Other than Kohl's, TJ Maxx also try JC Penney's if you have one, I've found some cute bags there also.
Now these are more than $40 but I really want one of
these bags -
http://www.youtube.com/watch?v=NKwtl-RjYcU
You buy the bag and then there are tons of cute shells for the outside so you can totally change the look of your purse in seconds! They also have different handles so you can change those out too. My friend recently had a Miche party but I wasn't able to buy one since I didn't have the $$ at the time, they are much cheaper if you buy through a rep rather than online. At my friend's party you could buy the bag + 2 shells for $69.99, bag + 4 shells for $99.99 and bag + 6 shells for $129.99. I'm going to have to save my $$ so I can get one!