Apple Card 0% Financing Now Available for Mac, iPad, and More

[Rainshadow]

Generally speaking, most people don't have the means to fully pay off a purchase above a few hundred bucks. That's the whole point of credit- it makes paying for items less stressful, not more. Paying $100/mo for 12 months is a lot easier than having to lay out $1200 at the time of purchase. Not to mention, you incur less volatile swings in your personal finances.

I always use a credit card. But THIS is the ultimate problem with credit cards. If someone doesn’t have the money to cover what they are buying, they are playing with fire. Everyone does their own thing, I understand that. But then I have NO sympathy when they are crying about being $20,000 in debt. Credit cards are a business to make money off people with no money.

Some say this is a “service” to poor people to provide them with luxuries they otherwise couldn’t afford. I think it’s predatory.

Maybe I’m a hypocrite, I use them for every purchase I make, but if you don’t use them intelligently, they own you and become the worst thing you could do if you only have a couple hundred bucks. ESPECIALLY when talking Apple2020 prices.

 

[Mizouse]

$499.91/mo for the base model Mac Pro 🤔

LOL no thanks.

 

[mattopotamus]

For those who would be opening a new card, 12 months on a Mac really isn't that great. You can get 18 with a Barclaycard or 15 AND a way better cash back/points bonus on many other cards' intro offers.

Long-term, "Anytime" 0% financing (vs. intro offers) is definitely a perk that will have its market, but I still think there are better card options out there for many who want to carry a credit card when you consider rewards structure and other benefits.

The initial rumors about this coming had me considering Apple Card (I'm in the market for a new CC and Mac, only makes sense to time them for reasons noted above), but I think I'm looking elsewhere now.

What cards offer 0% as well as the cash back option? Typically it is either or, and 3% is better than the competition unless it's a store card. Store cards are usually either or though (either 0% or cash back).

 

[FaustsHausUK]

Is anyone actually seeing this live yet? I am not.

I had this little pop-up thing in the Wallet app on my phone.

 

[lsutigerfan1976]

Apple is making it too easy for me to own everything they make.

Is that you Tim?

 

[jonblatho]

As is becoming more common, Apple gives contradictory information in the same sentence: "The cost of your items will be deducted from the available credit limit on your Apple card and spread over time."

Will the full cost be deducted at once or will the full cost be deducted over time?

Pretty straightforward sentence interpretation if you just split it in two:

• The cost of your items will be deducted from the available credit limit on your Apple Card. (The full cost is deducted from your available credit at purchase.)
• The cost of your items will be spread over time. (This is, more or less, a simple description of interest-free financing.)

 

[Crzylikefox]

So just to make sure I'm reading this right...they still aren't taking monthly payments from your card, it is putting the full amount of the product you are buying on your card...aka affecting your credit utilization and decreasing your credit limit?

So really the only benefits are no interest for a year...but your credit score will likely go down. A win and a lose. I think if you're looking to purchase a car or house soon you might want to wait before jumping on this

 

[FaustsHausUK]

This is exactly how buying an item on a credit card works, albeit they aren't charging interest for the portion of your balance that reflects this purchase. It's not that confusing in reality, but their wording wasn't great.

 

[bniu]

Seems to be a no go for refurbished items. Oh well, I’ll consider it a 15% full payment discount.

 

[theadder]

This seems to be incompatible with the veterans’ discount. Does anyone see otherwise?

 

[grantew1]

Dave Ramsey fans complaining about the dangers of credit cards in 3.. 2.. 1..

I am happy for this news though!

I came here to speak on behalf of Dave Ramsey.

yes, use cash.

 

[moabal]

It does not look like you can simultaneously trade in device and use this payment plan. Can anyone confirm?

 

[Zen_Arcade]

This seems to be incompatible with the veterans’ discount. Does anyone see otherwise?

I am seeing the same thing.

 

[goonie4life9]

What you say would be correct if you changed the second “cost” to be “payments. If the cost is deducted immediately it cannot be spread over time. What can be spread over time is the payment.

Either way, Apple was unnecessarily unclear.

Pretty straightforward sentence interpretation if you just split it in two:

• The cost of your items will be deducted from the available credit limit on your Apple Card. (The full cost is deducted from your available credit at purchase.)
• The cost of your items will be spread over time. (This is, more or less, a simple description of interest-free financing.)

 

[Rorosbutt]

This will be limited by “available credit“ though.

Are there stats on how much credit ppl are approved for? (I wasn’t able to find any)

 

[goonie4life9]

You’re exactly right, which really makes me think Apple is purposely being obtuse. They hope that people assume the full price won’t come from their available credit immediately when, in fact, it will but they will not be charged interest immediately.

This is exactly how buying an item on a credit card works, albeit they aren't charging interest for the portion of your balance that reflects this purchase. It's not that confusing in reality, but their wording wasn't great.

 

[gugy]

I wished for some Mac purchases like above $5k the interest free would go to 24 months. I guess this is a start.

 

[Legion103]

Awesome! I’ll likely be getting the iPad Pro 11” - I would ideally like to do a store pick up and not wait until mid July for shipping!!

 

[reubs]

I used my Apple Card to but a new MBP in March. I wonder if there’s a way to transition that payment plan to this interest-free offering...

 

[Zen_Arcade]

I am not seeing it show up as a payment option at all . . .

 

[ChrisBos]

What cards offer 0% as well as the cash back option? Typically it is either or, and 3% is better than the competition unless it's a store card. Store cards are usually either or though (either 0% or cash back).

If we're talking ongoing 0% on certain purchases (in this case, apple products) vs. a welcome offer, none.

And for those who want to finance Apple products regularly, this is a solid card benefit and it may be right for them--especially with the 3%. Same goes for someone who already has an Apple Card, when you consider the additional benefit not having a new hard inquiry on your credit report.

But for someone who would be opening a new card, if you don't fall into that category of person who would be regularly financing Apple products or spending some serious cash at one of the 3% cash back partners (remember most ApplePay transactions are really 2% with Apple Card), there may be better options.

For example, a new Chase Freedom card will give you 15 months @ 0% and $200 cash back when you spend $500 in purchases in the first 3 months. Cash back is always a flat 1.5%, but this also includes purchase protection and extended warranty (these features are almost nonexistent on no-fee cards today, AMEX even removed them from their Blue series). On an up-front Mac purchase, you're making out better on the 0% period and cash back. And personally, I'd take the cash back tradeoff, which is really minimal from a practical standpoint, for the purchase protection and warranty benefits.

To each their own, but Apple Card benefits are very niche in the grand scheme IMO.

 

[iGeek2019]

I assume that is with Apple's Barclays Card? ( Wasn't that discontinued ? )

When the heck are we going to see Apple Card around the world...

It’ll be with Barclays Partner Finance; Barclays Bank have credit cards over here but none that have ever sat in tandem with Apple-that is/was U.S only I believe.
The 0% for 24 months offer comes and goes over here in the U.K.-typically after Christmas and select periods of the year.

 

[jonblatho]

What you say would be correct if you changed the second “cost” to be “payments. If the cost is deducted immediately it cannot be spread over time. What can be spread over time is the payment.

Either way, Apple was unnecessarily unclear.

Probably one of the funnier semantic hair-splitting incidents I’ve seen on these forums. Thanks.

 

[Airforcekid]

I always use a credit card. But THIS is the ultimate problem with credit cards. If someone doesn’t have the money to cover what they are buying, they are playing with fire. Everyone does their own thing, I understand that. But then I have NO sympathy when they are crying about being $20,000 in debt. Credit cards are a business to make money off people with no money.

Some say this is a “service” to poor people to provide them with luxuries they otherwise couldn’t afford. I think it’s predatory.

Maybe I’m a hypocrite, I use them for every purchase I make, but if you don’t use them intelligently, they own you and become the worst thing you could do if you only have a couple hundred bucks. ESPECIALLY when talking Apple2020 prices.

I always viewed zero percent loans as a way to preserve my savings. I just bought a new car for 0% 84 months this weekend. I could have payed cash but I would have had to sell some stocks in the process. Now I can sit back and collect dividends payments while still paying what I would have anyway. Its amazing how easy it is to build wealth once your debt free and leverage new debt to make more money (With the safety net to pay it off at anytime).

 

[gavroche]

Or you can use bestbuy card with zero financing plus the discount price!

I have a Best Buy card, and make occasional purchases with it. Always with zero financing and sale. Of all the cards I've owned, none have made it as transparent and easy to log in and see exactly which promotional purchases you have made, and exactly when the period ends. Makes it very easy to plan payment amounts to make sure you pay off before the promotion period ends. Very helpful.
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Probably one of the funnier semantic hair-splitting incidents I’ve seen on these forums. Thanks.

Not just semantic hair splitting. When I read the article that part was unclear to me as well. By how it's written it is saying that the full cost is immediately reflected in a reduced available balance, and then payments are applied over time.