If you instead used a normal card with a 15% interest rate to make that $1,000 purchase and paid the minimum amount, you'd have it paid off in just four and a half years and would only pay $370 in interest. That still sucks. You've still paid 37% more than you should have, but at least you saved over $450 with the lower interest rate card.
Many times, stores will offer benefits for using their retail credit card, either discounts, cash back, special sales, etc. If you pay of your balance in full each month, these can be worthwhile. However, if you carry a balance, odds are you will be losing money in the long run.
Carrying a credit card balance on any type of card is one of the worst things you can do financially. But if you have to carry a balance, at the very least, get a card with a low interest rate and don't fall for the gimmicks stores use to try to get you to use their card. No matter what incentives they offer you, if you carry a balance on their card, you will end up losing money. Guaranteed.
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