Although they don’t advertise it much, Big Lots does offer credit for financing big purchases like furniture. They don’t have the application online but you can find it at the store.
Should you get it? Not exactly and here’s why…
Problem #1: Strange Fees
We all know banks love nickel and diming us with fees, but the Big Lots credit card charges some that I just don’t see elsewhere…
Really? A re-issued card fee? That might be expected on a prepaid Rush Card, but not on a credit card! In fact, I can’t think of any other cards that charge that.
In addition to that, the Big Lots application says you “may be charged” a fee for the following:
- Fee for payments made by phone
- Fee for requesting copies of statements
- Variable Standard APR = 24.99%
Problem #2: Steep interest rates
OK, now this one isn’t that surprising – I don’t think anyone would expect a credit card from Big Lots to have a low APR. But regardless it’s still worth pointing out, because after all, the whole point of shopping at their stores is to save money, right?
Well based on these APRs which were listed on their website, it doesn’t exactly look like you’ll be getting a bargain…
I didn’t see anything in the fine print which specified if its possible or not to get a better rate.
Problem #3: “No interest”
On their website I saw a banner for “12 months no interest furniture financing” and next to it was a little asterisk. Well make sure you read the fine print and see what that asterisk corresponds to, because this is not the same as getting a no strings attached 0%.
Make sure you understand what that means. With the Big Lots card you will be charged interest from day 1, retroactively, if you don’t pay off the full amount within that 12 month time frame.
In other words, the “no interest” only holds true if you pay off the full purchase within those 12 months.
The Lesson: Make their card your last choice
I can’t say you should ignore this card entirely, because if your credit is terrible then this might be the best you can do. But before you apply for it, try and get something better. Here are some entry-level cards I recommend checking out.