Advisory : Payment Method - Cash or Credit Card or Instalment Plan

[feilong108]

Thanks ... just stating facts. I see it everyday.

Ya, some of them got stuck in the scenario u painted above, spend all on new house and the worst of all, peer pressure ... see friends got Rolex nia must oso have even though only means is CC. Never think of repayment consequences.

I am 1 of them lor....buy house now no moolah to buy rollies or other top notch watches....sigh.....

[Oceanklassik]

Ya I agree. It's the devil inside.

[SabaDen]

nicely said ... my uncle told me that one young fella, recently married spent way beyond his means, and put everything on the cards (graduates earning good income), once the job was gone, the bills started to come in, and reality really hit hard.

Thanks ... just stating facts. I see it everyday.

Ya, some of them got stuck in the scenario u painted above, spend all on new house and the worst of all, peer pressure ... see friends got Rolex nia must oso have even though only means is CC. Never think of repayment consequences.

[seiko.citizen]

Best is know your limit (as in financial capabilities) and always make full payment ... that way, you'll not incur any additional fee or interests. I've seen many young grads who immediately qualified for a card in S'pore once they start work and sign for things like it's free ... these are the types who'll go bust. They dun last a year ...

Anyway, the notion CASH is KING still stands ... just remember that and use your CC wisely. Either way you look at it, you'll be the winner if you are a good financial planner.

nicely said ... my uncle told me that one young fella, recently married spent way beyond his means, and put everything on the cards (graduates earning good income), once the job was gone, the bills started to come in, and reality really hit hard.

[Oceanklassik]

Again, very well said !

[SabaDen]

i am all for utilising all my cards, but you need to be careful as the interest is damn scary (when i get it eventually!!)

Best is know your limit (as in financial capabilities) and always make full payment ... that way, you'll not incur any additional fee or interests. I've seen many young grads who immediately qualified for a card in S'pore once they start work and sign for things like it's free ... these are the types who'll go bust. They dun last a year ...

Anyway, the notion CASH is KING still stands ... just remember that and use your CC wisely. Either way you look at it, you'll be the winner if you are a good financial planner.

[seiko.citizen]

Haha!!! That's the T&C for all transactions done on credit cards whether instalment or not mah ... thot that's pretty standard ya. Anyway, IMHO, if your card is not utilised at all and u can maintain full payment for just 1-2 installments, it's more practical to pay via this method.

i am all for utilising all my cards, but you need to be careful as the interest is damn scary (when i get it eventually!!)

[SabaDen]

yes i was referring to banks. just take a look at your T&C on your CC contract. It will sure have the rate of interest if you fail to keep monthly repayments, which on some cards I believe it to be as much as 17% (Oz rates, not sure about sg rates) on the TOTAL amount borrowed, somemore the compounding method is different.

Haha!!! That's the T&C for all transactions done on credit cards whether instalment or not mah ... thot that's pretty standard ya. Anyway, IMHO, if your card is not utilised at all and u can maintain full payment for just 1-2 installments, it's more practical to pay via this method.

[Oceanklassik]

Triton Bro, paiseh I correct u again ya ... it shud be the other way around. If yr limit 1k and u get watch 1k on installment, your limit will be $0 immediately upon approval at the merchant. As u pay, let's say $100 monthly, your limit will be increase by that amount over time. So there are advantages when using CC for installment as u will never go over the credit limit.

Clear and concise. I understand better. Thanx!

[seiko.citizen]

These people as in Banks? Any example?

yes i was referring to banks. just take a look at your T&C on your CC contract. It will sure have the rate of interest if you fail to keep monthly repayments, which on some cards I believe it to be as much as 17% (Oz rates, not sure about sg rates) on the TOTAL amount borrowed, somemore the compounding method is different.

[triton]

no worries. like that hor, i better go check with my AD.

Triton Bro, paiseh I correct u again ya ... it shud be the other way around. If yr limit 1k and u get watch 1k on installment, your limit will be $0 immediately upon approval at the merchant. As u pay, let's say $100 monthly, your limit will be increase by that amount over time. So there are advantages when using CC for installment as u will never go over the credit limit.

[SabaDen]

.... You dont want to see how these people play you out on interest payment

These people as in Banks? Any example?

[SabaDen]

so do note that if engage with this interest free instalment plan, your credit card monthly limit is reduced by the instalment amount, so if your limit is 1k and instalment amount is 100 monthly, your credit limit is now 900.

Triton Bro, paiseh I correct u again ya ... it shud be the other way around. If yr limit 1k and u get watch 1k on installment, your limit will be $0 immediately upon approval at the merchant. As u pay, let's say $100 monthly, your limit will be increase by that amount over time. So there are advantages when using CC for installment as u will never go over the credit limit.

[seiko.citizen]

Wah speed devil sia

speed devil indeed. My friends sit in my car all say i drive normal and egg me to drive faster, but dont want, because the car handling is different when there is five people in the car. Better not risk it. Although experienced for my age, I am not experienced enough to control five people in one car.

5k car can go up to 180?

i drive S13 when i was in perth. hehehe......

actually 5k is what it cost to replace today. my car is toyota camry (1991 or '93, forgot! ). I was told by the toyota mechanic that my series engine is the most powerful ever made for camry's... how true im not sure, but i know it can race merc S280 no problems .
I never drive S13 before, but S15 I got try, power hor....... easily 200kmh (heavily modified), but dare not try when got passenger.

[triton]

5k car can go up to 180?

i drive S13 when i was in perth. hehehe......

well that is true, my car at the moment only worth A$5k, my stupid watch almost on par with the car value .
But dont ever buy local car in Oz, it sucks!! The features are crap and option list is as long as any kid wishlist to santa claus. I prefer to buy Japanese imports ... cheaper, and somemore the car is much better features. But stupid Japanese regulations state that car must only go up to 180kmh.............. for me that is too slow
I prefer to top the 220kmh++ mark .. I hoping to shatter my old record (180kmh) when I come back to s'pore (m'sia highway). So far my record in perth, is 180kmh..............