Apple to Launch 'Buy Now, Pay Later' Program in Canada Through PayBright Partnership

[Deguello]

“As a launch bonus, the new installment option will be offered interest-free for a limited time.”

Just because you can afford to pay for it now doesn’t mean you should.

 

[jonproject]

Those aren't the only customers who use BNPL services.

For example, if I was planning to buy a 256GB iPhone 12 Pro Max for my wife and I, that's C$1689 x 2. I can easily afford the C$3378, but why pay the full C$3378 upfront when it'd be financially smarter to use their Pay-in-4 payment option or make monthly interest free payments and then invest the rest?

Wait to see what this company actually charges in interest once this promotional period is over. Guaranteed double digit percentage

 

[mikethemartian]

I remember when it was common for people to purchase items on layaway and finished paying for an item before taking it home.

 

[JDHiro]

Also known as: "Spend the money that You don't possess."

If you have $1,000 to spend on a phone, and have 2 years to pay for it at 0%, you're almost always better off taking the 0% and just investing the money.

0% financing is an absolutely fantastic offer that financially responsible people take advantage of to huge benefit all the time.

 

[Mrjetsondc]

🤦‍♂️ They do check your credit. And they check for each and every retailer. It's in their FAQ/Help section.

Does PayBright check my credit?

It depends! We do an instant credit check with a bureau (such as Equifax or TransUnion) if you are paying in Equal Monthly Payments or if you are using a PayBright Virtual Card.We don't do a hard c...

help.paybright.com

Does PayBright check my credit?

It depends! We do an instant credit check with a bureau (such as Equifax or TransUnion) if you are paying in Equal Monthly Payments or if you are using a PayBright Virtual Card.

We don't do a hard credit check when you prequalify or when you Pay in 4 with our bi-weekly payment plan!

Tip: If you are applying for a Pay Monthly plan through multiple retailers, each application will be subject to a hard credit

it says right in there that you don’t need a credit check if you choose a specific plan!! Which is my point. Credit cards never give you an option like that lol.

 

[Mrjetsondc]

If you have $1,000 to spend on a phone, and have 2 years to pay for it at 0%, you're almost always better off taking the 0% and just investing the money.

0% financing is an absolutely fantastic offer that financially responsible people take advantage of to huge benefit all the time.

Politely disagree. This tactic is actually how you can end up in bad debt. What I do is take any great deals that I can even with store credit cards. Soon as I get my first bill, as long as I can afford it, I pay it off. Why would I want to pay for a phone in month 24? A two year old phone with payments? Keep your zero percent. Or use it on cars, large purchases.

 

[Deguello]

Politely disagree. This tactic is actually how you can end up in bad debt. What I do is take any great deals that I can even with store credit cards. Soon as I get my first bill, as long as I can afford it, I pay it off. Why would I want to pay for a phone in month 24? A two year old phone with payments? Keep your zero percent. Or use it on cars, large purchases.

You’d want to pay for a phone in month 24 because of the time value of money and opportunity costs.

 

[Deguello]

Politely disagree. This tactic is actually how you can end up in bad debt. What I do is take any great deals that I can even with store credit cards. Soon as I get my first bill, as long as I can afford it, I pay it off. Why would I want to pay for a phone in month 24? A two year old phone with payments? Keep your zero percent. Or use it on cars, large purchases.

Disagree all you want. It’s fundamental economics and money management.

You keep pay up front for a depreciating asset and I’ll pay later with less valuable dollars and we’ll see who comes out ahead.

 

[JDHiro]

Politely disagree. This tactic is actually how you can end up in bad debt. What I do is take any great deals that I can even with store credit cards. Soon as I get my first bill, as long as I can afford it, I pay it off. Why would I want to pay for a phone in month 24? A two year old phone with payments? Keep your zero percent. Or use it on cars, large purchases.

It seems like you're making some pretty big assumptions about personal responsibility.

 

[apparatchik]

Is it me or if you’re paying later, you’re not buying now?

 

[poked]

And be prepared after interest to pay 3x the total price…all because you cannot control your impulses

Apple Credit Card gives you 12 months to pay it off with no interest. The secret is I don’t think it’s in Canada.

 

[Aoligei]

Disagree all you want. It’s fundamental economics and money management.

You keep pay up front for a depreciating asset and I’ll pay later with less valuable dollars and we’ll see who comes out ahead.

It is highly depends on interest you are paying. Normal inflation in Canada is like 2-3%. Interest on this thing could be double digits. You would be crazy to finance it through third party lender.

It is phone, just buy the god damn phone. The greedy companies and consumption oriented economy tells you to spend spend spend.

Only debt people should incur is mortgage, education, maybe car loan. Nobody should carrying debt for a piece of cellphone. If you can’t afford shinny new iPhone 12 Pro Max, then buy used iPhone for much cheaper price.

 

[Deguello]

It is highly depends on interest you are paying. Normal inflation in Canada is like 2-3%. Interest on this thing could be double digits. You would be crazy to finance it through third party lender.

It is phone, just buy the god damn phone. The greedy companies and consumption oriented economy tells you to spend spend spend.

Only debt people should incur is mortgage, education, maybe car loan. Nobody should carrying debt for a piece of cellphone. If you can’t afford shinny new iPhone 12 Pro Max, then buy used iPhone for much cheaper price.

“As a launch bonus, the new installment option will be offered interest-free for a limited time.”

Yes, financing at double digits would be a poor choice.

I carry debt every month and pay it off every month. I’ll incur debt any time the interest rate is 0%. My FICO can throw down with anyone’s.

 

[grandM]

I spend WHEN I have the money on my banking account.

 

[poked]

I spend WHEN I have the money on my banking account.

Credit score must be up there, huh? 😋

 

[unobtainium]

I never carry credit card debt but take advantage of interest-free payment plans all the time. Great way to manage monthly expenses and make larger purchases without drawing on savings at all. Interest free is the key though, I’ll never take on debt with interest unless it’s something like a mortgage or student loan.

 

[Silver78]

Dont know if it is the same but we have phone companys letting you buy like this with 0 interrest... Without this I would have never purchsed a phone that cost more than 300$ .. I will simply not pay more for a phone unless I pay over some years with 0 interrest.
Main problem now is phones get more expensive and phonecompanys computer calculated creditscore is set so high i can no longer buy a flagship model from a phone company…— my last phone was a 300$ android simply becuse I was not “good enough“ to buy from phonecompany… its not because i have a bad economy.. phonecompany can not say why.. It can be everything from neighborhood you live in, to secret adress or phone number.
If apple opened up in denmark for a service like this It might give me a chance to get an iphone again.
I wanted to buy the new ipad pro 12.9.. but phone company only approved me for a 128gb model which i dont want.. i have the money to buy a 512gig version cash buy i will never do that.. so no ipad for me.
I have money to spend on apple products..but i feel like I am not allowed to spend them.
I save alot of money buying an android and not renewing my phone every 2 years.. but on the other side I own a few apple stock.

 

[Runs For Fun]

Those aren't the only customers who use BNPL services.

For example, if I was planning to buy a 256GB iPhone 12 Pro Max for my wife and I, that's C$1689 x 2. I can easily afford the C$3378, but why pay the full C$3378 upfront when it'd be financially smarter to use their Pay-in-4 payment option or make monthly interest free payments and then invest the rest?

Exactly. Not everyone is irresponsible with their finances. I can certainly afford paying big purchases up front but it’s great if you can break it into multiple payments with 0% interest. If you can’t afford these things up front you probably shouldn’t have a credit card. Don’t spend more than you can afford to pay in one month.

 

[snyp1193]

Exactly. Not everyone is irresponsible with their finances. I can certainly afford paying big purchases up front but it’s great if you can break it into multiple payments with 0% interest. If you can’t afford these things up front you probably shouldn’t have a credit card. Don’t spend more than you can afford to pay in one month.

Not to mention it helps you build credit too. I find it especially funny when there are people who are like "I don't use credit cards/credit because I only pay up front for things I can afford" as if they're on some moral high ground. Like sorry it's not our fault you never learnt to manage your finances properly so that you are always "tempted" to max out a credit card if you had one. But yeah good luck getting a mortgage or car loan without a credit history and your debit card...

 

[Mousse]

Politely disagree. This tactic is actually how you can end up in bad debt. What I do is take any great deals that I can even with store credit cards. Soon as I get my first bill, as long as I can afford it, I pay it off. Why would I want to pay for a phone in month 24? A two year old phone with payments? Keep your zero percent. Or use it on cars, large purchases.

The key phrase in his thread was financially responsible people. Pay the full amount before the grace period ends and you end up ahead. 24 month grace period? Make 23 monthly payments and pay it off by the 23rd month.
It's the fiscally unfit that don't understand how to make the best use of that grace period. They pay nothing for 24 months and then end up with cost of the phone plus 24 months worth of interest.