I was shopping before work and stopped at a beauty supply store. I brought my purchase to the counter and the clerk said hello. As she rang up my items she asked if I would be interested in applying for their store credit card. I told her no, I don’t need another credit card but understand it is part of her job to ask. But I said I was curious what the interest rate was. She leafed through the paper application and found the correct page. It was 31.28%! That is a lot.

I know life is expensive and the price of everything is going up. But it always will.

Stores try to lure people in with credit cards to get you to spend more money. They will also promise you savings at the checkout and points that when accrued will earn you free money. It sounds enticing, but trust me, it’s a trap!! The clerk will also tell you if you pay the balance each month, you can avoid the interest charge. That sounds like a great plan but my issue is, what if you cannot pay each month? What if you lose your job or your hours are cut? There goes your source of income. What if you have unexpected car expenses? What if you all of sudden you have to move? What if there is a family emergency? If any of these situations occur and you can’t pay, what happens to your credit card balance? It goes up and your credit score goes down.

Don’t get me wrong. I like to have nice things. But do I really need more stuff? No. Do you? That is up to you. I am just pointing out what I have learned and the question it can’t hurt to ask the next time you have a credit card application put in front of you.