Are retail credit cards the right choice for you?


KIMT News 3 – We’ve all been there, you’re checking out at the store, and you’re told you could save 15% if you sign up for the stores credit card.

Those savings sound like a good idea, but analysts say you’re better off telling the cashier “No thank you.”

The first thing many shoppers may not be aware of, is high interest rates. According to, the average card offered by retailers is a little more than 23%.

That’s twice the national average of low-interest cards.

The biggest culprits are jewelry store; Zales at 28.99% followed by Staples and Office Depot.

Local retail banking officer, Wendy Rish, said while the interest rates are high, there are still some benefits to getting those types of cards. You just have to know what you’re getting into.

“I think if you shop at that particular store often, and the benefits that they’re going to give you as far as discounts, or monthly coupons or something like that maybe something to consider. You might want to have that store’s credit card. Also, if you’re younger and don’t have your credit established. You need to start building your credit some how. This may be a way for you to start on that.”

The retail store credit cards with the best interest rates are Walmart, Target, and Costco.

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