Buying a Mac on CREDIT !!!

[::Lisa::]

Not quite. That's how i do it. I use my credit card all month for all my purchases and then pay the balance in full at the end of the cycle. This way, I use their money for free all month (since i'm not carrying a balance, I never pay interest) while my money keeps gaining interest.

I mean, you could do it the other way and get reamed on interest....but I don't like paying more for things than I have to. More importantly, though, is this builds my credit history (the whole using my credit card instead of debit card/cash) thing. I have an extremely good credit score and I've just graduated from college this past may.

Yes, very good tactic you have there. Another thing is also that you are 100% covered and insured for your products. I.e. if you bought something on ebay and paid with your CC, and item never arrived. You can do a chargeback and be 100% sure that you know you will get your money back. (unlike me with my debit card and awaiting my paypal refund which is overdue )

 

[notjustjay]

Using a credit card to buy a computer is an excellent idea because:
- some cards offer double warranty, theft protection, etc
- you can earn reward points
- you're protected in case the vendor is fraudulent or otherwise tries to rip you off
- builds up your credit score (as long as you pay it back quickly!)

However, do the math on exactly how much it will cost you in the end. Figure in the interest rate, how much you expect to pay each month, and how many months it will take you to pay it off. You might be surprised at how HUGE this number is.

Don't assume. Don't say "Well, the brochure says 0%..." or "It's only 3.99% APR until next summer, it can't be that much." Sit down with a calculator and come up with the grand total. Then ask yourself, "Would I really want to pay that much?"

People on these boards gripe and complain about only receiving $100 off as a student discount, or how they only save a few bucks by buying from Amazon or Best Buy instead of at the Apple Store, or if a guy in the Marketplace has overpriced the MacBook he's trying to sell. We're so quick to complain about saving a few dollars at the time of purchase... but turn around and happily pay HUNDREDS and HUNDREDS of dollars in credit card interest. Save up the cash, pay off the credit card right away... and save your money.

 

[termina3]

Actually, Amex offers both credit and charge now. And if you can get a card with them it's still considered fairly impressive.

- Kira

No surprise they're in credit too... huge earning potential there.

Is it really impressive? I've always considered AMEX the better card, but not an exclusive card at the entrance level (blue, green). Platinums, while nice, are everywhere now. The only plastic (well, I should say Titanium) that impresses me is the Centurion (AKA Black) card.

 

[Twinkie]

No surprise they're in credit too... huge earning potential there.

Is it really impressive? I've always considered AMEX the better card, but not an exclusive card at the entrance level (blue, green). Platinums, while nice, are everywhere now. The only plastic (well, I should say Titanium) that impresses me is the Centurion (AKA Black) card.

Actually, most of their consumer cards are credit cards now. Only the green / gold / platinum cards are charge cards.

As far as being exclusive, a platinum Amex means something very different from a platinum Capital One Visa with a $300 limit. Their scoring model is such that Amex cards typically aren't issued to people who don't have decent credit and income.

But in any case, I still get a kick out of people mistaking my all-black iTunes Visa for a card that's on the same tier as the Centurion Card

 

[B3CK24]

when I buy my new iMac i'm going to do the purchase on Credit... I have been using a Capital One Visa for a long time and have made every purchase on time since i've been 18 (and i'm 24).. It's all about being able to manage your finances.. I have a best buy credit card too and it carries a 6 month/0% term on computer purchases so I may buy my next apple at my work, or finally apply for a AMEX blue and get 15 months/0% for it, which would be awesome and work very well for myself.

Credit Cards aren't the devil, its those that can't manage them that have the issues.

 

[ntrigue]

It would be ignorant to purchase with cash. The warranty, insurance, and rewards available on the majority of credit cards are a no brainer.

A)That being said, please only use the card if it is 0.0% interest.

B)Purchase computer when the billing cycle closes so you have a full 30 days til the bill arrives.

C)Be able to pay the credit card off within 90 days.

Ultimately, you must appreciate that many unforseen events can occur within those 90 days. Have the majority saved.

Note: The Centurion is offered to those with greater than a 790 FICO with gross income of $250,000/year.

 

[Macky-Mac]

...As far as being exclusive, a platinum Amex means something very different from a platinum Capital One Visa with a $300 limit. Their scoring model is such that Amex cards typically aren't issued to people who don't have decent credit and income.....

hmmmm, I'm not so sure that's true. They gave my nephew a card while he was a college student without a job....and then they gave him a second card despite the fact that he was having trouble managing the first card.....and then they gave him a third card despite the fact he was having trouble with the two cards they'd already given him!!!!!

It all ended badly of course.

 

[brop52]

Credit cards are great if you are savvy and pay off the balance. I bought my iMac with one of my credit cards. Can you say reward points? Yes...

I bought a 3G iPod Nano with my rewards points for my fiancée for Christmas. My mom runs a small business and I got her a copy of my card so she can use it too and rack up more points. Thousands of dollar purchases give you a whole lot of free reward points to buy things. Last few Christmas seasons I have been able to make large purchases for my family and friends solely from rewards points I build up throughout the year. Since my mom just got the card last month it will only increase more and more. Credit card companies love people who pay the balance off each month and have a high number of purchases as they always get their 2% or whatever the merchant fee is.

I'm a fan of Citi personally. Citi mtvU is great if you eat out a lot and you get extra points for grades in college and other things. Since this is year 5 of college for me out of 8 total it's a great deal.

I'm in medical school and while the student loans kick my credit score a bit the credit cards are a great way to continue building my credit history and helping financially in the future with getting better rates for mortgages and other things.