Is spreading the cost on clothes worth it?
Should you finance the clothing you buy? For some it is a no-brainer, while others think twice before doing so. These are a few of the pros and cons to keep in mind before you choose to make this decision. The pros - You can finance clothing through catalogues; for those who buy high end, well known brands, or are shopping for the entire family, to might be worth it. Some benefits are: - No down payment, and you can spread the cost out. - No interest periods if repayment is made within interest free windows. - More selection, more top brands, and possible discounts for financing your purchase. Basically, if you plan on spending a lot, do not have the money up front, and can repay it within the interest free window, it is a good option for those who are responsible shoppers. The cons - There are some drawbacks to consider, among them being: - You do pay interest if you do not repay by the end of the introductory period. - Some catalogues require a minimum amount to be spent when you shop. - Some companies will require you to go through a credit check or other things before they do approve you. - Spending limits are also in place with certain catalogues so you might not get as much as you would like to receive. Further, if you are not responsible and simply spend without repaying, interest will pile on, above the initial purchase amount you are spending when you finance the purchase. As with anything, there are good and bad factors to consider if you are shopping for new clothing, and are considering if you should finance the purchase of these items. When the time comes for you to make the decision, these are a few variables to keep in mind so you can make the decision, and avoid overpaying on interest or service charges.