You've seen the promotions as you walked into your favorite department store: sign up for a store card right now and you can get ten percent off of all of your shopping for the day even on sale items. This type of offer is used frequently by all of the known department store names and its success in bringing in new accounts is celebrated amongst creditors. For you, the consumer, this type of offer can work to your benefit, but it can also come back to haunt you later. Read on and we'll take a look at how you can make a store card deal work for you.

One thing to remember about store cards is this: they are just another name for a credit card. Granted, you cannot use the card all over the place like your Discover, American Express, Master Card, or Visa, but it is a credit card nevertheless.

Unlike the main credit cards, store cards operate a bit differently. In most cases you won't have to pay an annual fee, but there seldom are any rewards included with using the card. Certainly, if you have a particular store's card you will get all of their mailings including some coupons and invitations to "private" sales. Beyond that, you can expect to pay an exorbitant amount in interest with 21.6% to 24% being common rates.

Some store cards do not give an interest free period either unlike the typical 25 day grace period offered by most major credit cards. Furthermore, late payment penalties are very high and you can easily be bumped up to a penalty rate with some store cards.

Of course, if you pay off your card every month then the APR doesn't matter. The store hopes that you don't and that is why frequent mailings and promotions just for store card users are sent out. Should you decide to take advantage of their offers simply budget the amount you can afford to spend for that month and then make payment on your bill the moment it arrives in your mail box.

No, there isn't anything inherently evil with store credit cards - you just need to be aware of all of the pitfalls of using one and carrying balances from month to month. You could save 30% on a comforter at the store, but watch those savings evaporate the moment you decide to spread your costs over more than one payment period.