Apple Working on 'Apple Pay Later' Feature With Monthly Installments for Apple Pay Purchases

[JBGoode]

edit: never mind

 

[szw-mapple fan]

I got a huge discount by buying my house with cash because the seller didn't have to wait for other buyers' mortgage stuff to get approved. They needed money for a down payment on something else and waiting for a financed buyer meant they might have missed out on the other house. Their impatience cost them money and put dollars back into my pocket. Plus no interest for me. And the house has tripled in value since I bought it. So, I see no real downside to buying with cash if you can. Cash can give you the ability to take advantage of opportunities quickly. But what works for me may not work for you.

As long as the discount and lack of interest can make up for future inflation it’s totally worth it. Otherwise, a mortgage is still a good way to increase your purchasing power in the long run.

 

[One2Grift]

As long as the discount and lack of interest can make up for future inflation it’s totally worth it. Otherwise, a mortgage is still a good way to increase your purchasing power in the long run.

Very specific and few micro geographic RE regions could be an exception but otherwise real property with a preexisting home that you have as your primary residence is one of the best ways to beat inflation. Having a fixed mortgage on it with low interest rate? Given time that is almost a sure inflation beating home run.

And yes, cash for a house could be a good thing. It’s a safe play as it in effect earns 2.5% from not having a mortgage(assuming 2.5%)and as you mention, cash for a home usually entails fewer fees and almost always is a discount from those making an offer using financing. But Right now with interest rates low and basic S&P returns so high, cash is considerably better in the S&P(SPY). A 2.5% 15 year mortgage versus 80% of that cash(-20% for down payment) is a YTD 13.8% return. But the cash offer is safe, is a money maker, so it’s hard to argue with that move.
(If any cash is left over, having put it all in Apple stock 4 weeks ago. It’s now at 150 in the morning trading session - this could be the 150 break above today ?)

 

[hans1972]

I got a huge discount by buying my house with cash because the seller didn't have to wait for other buyers' mortgage stuff to get approved. They needed money for a down payment on something else and waiting for a financed buyer meant they might have missed out on the other house. Their impatience cost them money and put dollars back into my pocket. Plus no interest for me. And the house has tripled in value since I bought it. So, I see no real downside to buying with cash if you can. Cash can give you the ability to take advantage of opportunities quickly. But what works for me may not work for you.

Are you saying you took out several hundred thousand dollars in physical cash and gave it to the seller?

 

[Q-Dog]

Are you saying you took out several hundred thousand dollars in physical cash and gave it to the seller?

in a brown paper bag ... or maybe the bank wrote a check. It was 20 years ago.

 

[poked]

Imagine a system where you could use your card to pay for stuff in a shop. You could pay if you had money in your bank. The shops did not have a jungle of discounts where you would have to cut out coupons, tag your teachers dog on Facebook, post a stupid selfy or get cash back because they had a special arrangement with some banks. Your neighbors bank, but not yours. Neither did the shops pay any fees to whoever issued your card. Nor did they need to pay for printing adds and coupons. Without all of these special deals and expenses, shops could sell stuff cheaper to all customers and not only those rich enough to get credit approval. Neither did you need to think about paying back at the end of the month.

If you wanted to buy more than you could afford you would go to the bank who would then give you a loan, granted that they could take that car or house from you if you missed the payments. And they would carefully look at your economy and ability to pay, without speculating in possible changes in housing prices. You would get a fixed interest rate for the entire life time of the loan and you would actually have to pay back.

I’m super confused — are you pro or anti Apple in this situation? Fixed loan rates for things like car buying and housing are pretty common here…

Edit: in response to cash is king, of you have poor credit, cash doesn’t mean much, because you still need to be approved by a bank for purchasing the house, even with cash. If you have ENOUGH to cover the purchase of a house fully, you should probably have good credit on top of it since you aren’t spending your money unwisely (presumably). But then again, maybe millionaires all magically don’t stay that way for long!

 

[ninecows]

I’m super confused — are you pro or anti Apple in this situation? Fixed loan rates for things like car buying and housing are pretty common here…

Edit: in response to cash is king, of you have poor credit, cash doesn’t mean much, because you still need to be approved by a bank for purchasing the house, even with cash. If you have ENOUGH to cover the purchase of a house fully, you should probably have good credit on top of it since you aren’t spending your money unwisely (presumably). But then again, maybe millionaires all magically don’t stay that way for long!

I guess I’m anti “pay with credit card and confuse consumers with a jungle of discount/cash back options”. Generally I’m pro Apple, but I’m not pro “buy now and pay later”. I’m pro: buy what you can afford with the money you have.

 

[cgs1xx]

"The service will not require a running credit check"
ok if this is introduced, it will be a game changer!

 

[ianeiloart]

Is it though? It sounds nice when you say it, but that's not very smart.

Would you buy a house with cash? Plenty of banks are willing to lend us $100s of thousands at ~2-3%

Why would you spend cash when you can pay off your credit card each cycle and get 2 - 2.5% cash back without lifting a finger?

Do you save all of your money in cash? We're at an annualized 5% inflation, so next year your $100 will only feel like ~95 today. Why not put your money into i-bonds and get paid the rate of inflation at a minimum?

It's just terrible advice to tell people cash is king for everyday situations.

Well, it depends what your cash flow and savings are like. If theyre both close to net zero, or even negative, then budgeting for future payments is really hard. It’s sensible to avoid having to make debt repayments, unless you’re very disciplined, and very numerate. With no savings, and no debt, it doesn’t matter what the interest rates are.

Zero interest credit sounds nice, but actually eight weeks at low interest rates doesn’t amount to much. It’s dangerous to think of it as a cash boost of eight weeks income: because the deal will come to an end at some time.

 

[ninecows]

Is it though? It sounds nice when you say it, but that's not very smart.

Would you buy a house with cash? Plenty of banks are willing to lend us $100s of thousands at ~2-3%

Why would you spend cash when you can pay off your credit card each cycle and get 2 - 2.5% cash back without lifting a finger?

Do you save all of your money in cash? We're at an annualized 5% inflation, so next year your $100 will only feel like ~95 today. Why not put your money into i-bonds and get paid the rate of inflation at a minimum?

It's just terrible advice to tell people cash is king for everyday situations.

Hey… I have an even better idea. Let’s use credit and loans to buy stocks. That’ll be great. Can’t go wrong…

 

[Abazigal]

Hey… I have an even better idea. Let’s use credit and loans to buy stocks. That’ll be great. Can’t go wrong…

And then we will repackage those loans and resell them to other financial institutions!

 

[macrumorsuser10]

There must be a lot of extremely wealthy people here if you're paying cash for houses. I don't have $1.5M in cash in order to buy a 1500 sq-ft home here.

 

[macrumorsuser10]

I went through this thread. There are a lot of concepts that are completely foreign to me.

1. Cash is king.
2. Buying a house with cash.
3. Credit card debt
4. “Buy now, pay later”
5. Affirm? Afterpay? Is that like AfterMASH?

I'm an old-fashioned person. I never touch cash bills and coins (especially in this Covid era). I buy everything with a credit card and pay it off at the end of the month. I invest my money in mutual funds and companies like AAPL, AMZN, MSFT, and NFLX, and I watch it all grow. If I have to save up money for multiple months to buy something, then I don't buy it. For big-ticket items, I use existing cash and/or sell some shares.

All these new-fangled concepts are something else. I'm surprise no one mentioned crypocurrency.

 

[ninecows]

There must be a lot of extremely wealthy people here if you're paying cash for houses. I don't have $1.5M in cash in order to buy a 1500 sq-ft home here.

I don’t think we’re talking about buying real estate with cash. What I’m talking about is buying everything with a credit card and a jungle of payback and perks associated with these credit cards. Who’s paying for that and why not just pay with debit cards?

 

[macrumorsuser10]

Cash doesn't give me cash back and doesn't give me purchase protection.

Which is just a sign of a sick world. What kind of a system is it we have when you only get these benefits for jumping on the debt train?

You don't need to use a credit card to get cash back and purchase protection.
1. You can put your money into bonds, dividend stocks, or interest-bearing savings accounts to get cash back.
2. You can buy an insurance plan to get purchase protection.

 

[nattK]

You don't need to use a credit card to get cash back and purchase protection.
1. You can put your money into bonds, dividend stocks, or interest-bearing savings accounts to get cash back.
2. You can buy an insurance plan to get purchase protection.

Man, you've missing the point. I use a credit card when making a purchase because of the ADDITIONAL benefit of getting cash back and having my purchases insured COMPARED to using cash which gives me neither. My main goal is paying for my purchase, not getting cash back. The cash back is just a free perk of using a credit card to pay for my purchase.

So I don't see how your point about how I could instead put my money into bonds and stocks to get cash back makes any sense. I still need that money to pay for my purchase whether I get cash back or not. And why would I waste my time buying a separate insurance plan when I can spend $0 and 0 effort to get purchase protection simply by paying with a credit card?

 

[macrumorsuser10]

Man, you've missing the point. I use a credit card when making a purchase because of the ADDITIONAL benefit of getting cash back and having my purchases insured COMPARED to using cash which gives me neither. My main goal is paying for my purchase, not getting cash back. The cash back is just a free perk of using a credit card to pay for my purchase.

So I don't see how your point about how I could instead put my money into bonds and stocks to get cash back makes any sense. I still need that money to pay for my purchase whether I get cash back or not. And why would I waste my time buying a separate insurance plan when I can spend $0 and 0 effort to get purchase protection simply by paying with a credit card?

You asked a question:

Which is just a sign of a sick world. What kind of a system is it we have when you only get these benefits for jumping on the debt train?

I provided the answer. Next time don't ask questions you don't want to hear the answer to.

 

[nattK]

You asked a question:

Which is just a sign of a sick world. What kind of a system is it we have when you only get these benefits for jumping on the debt train?

I provided the answer. Next time don't ask questions you don't want to hear the answer to.

When did I ever ask that question? It was ninecow who asked that question and that is their opinion towards credit cards, not mine. Next time check who you quote and reply to first.

 

[macrumorsuser10]

When did I ever ask that question? Ninecow asked that question and that is their opinion towards credit cards, not mine. Perhaps check who you quote and reply to first.

I replied to a question. You responded to my post with statements saying "I use a credit card..." Next time, please differentiate yourself from the antecedent of the dialog. You can say something like "I'm not the OP, but I use a credit card ..." and so forth. How do you expected others to keep track of who is in the dialog

 

[nattK]

I replied to a question. You responded to my post with statements saying "I use a credit card..." Next time, please differentiate yourself from the antecedent of the dialog. You can say something like "I'm not the OP, but I use a credit card ..." and so forth. How do you expected others to keep track of who is in the dialog

You literally quoted me in your original post which was why I was notified and responded to you.

If you’re interested in just replying to ninecow’s question why include me in the first place.

 

[macrumorsuser10]

You literally quoted me in your post which was why I was notified and responded to you in the first place.

ninecows replied to you, and then I replied to ninecows.

 

[ninecows]

ninecows replied to you, and then I replied to ninecows.

Relax people. Peace I just think its weird that paying with a credit card rather than cash/debit card should give those benefits. These benefits does not come for free so someone is paying that bill. Of course I can understand that you would do it when the system is there. What I’m questioning is why we allowed for that system in the first place.

 

[StaceyMJ86]

I pay with a credit card to get the cash back and then pay the balance off once it post to my account. I’ve been doing this for a few years and always save up $300+ towards my Christmas money.

 

[ninecows]

I pay with a credit card to get the cash back and then pay the balance off once it post to my account. I’ve been doing this for a few years and always save up $300+ towards my Christmas money.

And thats all great for you And it would be stupid not to take those money if you can.

What I’m saying is that somebody is paying those $300. Either other customers, credit card holders, yourself (but just in small bits here and there), the shops (and therefore also you)…

One thing I can guarantee you is that it’s NOT the credit card company or the manufacturer handing out these money for free.

 

[ninecows]

So most likely the credit card companies are just feeding the dog (you - the customers) with its own tail.