My Question: Do you open credit cards at the stores you frequent in order to get 5% off?

[MelInKansas]

I always get credit card offers, or offers when I check out, or offers in the mail for stores that I shop at. Even the grocery store that I shop at most often has a credit card reward program (it's not as good as 5% off every purchase like some places, it's fuel rewards and "cash back" which is 1% just like every other cash rewards card). I used to tote all these reusable shopping bags to the store for every trip and that saved me far less than 5% (or even 1%). Is it a good idea to get these cards for the savings you can get, especially for stores you go to frequently?

Here's my problem. I don't really like credit cards, we have them but I use cash for most of my everyday purchases. The reason I do this is because unless I have a hard limit beyond which I can spend, I tend to spend more (which is why they offer these discounts/rewards IMO). I've been using cash for most of my everyday spending for at least 5 years, so maybe I've been reprogrammed, I don't know. I'm not sure I want to risk it to find out. If I use a credit card I have a really hard time keeping track of how much I've spent. When there's cash in my wallet, I know when it's gone, or even when it's almost gone.

The other problem is that umm.... my husband and I do have communication problems and sometimes have trouble getting the bills sent on time. By the time I pay a $30 late fee, any savings I've gotten from any kind of rewards is more than gone.

But part of me wants to get the extra discount offered by these cards also, I just don't know if I'm disciplined enough!

[434Teresa]

no I do not..I dont do credit. If you make one late payment then there gose your 5% back and more. If we dont have the cash/money to pay for things right then we dont buy them. I know many get credit card meaning well but soon they have a high balance and the fees end up taking them down. Its so easy to say well I will pay it next week...

[jenn09138]

First off I would focus on getting the communication set about who pays what bills and make sure it's always done on time. If you can do that than maybe you can start talking about it.
You say you want it for the extra savings, well then take the money you would usually spend at that store. Say its your grocery store and your budget is lets say $200 a month. Take that $ and put it in an envelope, as soon as you use your card say you spend $50 take that out of your envelope designated for that card and back into the credit card as soon as possible. Just make sure that once the money is gone from the envelope to take the card out of your wallet until you renew your budget and then it starts over. Maybe it would also help to put a little sticky note on the card reminding you of your remaining budget.
If you don't pay your bill on time 1 month try to set up a different system for paying it, if it does happen again maybe just cancel it and then you will know you gave it a shot and it didn't work out.
By the way I set reminders on my phone and have notes on the calendar as to when certain bills are due, I have 2 for the really important ones that have penalties.
Some cards also have apps or email notices for when you are getting close to a budget you set.

[meggers]

I do this. I use credit for the rewards all the time. I think it's just one of those things that you have decide for yourself & ask yourself some hard questions. Like are you discliplined enough to not spend more than you can pay the following month?

If I make a large purchase with a CC for the rewards, I will often deduct that money from my checking account so that it's out of sight (out of mind). I have also been known to send extra to my CC company because I know I just bought something, but it didn't show on the bill yet. So, I add it in to my payment for the previous month. It's nothing more than another savings tool for me, but others may be better off not going that route.

[rheavon]

I only have 2 store cards- and one has ongoing rewards, whereas the other just had that one-time deal. I pay each off each time I use them (probably once every 6 months or so-when I know I have the $ to pay it off). I'm fine with cash, honestly. I feel it keeps me more in check and I'm far less likely to overspend- even with a luring 15-25% off your 1st purchase deals some of these places throw at me.

I've given consideration to Kohl's and possibly Target for their perks, but I just need to figure out if they're worth it for me.

[SFShopper]

I do this. I use credit for the rewards all the time. I think it's just one of those things that you have decide for yourself & ask yourself some hard questions. Like are you discliplined enough to not spend more than you can pay the following month?

If I make a large purchase with a CC for the rewards, I will often deduct that money from my checking account so that it's out of sight (out of mind). I have also been known to send extra to my CC company because I know I just bought something, but it didn't show on the bill yet. So, I add it in to my payment for the previous month. It's nothing more than another savings tool for me, but others may be better off not going that route.

I pretty much do this too My main CC - I use for the rewards and will make a payment immediately if I just got something big + I don't like seeing a higher bill @ the end of the month

But uhhh - I don't do store cards cuz I know, I might just spend more more, and would rather everything be on one card - the CC that will still get me rewards.

[lovemygirls]

I have may store CC and other regular CC as well. The store credit cards I do use to get the discounts and I am really good about making a purchase and using my discount then coming home and logging on to my online banking and making the payment out of my checking account right away. I must say I have saved a ton of money using the discounts. I use my Target debit card (not a CC) on each Target purchase I make. It comes right out of my account just as my regular debit card would be I get the extra 5% off. I like it because it is like using extra coupons in my mind. The regular credit cards we use once in a while. I put away in savings each winter since my husband is a heavy equipment operator and basically does not work for a good 3 months out of the year. This last winter he was out 6 months because of the economy and the rain. I really buckle down the house those months. I put money in to savings and hope it gets us through but this last year I did use the regular CC to help make ends meet and as soon as he went back to work they got paid off.

If you are disciplined enough about making your payments then I would say yes but if not then I would not risk it.

[MelInKansas]

Oh, I didn't know there was a Target debit card. Target is one of the stores I shop at pretty regularly, plus I often get prescriptions filled there and they have a reward that's ONLY on their card if you fill prescriptions.

I may have to check into that debit card! Although my husband is against debit cards. Sigh.

[Spanelli8706]

I have the Target debit card and LOVE it. I opened it back in 08/09 and have nothing but great things to say about it. Look over in the Target forum here. There is a thread explaining it and many reviews.

[JulieDB]

Heck no!

Back when I didn't have much credit established, I got every card I could get my hands on. It was a pain using those cards and not overspending. I had to keep track of what I spent and where. And then writing all those checks and paying the postage? Nope.

These days I pay most of my bills automatically or at least online. I only have a Visa card and it is only used for emergencies like plumbing or car repairs. My husband does pay some small bills automatically through it and I think maybe my Norton AV is paid through it. But that's about it.

Target is now offering 5% back with their debit card. But two problems with that. It is linked to your checking account. And my husband has direct deposit put into savings and not checking because he thinks he is getting more interest. But in actuality he spends it as fast as he can so that isn't working so well. I also do not want to have another card. So many of the stores here require you to have one of their cards for the added savings and some do not have the little key ring ones. A couple are credit card sized.