Buying audio gear on credit

That's not entirely true. I know many cash buyers who've always bought well. Those who've done their homework are in a far better position than those who've done none, regardless of payment method.

Nor are dealers necessarily out to "screw" anybody. Their object is simply to maximize profit and/or minimize loss (lest we forget that happens too ) which is no different than the mission of any other business. And if the price is too high, the customer is always free to walk out the door and shop elsewhere.

 

I think the idea is not to announce to the dealer when you walk in that you're paying cash. Do your homework, make your deal, refuse to talk to the finance guy about all the add-ons, and write your check. If they won't close the deal, leave. You don't have to do business on their terms but some people think they do.

 

Honestly, personal choice. If you practice sound financial management/budget I don't see an issue.
Good terms, low interest, short payoff in months, and budget the monthly payments into your plan, it is fine imo.

 

ALWAYS negotiate the price before discussing payment method/terms.
It should not matter HOW you pay, but it does.

A car loan is gravy for the mfg.
He's already paid for the car.
If you pay cash, end of cash flow.
Finance, they get the cost plus interest.
Very secure too, they can just take the car.
They make sure down payment and interest cover risk based on credit worthiness.

 

Fact of the matter is if you walk in with a good trade a little cash and stellar credit you'll dictate the terms of the sale.

 

Everything on the credit card, but only to get the enhanced consumer protection (and cashback). It gets paid off by the due date so no interest is ever due.

 

Ah yes the Greeks...their government has even been criticized by the EU for having a hole in the wallet

 

Only ever came across one debit card in the UK that offered cashback, and that account had a monthly fee of about £100! That's some time ago too.

 

The American government has little competition in that regard...

 

Well. I’ll tell you as a Greek myself.
They took a ton of subsidy money from the EU at near zero interest and skimmed off the top middle and bottom.
And tax evade like crazy.

however they also spend over 2.0% of GDP on their military because of their geographical location.
They also spend a ton because of illegal immigration.

so thank your lucky stars that you don’t even spend 1% of GDP on the military and have only friends on your borders.
Oh and that US taxpayers pay for NATO to keep you guys safe. Your welcome.
Lol

 

except for a house and maybe a car, then i will pay cash. of course, if someone offers 0% interest for the same price, then who am i to pass it up.

it's all about the time value of money . . .

 

I bought my first stereo with a bank loan for about $1400-$1600 45 years ago at 17. I worked part time and my Dad co-signed. Dual TT, Shure v15 cart, Kenwood Int amp and ESS AMT 10b speakers. Everything since bought with cash or cc and paid off next statement.

 

My AMEX Platinum Card currently offers up to 1% cashback, that generous figure being reached only once annual spend surpasses £10k - up to that point it is 0.5% cashback.
5% is only for new customers/accounts and even then just for the first £2k spend (£100 cashback).
I have tried to pay for cars using a credit card a few times and been met with a polite, but very firm, refusal on each occasion, due to the fees which are higher for AMEX than others.

 

Yes, thank you, we know as the rest of Europe paid for it. (In truth, the lucky ones are still paying for it.)

We all pay for NATO. To quote their website: "Each member state pays for its own armed forces, and covers the costs of deploying its forces. ... Each member contributes a small percentage of its national defence budget to NATO."

 

Greece spends 2.3% GDP
UK 2.14% GDP
Netherlands 1.3% GDP
US 3.42% GDP

Not everyone spends the same.

NATO Spending by Country


And yes the Greeks are morons for going bankrupt

 

That is the fault of parenting, not the education system. If I relied on the education system to teach them how to take care of their 'chickens', I'd have failed as a parent.

 

Excellent point.

 

Yes I have purchased audio gear on credit. It was via a “pay in full by agreed-upon-number-of-months and pay 0% interest” type of promotion. Which is an installment plan using someone else’s money. Sure I can buy for the total amount myself anyway but for never having to see the debit I’ll use the promo bank’s money for free and buy it out of cash flow. Set up a payment schedule in online banking and it gets paid off before the promotion date expires.

In most major urban areas, such as NYC, I’d suppose that credit cards exist as the predominant form of payment in all manner of life as the practical result of a cashless society. The local pizza shop won’t take CC for less than $10 but any chain/corporate business will take CC for anything no matter how small. During COVID no businesses conducted by cash, it being too contact ridden. But city life is plastic money.

Credit cards can be trouble if one is unschooled as to their use and of money in general. If so, blame the parents.

 

That's because they get a kick back from the bank on financing. I bought a car(Honda) and had a check in hand from my bank. They dropped the price of the car $500 to use their financing which I did. In my business, we give rebates up to 10% + to use our financing arm.

 

Hey, that's your problem. You know the rules and still spend more because of a national paranoia!
No one said that you were not paying more, but you did say that you were paying for it, and implied that others were not paying.

 

Years ago, when I was young and dumb, I bought a CD player on credit and took time paying it off. Probably added another 50% to the cost.

Nowadays, we will occasionally buy things on charge cards, but we pay off the balance every month unless it is a special deal with zero interest, and even then, it has to be something we need as opposed to want.

 

Well . . . Roseanne . . .

 

NATO has been around for over 70 years. You never heard about 'paying too much' until recently.
Why? Because it is a bargain & an advantage.
Fight there, not here. Plus the Defense industry loves it.

When you consider we spend 40% of the worlds total of all defense related spending it gains context. (We are 4.2% of the population)



Sorry for the diversion.

 

Yep, I remember those deals. That sort of instant credit line has gone away. I don't recall exactly what I bought, but I think I was buying a pair of speakers which I could afford immediately, but added a tape deck due to the "90 day same as cash" offer. It's a gamble the credit company makes that you won't pay it off in time to avoid interest.
-Bill

 

Actually I already knew for many many years before because Greece would always complain that they pay more than Germany. And rightly so.

As far as us spending was more. Well. Many factors. One you already mentioned.
And the other is. Well we are the Empire. So it makes sense fortunately or unfortunately.