SAYING ‘YES’ TO THE STORE CREDIT CARD OFFER
Opening a new credit line at the checkout counter has plenty of appeal when you’re granted an immediate discount on your day’s purchases. However, you could end up paying interest on your balance if you don’t pay in full and end up buying more than you planned just because you know you’re getting a discount.
What to do: Make sure you have a healthy credit score before opening a new credit line so you don’t end up damaging your credit from your retail ventures. Look for alternative ways to get a similar discount, such as coupons, flyers, or newsletter promotional offers so you won’t be tempted to open a credit card account to save money.
SHOPPING WITHOUT A REWARDS CARD
Whether you’re grocery shopping or buying new shoes, all of your purchases could be earning you cash back or bonus points for a rewards program. Some credit card companies even offer double points and other incentives for making purchases in certain categories.
What to do: Review all the benefits of any rewards credit cards and debit cards you have, or consider applying for a rewards card that you know you’ll use often. Using these cards regularly can earn you cash back on every purchase, a statement credit, airline miles or points that can be redeemed for gift cards and other rewards.
BUYING CLOTHES AND SHOES IN SEASON
While it’s fun to shop the latest trends and scoop up the newest fashions from your favorite retailer, buying clothes and shoes as soon as they hit the racks comes at a price. You’ll be paying full price most of the time, or you’ll only be able to get a small discount on the goods when the store runs a sale.
What to do: Don’t chase after trends or the latest season’s lineup unless it’s marked down significantly. Waiting a few weeks or a couple of months means you could see the items you have your eye on now marked down significantly or hitting the clearance racks during off-season sales.
