always thrown your way.

I guess it depends on if you shop at that retailer often.

[Anonymous]

I'm no newbie to credit cards but I'd like someone to explain the purpose of store cards (HomeDepot, Sears, Nordstroms, Shell, etc.) vs VISA/MC/AX. Are there specific benefits to these cards that transcend the points or cash one gets from a bank card, or justify the additional weight in my back pocket? 

A long time ago, when just starting out, I had store cards (Bloomingdales, Texaco, Shell, Macy's, etc.) . They provided nothing to me and a false sense of loyalty to the vendor.  I got rid of them decades ago. Is it just that? Credit for starting out? Not talking about branded V/MC/AX cards but standalone merchant cards.

Someone please instruct me. I'm eager to learn.

[KatSoDak]

Depends on your need. Lowes card holders qualify for 5% off purchases or 6 months to pay  at 0% on purchases over $299.

Home Depot offers 0% financing offers on large(er) purchases with 12, 18 and 24 month payment timeframes.

Some gas cards offer a cents per gallon off if you use their app.

[Anonymous]

---

@Anonymous wrote:

I'm no newbie to credit cards but I'd like someone to explain the purpose of store cards (HomeDepot, Sears, Nordstroms, Shell, etc.) vs VISA/MC/AX. Are there specific benefits to these cards that transcend the points or cash one gets from a bank card, or justify the additional weight in my back pocket? 

A long time ago, when just starting out, I had store cards (Bloomingdales, Texaco, Shell, Macy's, etc.) . They provided nothing to me and a false sense of loyalty to the vendor.  I got rid of them decades ago. Is it just that? Credit for starting out? Not talking about branded V/MC/AX cards but standalone merchant cards.

Someone please instruct me. I'm eager to learn.

---

Some store cards do have very useful benefits, often discounts, such as  Target 5% off (which also applies to their debit card), Amazon store card, others may provide 0% interest for long periods, others will provide less easily quantifiable things, like access to special sale events.

And, some do very little or nothing....

Store cards at stores you don't use are to be avoided, unless you really need for rebuilding, but this is similar to a V/MC/Amex that provides benefits for an airline/hotel that you don't use.  And there are also V/MC/Amex without any redeeming features.

As I said earlier in this thread, I  don't think there is always a lot of practical difference between store cards and others.  There are some bank cards I will only use at very specific stores, as the worthwhile rewards only occur there.

[Anonymous]

My biggest kick myself in the ankle is that I didn't do more to retain the one store card I had from long ago (NM) because now my biggest Credit Profile drawback is the AAoA. 

I did get a little excited applying for at least one or two cards at stores I don't frequently shop at (AnnTaylor and Overstock) because having them I thought could be useful in the long run with purchases I would be making and I saw people here had been able to get good CLI's with them over time. 

Now my plan is for a Thick Credit Profile over time. I'm more methodical and strategic. For instance I looked at all the Comenity Store cards and identified who do I like, shop at... hope to shop at... And now I have a plan to add a few at a time over the next 6-9 months. Because I want to establish a groundwork for better AAoA in the future. 

And I'm grateful for all the small places which help me to reestablish and rebuild my credit. I could see having several. Might not need 36 Store Cards. 

[notmyrealname23]

I am getting 5% off on Amazon and Amazon Go grocery with my Amazon Store card. I guess I'll live with 5% off on a store card while this dude sticks his nose up at that?

[rgd51]

I would say it really depends on the store and the card. If someone shops at the store a lot and their store card gives better rewards than any bank card then it makes sense to have the store card. Lowes would be a good example giving 5% off purchases there while I can't think of any bank card that would come close except for the chase freedom flex having it as a 5% category next quarter. Amazon is another good example since all Amazon purchases get 3% cash back (5% if a prime member) while a bank card would give 2% tops unless it is a 5% rotating quarterly category on some cards but those bonuses change every quarter. 

Those are really the only store cards I'd recommend. Best buy has a terrible rewards program for their card. I had it for a few months and just closed the account because only being allowed to redeem in $5 increments for gift cards with expiration dates in my opinion isn't a good card.

Target had a good store card at 5% discount at the register like with lowes but I wouldn't even recommend the target credit card because you can get the exact same discount with their debit card without wasting a hard inquiry and getting hit with a new account.