Store credit cards work similarly to traditional credit cards. You make purchases on the card, which you can pay off over time. Each month you will be required to make a minimum payment. The interest rates on store credit cards tend to be higher than you would have on a traditional card.

WHAT IS department store credit?

Department store cards are co-branded credit cards offered by department stores and card issuers. Similar to other types of retail credit cards, department store cards come in two varieties: However, if the department store has multiple brands, you may be able to use the card at all of its locations.

What are the positives and negatives of owning a department store card?

The Pros of Getting a Store Credit Card

• Pro #1: Sign-up discount.
• Pro #2: Regular discounts.
• Pro #3: You can buy what you want when you want it.
• Con #1: High interest rates.
• Con #2: They can harm your credit score.
• Con #3: They can be less beneficial than traditional credit cards.

Do I have to accept store credit?

If you simply change your mind, the retailer has no legal obligation to give you your money back, should you return an item without a receipt. However, many stores will offer an exchange or credit note, so its always worth asking.

What is the easiest department store credit card?

The easiest department store credit card to get approved for is the Fingerhut Credit Account, but that’s only if you count an online retailer / mail catalog as a department store. It’s the only store card you can get with bad credit.

Can you use a department store credit card?

First, let’s cover the two types of department store, or retail, credit cards. One type of retail card looks just like a regular credit card, but you can only use it to buy goods and services from that retailer. That’s unlike a traditional credit card, which can be used wherever a merchant accepts cards.

Can a department store card drop your credit score?

Credit scoring models look at the utilization rate of each card in your profile, so a store card that is near maxed out can drop your credit score. Although they may be dwindling, department stores are still the anchors of nearly every mall in America.

Why do department store credit cards have higher interest rates?

Department store credit cards typically have higher annual percentage rates (APRs) than traditional credit cards do. This means if you don’t pay off the balance on your department store credit card every month, you’ll accrue interest payments that are higher than those you’d normally find with a traditional credit card.

Where do I Send my Sears credit card payment?

Regular mail and expedited payment addresses are available. Send your payment coupon and a check or money order to the appropriate address: You can also make a credit card payment at any Sears location, which is convenient if you live nearby or if you are planning to shop there.