About the loan application...

Z

Zidion

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Do I have to fill it out right befor I order, or can I already do it to find out if im applicable or not? Im not ordering for another week, but want to make sure I can get the loan :)

thanks
-Z
 
From what I gather from the light-grey text below the "Apply Now" button, it sounds as if you can get the loan and then checkout (purchase) any time after that, but I'm not sure. I'm sure a level 1 tech could answer this question at 1-800-MY-APPLE.

If I may offer some opinion, I would rather make this sort of purchase on a credit card. The Apple Loan has a pretty high percentage rate -- something like 10% to 27%. You could DEFINITELY get a lower rate with a Visa.
 
yea, its 9.9%, but only for first 2 years. And my parents wont let me spend $5k for the set up I want, so Im gona pay the $50/month for atleast 2 years then pay it off when I get some more money LOL.
 
Zidion said:
yea, its 9.9%, but only for first 2 years. And my parents wont let me spend $5k for the set up I want, so Im gona pay the $50/month for atleast 2 years then pay it off when I get some more money LOL.
Click to expand...

DUDE... Don't buy what you can't afford, buy with the cash you have on hand. Trust me on this one. Going into debt to buy a computer is NOT a good thing to do. It's bad enough that we have to do such things to get a vehicle, but don't do it with a computer.
 
Zidion said:
yea, its 9.9%, but only for first 2 years. And my parents wont let me spend $5k for the set up I want, so Im gona pay the $50/month for atleast 2 years then pay it off when I get some more money LOL.
Click to expand...

So many people live on Credit Cards, it's not funny. Indeed, sometimes, in emergencies it's our only choice (well, not the only one, but the most used) and anyhow... don't buy a computer on a credit card... the value goes down to quickly. Look back at the computers Apple released two year ago, do you still want to be paying for it right now? Worst yet, if you wanted to sell it, you'd get less than what your loan was for.

24 months x $50... thats only $1200. That is a $3800 difference betwen loan amount and what will be paid off in 2 years... to pay it off in 2 years, you'd need to put $208 plus any interest on a monthly basis. Many people don't even have car loans that high. Although many have much higher.

Anyhow... MacWorld ran a "Savings Tips" in their January 2004 issue, and one of them was to "Get an Apple Loan"... I wanted to write and say they should fire the writer for suggestion that you are saving by taking a loan.

Got to love today's world. Just cause everyone else is doing it, doesn't mean its right or its good for you.

Scott
 
I seriously doubt you'll get 9.99%, though. You mention parents, leading me to think you don't have credit cards or much of a credit history -- not that that's a bad thing, it's just not gonna get you the lowest advertised rate.

Are you a student? I got my Visa card through a student checking account and the percentage rate is 15%, and I don't think Apple would beat that if I applied for a loan.

Don't get me wrong, I want you to have your new system, but I'm just trying to help you out on reading the fine print -- 9.99% isn't a super-great percentage rate, and that's the lowest Apple offers. Plus, $2000 paid off in $50 increments would be a hell of a lot more than $2000, and the math on that is NOT $2000 x 1.0999. That 9.99% is compounded every month so you're going to be paying about $500 extra (TEN extra payments @ $50/payment). I'm no loan officer, so I don't know much about how they actually compute it, but it's more than it seems.

$2000 is a lot to go into debt just for instant satisfaction. Saving up would be a better way. Or asking Santa to help a little.

I hope you'll think about this decision before jumping into it, and good luck! Let us know if you get the system or not!
 
$2000 @ 9.99% Interest for 24 months, $99.66/month
$5000 @ 9.99% Interest for 24 months, $249.15/month

I figured in 8% sales tax as well.
 
Yea, im a student. I dotn have credit card though. Im doing it through my bank account. Should I apply for a credit card and just pay it off like that? WOuld that be cheaper?
 
Cheaper, yes, probably. You may have to get your parents to co-sign if you want to get a limit on the credit card high enough to spend $2000 in one lump sum. My limit was $800 when I first got the card and has since been raised over $2000, but it took a year or two of making large purchases and paying them off on time.

Instead of looking for ways to get a large line of credit, maybe you should talk this over with the parents. Tell 'em you want it and you're willing to pay it off at $XX amount every month and ask them for some advice. Jumping into a multi-thousand dollar purchase on credit isn't a good way to begin your credit history, since (and no one's accusing you of anything) statistics show that the majority of people who open their first line of credit for multi-thousands of dollars usually end up in debt and stay that way for a long time.

I think this purchase is going to end up being a lot more expensive than you expect, and we'd all like to see you get a new Mac and not ruin your credit.
 
my paretns said they really dotn want to spend it right now, but they said if I pay the $50/month for the next 2 years, after that they will pay it off for me.
 
That's not a bad deal at all... and hey, if you can live without certain creature comforts (since you will have a new G5 and all -- or whatever machine you're getting) you could up that to $100/mo. and pay it off in a year.

Get that in writing from your parents. Make them sign in blood and go for it! :p
 
:)

cuz I have the money, but my dad wont let me spend it (its in a trust fund). But thye say if I can wait 2 years, they will pay it off for me. Not a bad deal IMO.


and do you know how it owrks? Do they just take it out of your account, or do they send you a bill or what?
 
No, usually, like a car loan, you're expected to send the payment to them on time each month. No bills, no notices, no nothing... you just gotta pay it off. They'll give you statements that outline what you borrowed, what you've paid off and what you still owe, but it's pretty much up to you to get the payments to them on time.
 
Great, let us know what system you get... I gotta live vicariously through other people, since I'm still using my trusty old G4/400 PCI machine... I don't think I'll ever let this one go! :p
 
How old are you? More importantly, how close are you to getting into college? If you're a ways away from going to college, your parents may be able to afford a new computer right now and save up for college as time goes by. But if you're close to going to college (like, in high school), I suggest you wait until you graduate and get a good job to get a nice, expensive computer. You should put as much money as you can toward getting a good education because, unless your parents are filthy stinkin' rich, you're probably going to have to get student loans, and you'll have to pay those off for many years after graduating, not to mention a new computer.

Depending on what your needs are, you could get a cheaper computer now and save up for a nice expensive machine later. You can get an eMac for $749 through the educational store, which would take practically no time to pay off (payments are $7/month). Sure, it's not a G5 speed machine, but it's still quite a decent computer.
 
God just buy something you can afford, we'd all like G5s but I wouldn't even consider getting one at the cost of going into debt, plus it costs an absolute fortune to go to college in the states, won't you have enough debts? Just get an iMac or an ibook!
 
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