Recycle that plastic
I am more convinced than ever that unless you want to be conned, you should REALLY NOT buy on credit. Stop flicking your plastics if you want to remain free of debt! I did some writing for a corporate project and some research for its training videos... and I am convinced more than ever that credit cards are really robbing you of tomorrow's prosperity today.
There are some stores that encourage their staff members that they should, as much as possible, make sure people leave their store purchasing on credit. Cash is their enemy.
Confused? Credit is where the store/banks really makes its big buckaroonies!
Imagine this - you buy a big ticket item. They tell you pay in easy instalments to make it easier for you to manage your money and make sure you have cash for a rainy day... they tell you it is ZERO instalment. Paint rosy picture. Offer free gifts.
Sounds good right?
Well, not really leh.
After you are done paying the instalment, you realise you paid like an additional 40% of the price of the item... or even more! That extra money you just paid more than covers that cheapskate free gift they offered too. =p
It isn't zero instalment at all whichever credit card you use btw... it is an illusion just like $0.99 and $1.99... zero instalment plans usually see the banks/stores already add in the extra moolah you kenah have to pay right at the start when you get your bill.
So you do pay an instalment afterall. You sign the money off at the beginning as part of an initial payment, processing fee, whatever... so it is not zero... it is an illusion of zero afterward. =(
I know credit cards have certain offers, discounts, free gifts, promotions, etc... but are this really worth getting stuck in the rut for in the long run? Ditto for shops that offer credit - is that free towel, bathrobe, oven (that costs all of $70+) worth the hundreds and hundreds extra you pay, and sleepless nights (should you overcharge your cards)?
I say recycle that plastic... cancel the card, cut the edges off and use it as a bookmark or a ruler.
There are some stores that encourage their staff members that they should, as much as possible, make sure people leave their store purchasing on credit. Cash is their enemy.
Confused? Credit is where the store/banks really makes its big buckaroonies!
Imagine this - you buy a big ticket item. They tell you pay in easy instalments to make it easier for you to manage your money and make sure you have cash for a rainy day... they tell you it is ZERO instalment. Paint rosy picture. Offer free gifts.
Sounds good right?
Well, not really leh.
After you are done paying the instalment, you realise you paid like an additional 40% of the price of the item... or even more! That extra money you just paid more than covers that cheapskate free gift they offered too. =p
It isn't zero instalment at all whichever credit card you use btw... it is an illusion just like $0.99 and $1.99... zero instalment plans usually see the banks/stores already add in the extra moolah you kenah have to pay right at the start when you get your bill.
So you do pay an instalment afterall. You sign the money off at the beginning as part of an initial payment, processing fee, whatever... so it is not zero... it is an illusion of zero afterward. =(
I know credit cards have certain offers, discounts, free gifts, promotions, etc... but are this really worth getting stuck in the rut for in the long run? Ditto for shops that offer credit - is that free towel, bathrobe, oven (that costs all of $70+) worth the hundreds and hundreds extra you pay, and sleepless nights (should you overcharge your cards)?
I say recycle that plastic... cancel the card, cut the edges off and use it as a bookmark or a ruler.
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