What's the difference between a bank credit card and a store credit card?

Question

For example...Citibank, Bank of America, Chase

Why do stores have their own credit cards? What purpose does it serve? Are store cards better to use at that store as in interest rates or what? Examples would be Express, Abercrombie & Fitch, Lucky....

Answer 1

Store credit cards have higher interest rates.
They approve more applicants more likely than banks, as they take on the risk of people with bad / poor credit, as well as possible delinquencies, but make people pay through the nose in interest to make more money.

You're better off getting a bank's (or credit union's) credit card as opposed to a store's. Store's will generally give you certain discounts or promotions, but unless you pay off the full balance monthly, you're only hurting yourself.

Answer 2

Bank Store Card

Answer 3

The difference between a bank credit card and a store credit card is that the first one will allow you to spend money that you don't have, and if it is a Visa o Mastercard, it is accepted all over the WORLD.
The store card is just a piece of plastic that is worth whatever the store decided it is worth, just ask the particular store you got it from, to know what you can do with it, most often they are rip offs in that they really are a mild con they thought up to RETAIN CUSTOMERS.

Answer 4

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RE :What's the difference between a bank credit card and a store credit card?
For example...Citibank, Bank of America, Chase

Why do stores have their own credit cards? What purpose does it serve? Are store cards better to use at that store as in interest rates or what? Examples would be Express, Abercrombie & Fitch, Lucky....
Follow 12 answers

Answer 5

Check the interest rates. They're usually a lot higher on a store credit card than a bank. The store makes money on them, or there wouldn't be endless offers to get store credit cards. The banks own it all though - Visa and Master Card are the banks.
DO NOT get a store credit card. It's useless and they'll take the bank ones anyway. The thing that a lot of ppl don't know is that HAVING TOO MANY CREDIT CARDS CAN HARM YOUR CDT RATING! So don't sign up for every stupid free gift and low ball 10% off that every store offers. I swear to God, soon your local ice cream store will have it's own card! Get our card! Get a free twist cone!

Answer 6

The difference between a bank credit card and a store credit card is that the first one will allow you to spend money that you don't have, and if it is a Visa o Mastercard, it is accepted all over the WORLD.
The store card is just a piece of plastic that is worth whatever the store decided it is worth, just ask the particular store you got it from, to know what you can do with it, most often they are rip offs in that they really are a mild con they thought up to RETAIN CUSTOMERS.


RE:
>What's the difference between a bank credit card and a store credit card?
>

Answer 7

A bank credit card you can use anywhere. A store credit card you can use just in that store. Stores have their own credit cards so they can make money off of you. They get a lot for interest, overspending, not making a payment, etc. Also, I know I tend to spend more because I can just charge it. So that's money that they could have in their own pocket because of their credit card instead of the bank.

Answer 8

Bank cards you can use anywhere, and are issued by banks
store credit cards usually carry a higher interest rate, but additionally they can collect a lot of information about you, as well as send you special promotions to get you to return.

Answer 9

Bank cards you can use anywhere...store cards can only be used at that store...they hope that if you are strapped for cash to purchase something then you will go through them or withdraw cash so they can charge you the extra interest...seems the store are hoarding in on the banks. Survival of the fittest i guess :)

Answer 10

bank credit cards are issued by a bank and store credit cards are issued by the store through their bank