 TITLE: What to Know Before Getting a Retail Credit Card CONTENT: Retail Cards Have Lower Credit Limits\n-------------------------------------\nAnother thing to be aware of before applying for a retail credit card is they typically have lower credit limits than traditional credit cards. This means if you carry a high balance, it might lead to a high credit utilization ratio, which is a measure of how much of your available credit you're using at any given time.\nIf your ratio is high, it looks riskier to lenders since you're using a large amount of your available credit, which may indicate you're struggling to pay down your debt. A credit utilization ratio above 30% will hurt your score, so keep it as low as possible (low single digits or zero if you can).\nIn addition to a relatively low credit limit, retail cards often carry higher fees than regular credit cards. Foreign transaction fees, cash advance fees and penalties might be higher than with a traditional card. END