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Dell gone wild

post #1 of 12
Thread Starter 
620
so if i buy a laptop for 1800 i will pay 54$ per month so i will finish in 22 years and it will cost 7800$ ?????
is what i understand true O.O
Edited by Awsan - 5/20/12 at 3:31pm
     
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post #2 of 12
Thread Starter 
any thoughts mates\???
     
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post #3 of 12
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post #4 of 12
The link you posted is dead. I'm assuming you're bringing up the Dell Preferred Account. If there is no finite limit to the credit, you could amortize the computer over a long period of time paying a ton of interest.

Never buy a consumer electronic on credit. In fact, your mortgage and your car should be the ONLY things to EVER finance. Save up for the computer and/or build your own.
post #5 of 12
well that is because you only pay like 2-3$ per month on the balance. rolleyes.gif


so if you paid 200m/o it will be paid in a 2 years or so @ $2400
    
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post #6 of 12
Thread Starter 
Quote:
Originally Posted by skitzogreg View Post

The link you posted is dead. I'm assuming you're bringing up the Dell Preferred Account. If there is no finite limit to the credit, you could amortize the computer over a long period of time paying a ton of interest.
Never buy a consumer electronic on credit. In fact, your mortgage and your car should be the ONLY things to EVER finance. Save up for the computer and/or build your own.


O,O and i thought that its a good thing to pay mortgage for a laptop
     
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post #7 of 12
Spending money you do not have always results in paying more than you would have.

I will teach you to be rich by Ramit Sethi is what taught me the sheer folly of spending money you don't have, you ALWAYS pay more, common sense no? NOPE. I knew it before but I didn't know how badly you're asking to be screwed by doing so.
post #8 of 12
Quote:
Originally Posted by FlashFir View Post

Spending money you do not have always results in paying more than you would have.

Not always true. Technically, if you can pay a balance in full before the first payment is due, you can benefit from such rewards as flight miles, reward dollars, etc. at no expense (even though your initial free cash flow was 0).

Slightly off topic, but your comment is right even in situations where there is 0% interest. This is due to the depreciated value of the product; you lose money any time you pay anything after the original purchase date.
post #9 of 12
Quote:
Originally Posted by skitzogreg View Post

Not always true. Technically, if you can pay a balance in full before the first payment is due, you can benefit from such rewards as flight miles, reward dollars, etc. at no expense (even though your initial free cash flow was 0).
Slightly off topic, but your comment is right even in situations where there is 0% interest. This is due to the depreciated value of the product; you lose money any time you pay anything after the original purchase date.

seconded.

and let me add that even if you paid the interest, the item can still end up being worth it if it's a house, because you can sell it back out at a better price in a blooming economy
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post #10 of 12
Thread Starter 
Quote:
Originally Posted by HarrisLam View Post

seconded.
and let me add that even if you paid the interest, the item can still end up being worth it if it's a house, because you can sell it back out at a better price in a blooming economy
true but a laptop.....i thought they had a better plan
     
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