The Danger of Store-Cards & Why I Don’t Use Them

When you’re a little strapped for cash but can’t stop yourself from shopping what do you do? I can tell you what I do, I save and wait until I have enough money to buy what I have been wanting for so long. I’m patient and ignore the extra 20% I can get off my entire shop if I get a store card… why, you ask? Store cards can not only damage your credit rating but they can also get you into lots of financial trouble if you are not careful. OK so with some store cards you can get regular discounts and promotions, you can even get something like £300 instant credit which sounds pretty amazing right? Let me tell you about all if the hidden negatives of a store card which may make you rethink about getting one and save up instead. 

Hidden Charges
It’s all well and good having £300 instant credit but you will have to pay that back, most of the time you will get an interest free offer but that will end and usually it’s after about a month or two then the charges come rolling in. With an APR of 28% or more can you really afford to start paying everything back when you had no money in the first place? Some companies will even charge you an annual fee for the ‘convenience’ of having the card and if you fail to pay the minimum payment for the month you will get an extra charge on top of that! Cheeky. 

Store cards can be also addictive a little like shopping itself but when you think about all this ‘free’ money you have and that holiday you have next month it’s easy for things to spiral out of control, first it’s just a new bikini for your holiday and next it’s a whole entire new wardrobe! You have to be so careful, just think do you really need that extra pair of shoes? 
High Interest
Store cards are very different to Loyalty cards, you don’t earn points that you can later use to get a discount on your shop it’s basically a card that you can buy things on credit but of course with all of these cards you need to pay interest back and they often charge much higher interest than your average credit card especially when you go into debt. To avoid paying high interest charges you should aways try and pay off your bill in full each month or alternatively if you have a store card already and are struggling with the charges you can also transfer your balance onto an 0% interest balance credit card to help pay off the debt quicker and easier.
Still thinking about getting that store card for a measly discount and convenience? Id love to know if you have one and your thoughts on them, of course if you are sensible then they can be OK but personally they are not for me. 

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  • I have a store card, but I only need it if I urgently need something and I have no money. I would never use it to regularly buy things or buy a lot of things at once, it's just not worth it. x

    • Ah totally agree not something to use on a regular basis x

  • agreed! I used to have the New Look "Loyalty card" but I always ended up paying so much more than what the clothes cost me in the first place that I gave up on it. It was sooo hard cancelling it, they kept saying how great it was bla bla bla, never getting one ever again!

    Pam xo/ Pam Scalfi♥

  • I guess I'd consider a store card as a one off if there was a great promotion & I knew I could pay it back, but generally I agree with you – they're a bad idea. I used to work in a well-known department store and had to ask every customer if they'd like to take out the store card, I hated it!

    Jess xo

  • Omg , i didnt know this. So glad i stopped by , thanks for sharing ,i use store cards sometimes. I found your blog weeks ago on a facebook forum , and i've been reading ever since , so i nominated you and your beautiful blog for the Versatile Blogger Award , i hope you'll find time to check it out. Kisses.

  • I fell into a habit of using store cards a few years back. So glad i got rid of them all. It's just not worth it. Much more satisfying saving up for something too! x

    Becky X

  • I don't use them either, I'm very careful with credit cards and use them as least as possible

    Natalia | Lindifique

  • I had a store card forced on me, I made an online order with next and when I clicked proceed to payment it came up I'd been given a next store card that I couldnt make a payment on till I was sent all the details. I was furious.

    Rosy |