Build Your Credit History With Departmental Store Cards


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Building Credit History » Build Your Credit History With Departmental Store Cards

Build Your Credit History With Departmental Store Cards

The content is accurate at the time of publication and is subject to change.
Having no credit history might seem a comfortable idea at first, but having a good credit history is one of the basic necessities, if you want to be financially secure. Credit card is one of the easiest ways of building a strong credit. However, it is difficult to obtain a credit card without a credit history making the whole situation a deadlock. There are other ways to get around the no credit history drawback, but any day, there is no match for a record like good credit history. There are many established and successful ways to start building a new credit history. Most successful and fastest way to good credit history is a departmental store card. Departmental store cards are very similar to credit cards, in a way that they both operate on credit. They are issued by all leading departmental stores to attract new customers and to keep the existing customers satisfied. These cards are much easier to own, all you have to do is choose your favorite departmental store and apply for their cards. Almost everybody is eligible for it and is approved for the card once they apply for it. Before you own a departmental store card, make sure of the following things: Credit reporting: Make sure your departmental store reports all financial transactions to a credit reporting bureau. If they do not, then the whole idea of choosing a departmental card for credit history does not make any sense. If they do report, then, as you purchase a product on your store card and make timely payments, your records will be reported from time to time. This can positively add onto your credit score and make your report stronger. Exercise caution: While it is a great way to start with the credit history you have to be sure of making timely payments. Because these cards are means of sales promotions, the interest rates they charge for unpaid outstanding balance is quite high. Only if you think you can handle credit card system of working, then think of departmental store cards. Overspending: Consider the amount you are going to spend every month on the departmental store card. Since these cards offer attractive discount rates and monthly promotional offers, it is easy to overspend and cross the available credit limit on your card. At any given time, exceeding 50 percent of your available credit limit is a bad idea since it will reflect as a negative point on your credit history. Also, avoid making any new purchase on your card if you have not paid the full balance due for the previous month. This can add on to your debt and cause your credit history to go bad. Using the card, only to build a good credit history is mandatory. Along with all the above measures, another important step after you have started the store card payment cycle is to read your credit report, once in a while. To know that you are safe and have a sound credit history is a very secure feeling. If anything is not good on your credit report, there are always measures to correct them before it is too late.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

Autumn 2018: Best Rewards Credit Cards for Thanksgiving Shopping

Autumn 2018: Best Rewards Credit Cards for Thanksgiving Shopping

Posted: November 8, 2018

Thanksgiving is coming, and whether you are hosting a meal or coming as a guest, your spendings are going to accumulate faster than you can notice. A holiday feast is a costly matter – each year Americans spend around $50 on a Thanksgiving ... Continue reading
The Best Credit Card for Earning Cash: Discover it® Cash Back

The Best Credit Card for Earning Cash: Discover it® Cash Back

Posted: November 2, 2018

You’ll have hundreds of dollars in your pocket in no time because you’ll earn money back on every purchase you make with this card. There are no restrictions on the amount of cash back you can get, and Discover even matches every penny you ... Continue reading
Top 5 Cards for Travel from Our Partners: Autumn 2018 – Expert’s Choice

Top 5 Cards for Travel from Our Partners: Autumn 2018 – Expert’s Choice

Posted: October 10, 2018

Nights are drawing out, the wind is colder every day and you already feel the lightest breath of winter on your face - autumn is here. Holidays are over, kids are back to school and all you are left with are hefty holiday bills that you ... Continue reading
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!