You'd have to be living under a rock not to see all the advertising, marketing and promotion for Black Friday 2010. Black Friday ads, of course, tell us about those supposed great sales, discount offers and freebies that will take place the day after Thanksgiving. It would be nice if all would-be shoppers could score Black Friday deals. Before you set out to shop this holiday season, though, remember that not every so-called "deal" is a terrific bargain.

In fact, there are two things you'll probably be offered -- over and over -- that you should avoid altogether:

-The first is a warranty or insurance plan.
-The other is a retail store credit card.

Both are typically money wasters; the latter can even hurt your credit rating.


Why You Should Just Say No to Insurance
If you're planning a big-ticket purchase (like a flat-screen TV or a new refrigerator), you'll almost always be offered insurance. Realize, though, that this is mainly just a way for stores to increase their profits.

Buying a warranty, or an extended insurance protection plan, on many electronic items is often a bad deal. The key to knowing whether or not you should take such an offer is to consider the cost of this protection versus the replacement cost of the item you're buying, along with the typical life cycle of that product.

For instance, if you find a Black Friday laptop deal for $800 and the salesman pitches you on a $100 insurance policy for that computer, it's probably best to say "No." After all, the laptop will last you at least a year or two, and most electronic goods already come with an initial warranty, usually for 12 months. This means the insurance would cover you, possibly, only during that second year. In that time frame, prices are likely to come down and you could probably get a replacement computer for a better price. The same thing applies to nearly all low to moderately priced household appliances and electronics.

For very expensive items, like that $3,000 sub-zero frig you've been eyeing, extended coverage may be worth considering – but only if the insurance is very cheap (about 10% of the purchase price or less) and comes with full coverage, for replacement of parts, manufacturer's defects and other things that could go wrong. Sadly, most insurance plans don't offer this kind of full coverage, which is why it's best to pass on those insurance offers.

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Turn Away From Credit Card Temptation
Now what about those tempting credit card offers? You may think that some nice saleswoman is doing you a favor by offering you a 10% or 20% discount off your purchase -- if only you apply for the store's credit card. But not so fast.

Those retail charge cards often feature interest rates of 22% or higher, far above the 14.5% that Bankrate.com reports is the national average for cards like a Visa or a MasterCard. Plus, applying for that credit card will generate an inquiry on your credit report -- a ding that could lower your FICO credit score. Last year, I had a business (without my knowledge or consent) pull my credit report, and it wound up lowering my credit score by 14 points. So it's important to limit credit inquiries and only apply for credit when you really and truly need it.

If you can afford it, It's fine to shop on Black Friday and beyond. Just make sure you do it the smart way -- and that you avoid saying "yes" to a so-called "deal" you may later regret.

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Lynnette Khalfani-Cox, an award-winning financial news journalist and former Wall Street Journal reporter for CNBC, has been featured in the Washington Post, USA Today, and the New York Times, as well as magazines ranging from Essence and Redbook to Black Enterprise and Smart Money. Check out her New York Times best seller 'Zero Debt: The Ultimate Guide to Financial Freedom.'