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Is buying outright better?
- Thread starter IUBall22
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Same odds. There are a certain number of phones and however they are sold is however they are sold. Whoever gets through the process the fastest is the victor.
Outside of that, buying outright is good if you are planning on keeping the phone for a long time. If you trade up yearly I would not recommend it.
Outside of that, buying outright is good if you are planning on keeping the phone for a long time. If you trade up yearly I would not recommend it.
apparently not. The order process has been streamlined so well for people who are upgrading through their carriers that buying the phone outright doesn't give you any better of a chance.
No one knows the algorithm back end processes apple uses when fulfilling orders, so it's purely speculation no matter what anyone may argue to the contrary. Logic would seem to indicate it's a first come first serve basis regardless of payment. I say this only because there have been years when I ordered 10 min after some folks paying outright and people who ordered 10 min earlier on payment plans got their phone before I did, they got their launch day I got mine a week later. So I would say timing of order supersedes payment form.
I'm buying outright, using the Barclaycard Visa. I called them earlier today and asked if they would be willing to give me another round of interest free financing for an Apple product, as I originally got the card when I bought my 6s Plus. Not only was the rep more than willing to grant my request, she joked around about what a cluster%$^ tonight's preorders will be and wished me luck. I already had the money set aside for the phone, but I may actually take advantage of the interest-free financing.
I don't know that's a direct advantage over other ordering methods. On a sidenote, the advantage will be owning the iPhone out right in that sense.
Read up on Time Value of Money. With a zero percent loan you are paying it back with deflated dollars, I.E. the dollar you pay with in two years isn't worth as much as a dollar today is.
That said, there is an extra cost for Apple Care Plus that you have to take into account. If you were likely to buy that anyway, then TVM applies to that purchase as well. If you weren't, then it is hidden interest.
Me? I have a toddler and another baby due in January.....I'm buying AC+ for both phones I'm buying tonight so the IUP plan works great for me.
That said, there is an extra cost for Apple Care Plus that you have to take into account. If you were likely to buy that anyway, then TVM applies to that purchase as well. If you weren't, then it is hidden interest.
Me? I have a toddler and another baby due in January.....I'm buying AC+ for both phones I'm buying tonight so the IUP plan works great for me.
While you are correct in that you'll be paying with deflated dollars, inflation doesn't really come into play much over a 24-month loan. If it were a 30-year loan, sure.
You'll literally pay a few extra cents due to inflation in this case.
All else being equal outright purchases are going to happen faster which means you’ll have a better chance of getting it on launch day. If you haven’t done the IUP pre-approval then it’s probably already too late.