Younker credit card actually department store credit cards! so basically their main business are not credit cards! and usually their APR are slightly higher than most average credit cards! because their APR for purchases and cash advances are almost equal! and to be honest, it’s not good! because credit cards, for purchases should be lower than cash advances! but again, I don’t surprise if their APR for purchases are almost same like cash advances !
What is that mean ? it mean their APR are not good! because most of credit cards, actually have different APR for purchases and cash advances! most credit cards will charge high APR for cash advances! the reason simply because credit cards don’t make enough profit, if you take cash from them! meanwhile if you purchase something with in their network store! actually they make money! it could be discount share! you get 10% discount, credit cards company get 10% Profit! Department stores get free advertising and helping them out to make free promotion to tens thousand credit cards holder!
But if credit card charging same APR for purchases and cash advances! for me personally it’s not good! but of course, if you love their brand so much! I don’t think it will hurt your financial situation if you apply their credit cards! after all, most of credit cards department stores usually have many rewards, such as Discount, Point, cash back, birthday gift, and etc!
These kind of credit cards, actually could be perfect card if they offering Intro APR for 15 or 24 month billing cycles! cause they will not charge interest rates for first 1-2 year! but if they have no intro APR! and if you want save a few dollar from them, the best way you can do, is by pay off your debt, before grace period ended! cause if not, you won’t save any money! in fact, you have to pay more money! the reason simply because their APR are much more bigger than the discount!
Here some sample!
you get 15% discount, for LCD TV! the price for TV are about $1000! since you get 15% discount from them! you only pay $850! 😉 not bad! you save $150! but wait! their APR are about 24%! so actually your total debt with them are not $850! instead! 850+24% APR! =$1054! 😀 yep! you loss $54! 😀
Am I sound cheapskate, for counting $54? sorry, my bad! 🙂