Television Financing
Television financing is a common sales promotion that many of the big box stores now offer. The idea is great: buy a TV pay later. Sounds great, but what is the catch? There really is not a catch, that is, if you pay for the TV on time. What if you do not? Well, you will pay interest, on the entire loan term!
If you take a deal that offers you six months same as cash, then you had better pay for that TV within the six months or the lender will hold you responsible for paying back interest for the six month term. You may think that it is not a bad deal, and you are right. However, what if you forget to keep up with the payments? What if you cannot keep up with the payments? What if you took several of these types of deals at the same time? You will be facing a problem of how to get all the money necessary to satisfy the creditors.
Moderation is the key here. As with everything in life, moderate your spending and make sure that you pay each month enough to have the full amount paid for within the term limit. If you manage this well then the buy now pay later offer is a good way to get interest free credit. Do not worry if you missed out on an offer like this. The economy will not be improving dramatically any time soon; so, you can count on seeing more opportunities in the near future.
The reason for this is simple. The buy now pay later promotion stimulates the economy. It takes advantage of moving products out of storage houses and into your living room. This saves storage fees. The promise that you will pay within the next six months is really not a long time for big businesses to wait for there money.
Remember the product would be just sitting in a warehouse or a store anyhow. Another incentive for businesses to offer this deal is that they are likely to receive big interest dividends on those who procrastinate, forget, or mismanage their money and do not pay off the loan within the term. Do not be one of the unfortunate ones, because interest rates can be very high on these types of offers!
Bad Credit Television Financing
These days having a large flat-panel high definition TV set is becoming almost a necessity, even for those with a very tight budget. For one thing, the cost to go to a movie theater, when you factor in the price of the snacks, parking, and gas, is getting so high that many people are choosing to subscribe to a high definition cable TV service and rent DVDs to watch their movies. Also, high definition easy-to-use consumer camcorders are becoming much more affordable and widespread, as are Blu-ray DVD players. For watching all of this content designed to be seen on a big wide screen, a regular square TV set, or even a small rectangular one that is not HD, just doesn’t cut it. However, while the price for the bigger high definition models has come down over the past few years, you can still expect to spend around a thousand dollars or more. So what do you do if you need to finance a TV, but you have bad credit or no credit? Here is a guide to bad credit television financing.
First of all, you need to get the best deal you can. You should always comparison shop online thoroughly before you decide which model to buy. You are losing most of the advantages of high definition if you get a TV whose screen is less than around 40 inches wide, but you should certainly consider getting a 42 or 44 incher instead of one that is 50 inches or more.
If you have poor credit or are without a credit history a good place to try buying from is a rent-to-own shop. You start off renting but as long as you keep up with your monthly payments you get to keep the TV. If you don’t keep up with your payments though, your TV will be repossessed. Another option is to get a bad credit loan, but remember that the interest rate is likely to be high, and penalties for missing payments severe. In order to use both of these options you do need to have a documented steady source of income, a bank account and probably some references.
Absent a steady source of income, the other option for bad credit television financing is to search online for a credit card that requires no credit check. Again, the interest rate will be high, and the credit limit will be low, so you may have to make part of your purchase with cash.
