According to a recent poll commissioned by Credit Karma, one in five Americans opted for the additional discount at store registers by opening a store credit card at least once over the past two years.
The poll, conducted by Harris Interactive, found that 45 percent of shoppers who opened a store credit card within the past two years did not consider the impact on their credit or finances when submitting the application.
“Opening a store credit card can be beneficial if you regularly shop at that store,” Credit Karma Founder and Chief Consumer Advocate Ken Lin said. “However, it can also negatively impact your future credit worthiness and your finances, which many Americans don’t think about. That’s when people get into trouble.”
Data from Credit Karma showed the percentage of new store credit cards doubled during the holiday shopping season in November and December to 13 percent and 11 percent, respectively, from the previous January.