Are Buy Now Pay Later Computers a Good Deal?
In the last decade, there has been a clear shift towards ownership of laptop computers and away from desktop models. This is partly due to the advantages of portability and light weight and relatively low cost that the laptops have, but also because, especially in the last few years, laptops have been gaining on desktops with regard to computing power. Still, the fact remains that even laptop computers are not cheap. Many people cannot afford to pay cash for a quality laptop, which typically costs at least $500. Solutions to this problem include using credit cards, buying with some kind of payment plan, getting loans, or buying what are known as buy now pay later computers. This article goes over some of the positives and negatives of each solution.
Few people think of getting a loan for a purchase like this, but it is something to consider for people trying to buy laptops with bad credit or no credit history. Normally an applicant only needs to provide evidence of a steady income coming in and that he or she has a checking account. The negative for this approach is a very high interest rate and painful penalties for late or missed payments. You end up paying a lot more in the long run.
For those with good credit using a credit card is the usual choice, and
the positives are that your monthly payments can be quite low indeed,
and you are protected if problems arise with your computer. The
negatives are similar to those associated with loans but not as severe.
This is a good option if your balance is low and you can afford to pay
quite a bit more than the minimum due each month.
How good of an option a payment plan is depends on the plan. If it is a layaway plan you can save a lot on interest and this is the cheapest option other than paying cash, with the main drawbacks being no protection if problems surface and that you have to wait to get your computer. A payment plan where you get the computer right away usually saves you some interest cost compared to if you used a credit card, but again there is the no protection downside.
Buy now pay later computers sound like a great solution, since you do not even have to make monthly payments for a while and presumably could save up during that time. However, with these you usually end up paying more than with any of the other options. Take a very good look at all of the fine print before choosing this option.
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