Apple Financing

[o.neill.kid]

*Special Financing Disclosures

1. ALL PROVINCES EXCEPT QUEBEC

Three Months Same-as-Cash Promotional Offer: OAC with an Apple Financial Services Account. A minimum purchase of $750 or more is required. No payments are required during the promotional period. Interest will accrue at the Preferred Rate from the date of purchase. If the purchase amount, plus any applicable fees or charges, is not paid in full by the Promotional Due Date, the accrued interest is charged to the account. If during the promotional term you do not make a required monthly payment, the promotional offer will terminate and accrued interest will be charged to the account. The remaining balance owed on the promotional purchase will then be charged interest at the Preferred Rate until the account balance is paid in full. The Preferred Rate of Interest is 19.99% per annum.

https://consumercreditapp.com/AFS/terms/afs-en.html

Hey there, I have a few questions about Apple's Financing.

I am a student, and working to build my credit. I have enough credit to purchase the new 27" iMac in one full swoop, however I don't want to max it out, and make that look bad on me. My option right now is to use the Apple Financing. However I have some questions about it.

As the terms are quite short and limited, I was concerned I was going to get screwed over, hence coming here.

I understand that I have to pay a down payment of $750, if I do that, pay off my credit card, and a week later pay the remaining amount ($1250ish) with credit, am I okay? I don't want to be locked into the three month contract paying a certain amount, or even longer and end up having to pay more for the product then what it is worth.

I know some financing says you can't pay it back in full until 28 months later, and you end up tripling the price of the product.

Any help would be fantastic, thanks!

 

[MetzoPaino]

I've only looked at the financing option once and decided that if I couldn't afford a Mac without financing I should probably not buy a Mac.

I remember seeing something along the lines of "You're welcome to pay the amount back early, but you still need to pay the amount of interest that you would have paid in your long term agreement with Apple".

 

[incredible43]

Re:

Why not just go to Best Buy and do their financing options? Buying a new iMac you will spend well over the $250 that you have to spend to get their 18 months no interest. In college I got my first Credit Card with best buy and did the annual fee to help raise my credit and it was great. I bought my MacBook pro with it and finished paying it off a couple months into the 18 months! Just be sure to look at all your options a lot of credit card companies offer different things and rewards for using their card. Only thing I don't like about the Best Buy card is that you can only use it there. Which was also good sometimes just so you don't run up debt. Hope you figure it out.

 

[Xalde]

You're making this too difficult. To build credit easily just get a simple no annual fee credit card - personally have an American Express one. Then just use said credit card only for gas or something, keep the balance small, and pay it fully every month. You'll pay no interest and build up your credit over time.

Or follow steps above, and if you are offered a card with enough credit buy your mac with the card and pay that balance fully.

The trick is to find a simple card with no annual fee and pay the full balance every month. Don't open multiple credit cards ( I.e. get a best buy one, a Target one, etc). Just stick with one card, only charge a little on it (do not use your full credit allowance!), and pay it in full each month.