NEW YORK—Why do many Americans use store credit cards?
Not surprisingly, it has little to do with rate, reveals one new report that clearly underscores the heavy additional interest consumers pay versus using a credit union or bank card.
A new report from CompareCards examined credit cards from 50 of the country’s largest retailers and found the average annual percentage rate for a store credit card is 24.97%--more than eight percentage points higher than the average APR Americans pay on other credit card debt.
Nearly half (47%) of the people surveyed by CompareCards who have opened a store card eventually regretted getting it, the report said.