There are many stores that have cards that you can apply for. These store cards have different benefits, but they tend to all allow you to use them instead of cash and repay them when you get a statement or pay interest and borrow the money. They also tend to have special offers so that you get advantages to using the card rather than paying by cash, debit card or credit card. However, a store card can normally only be used at the shop that it is issued which means that you could be tempted to get a card for each shop that you use so that you can get the benefits of all of them. However, this might not be the best idea. It is worth contemplating the disadvantages to decide whether it will work out for you.

Possibility of Overspending

If you have a lot of different cards then it can be difficult to track how much you are spending. You need to think about whether you might spend too much across the cards and find it really hard to manage to repay the cards. You will need to be able to make sure that this does not happen. You might be happy with keeping a written track of how much you are spending on the cards and use that to help you to make sure you will be able to afford them. You might be able to access an online account of how much money you have spent as well, which could be useful. However, you could find that you will find it too tricky to do this or that you may not be able to access them all anyway. Therefore, you will need to be careful and think about whether you think that you will be able to keep track of the spending that you do to make sure that you will be able to repay the cards without the risk of going into debt or struggling with the repayments.

Costs

When you have a store card you will have the option of repaying it in full or you can just repay a minimum amount and owe the money. This is an option that a lot of people take but you need to think carefully about using it. This is because you will find that there is a high interest rate on this sort of card and so you will end up having to pay out a lot of money. You will find that it is quite easy to ignore the interest as you will pay it monthly and so it will not accumulate on the account and may not even look that much. But if you add it up you will be able to understand how much it could cost you over a year and that will not be an insignificant amount. If you are fully intending on repaying the card in full each month, then there is unlikely to be an additional cost. So, you will need to think about which is likely to be the case with you and you will be able to decide whether the costs will be high or irrelevant.

Temptation to Spend

If you have a number of cards then it might increase your temptation to spend money. You might feel like you want to buy lots of things because you have the cards and do not have to immediately find the money to pay for things. If they all have different deals on as well, you might want to use each of them because you will be able to use all of the different deals. This could mean that you will be really tempted to spend far more money than you can actually afford and this could mean that you will get into financial difficulties. However, you might be sensible with the cards and only use them to buy things that you would have bought anyway and that could help you to be able to take advantage of the deals that are on the cards.

By Karen

As someone that has a great love for learning, being a freelance writer is the perfect job. I need to research all sorts of topics to write about and that is interesting and fun and it means that I am able to learn lots of interesting things while I am working. I write quickly too which means that I can get a lot done each day which I enjoy. I feel really lucky to be able to do job I enjoy and hopefully write about things that people feel interesting. With this finance writing I feel great knowing that I will be helping people too.

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