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Post by tonycamphd on Nov 4, 2024 10:50:47 GMT -6
Does this bother anyone else? I do use the $99 thing a bit, I buy most of my pro audio gear on this plan so🤷🏻♂️
"PayPal Holdings annual net income for 2023 was $4.246B, a 75.53% increase"
A little bit more than everything is never enough...., i should just cuttem off....👹
"PayPal Credit
PayPal Credit’s Special Financing is changing.
Starting on December 3, 2024, the minimum purchase amount required for a No Interest if Paid in Full in 6 months* offer is changing from $99 to $149.
Purchases of $149+ will enjoy No Interest if Paid in Full in 6 months. Interest will be charged to your account from the purchase date if the balance is not paid in full within 6 months, and minimum monthly payments are required.
Purchases of $99+ made before December 3, 2024, will still qualify for special financing, and you’ll see that reflected on your statements.
Thank you,
The PayPal Team"
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Post by doubledog on Nov 4, 2024 11:02:53 GMT -6
So many corporations have seen record profits in the past couple years. whatever. Does this specific change from PayPal bother me? No, not really. They notified me (by email) and now I know. They also say they are not changing the terms for anyone who is in the current $99 deal, so that seems fair. It only changes the minimum purchase to get the finance deal. I rarely use this anyway as I don't like taking the chance of getting hit with their ridiculous 30%+ interest rates.
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Post by copperx on Nov 4, 2024 11:05:51 GMT -6
I don't like taking the chance of getting hit with their ridiculous 30%+ interest rates.
Feels like a gamble. 0% APR for 6 months or 30%+ APR if you fuck up and make a wrong move.
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Post by doubledog on Nov 4, 2024 11:07:00 GMT -6
I don't like taking the chance of getting hit with their ridiculous 30%+ interest rates.
Feels like a gamble. 0% APR for 6 months or 30%+ APR if you fuck up and make a wrong move.
exactly - and exactly what they are hoping you do! |
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Post by copperx on Nov 4, 2024 11:10:44 GMT -6
Feels like a gamble. 0% APR for 6 months or 30%+ APR if you fuck up and make a wrong move.
exactly - and exactly what they are hoping you do!
Yup, someone here (was it ericn or Johnkenn? I don't recall), exposed their shenanigans here. It gets tricky if you've financed more than one item -- payments don't get applied like you think they ought to, logically. I think financing one item is generally safe. |
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Post by plinker on Nov 4, 2024 11:16:19 GMT -6
If they offer an automatic payments option, then all is good. If not, then you gotta be diligent when spending Other People's Money (OPM) -- in this case, Paypal's money.
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ericn
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Post by ericn on Nov 4, 2024 11:22:04 GMT -6
The Whole Idea of interest free if paid in X-days is scam, they know 90% are going to forget / miss / underpay. Every card company in the world has studied it & will willingly brag about it when they are selling to the retailer. How do you think they make those profits & they don’t write off the loss as the purchase price, but the total with all the interest so guess who gets to pay almost zero taxes.
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Post by copperx on Nov 4, 2024 11:26:14 GMT -6
If they offer an automatic payments option, then all is good. If not, then you gotta be diligent when spending Other People's Money (OPM) -- in this case, Paypal's money. You would think so, but that's not how it works. The automatic payment that they set up is not the "amount you have to pay to avoid interest charges," unfortunately. You have to manually adjust the payments, which most people don't do (and even if you want to, the amounts are not communicated clearly). |
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ericn
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Post by ericn on Nov 4, 2024 11:39:21 GMT -6
If they offer an automatic payments option, then all is good. If not, then you gotta be diligent when spending Other People's Money (OPM) -- in this case, Paypal's money. You would think so, but that's not how it works. The automatic payment that they set up is not the "amount you have to pay to avoid interest charges," unfortunately. You have to manually adjust the payments, which most people don't do (and even if you want to, the amounts are not communicated clearly). Yup the way to set it up is to do it at the other end if you can. Devide the total by the number of months pay that plus $2 a month. Also make sure the payment hits 3 days before the monthly due date. Read the agreement and see if your interest kicks in based on invoice date, order date or card payment date. |
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Post by tonycamphd on Nov 4, 2024 11:41:24 GMT -6
I see all the above points as totally legit, I've been using it for a decade, I personally don't buy anything I can't afford, I use PP for the same and simple reason I use any zero interest credit, I want to keep my $ in my own hand as long as possible and it's easier to take bites at a sum than to eat the whole elephant in 1 sit, I have a perfect payment history and great credit and it will stay that way, so I'm already not zero interest promo's favorite guy.
I just liked the old $99 as that # seemed more reasonable to me mentally, now for psychological reasons I'll use it less, which isn't good for paypal as they still made vendor fee money on more purchases that they won't get from me anymore.
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Post by copperx on Nov 4, 2024 11:46:36 GMT -6
I see all the above points as totally legit, I've been using it for a decade, I personally don't buy anything I can't afford, I use PP for the same and simple reason I use any zero interest credit, I want to keep my $ in my own hand as long as possible and it's easier to take bites at a sum than to eat the whole elephant in 1 sit, I have a perfect payment history and great credit and it will stay that way, so I'm already not zero interest promo's favorite guy. I just liked the old $99 as that # seemed more reasonable to me mentally, now for psychological reasons I'll use it less, which isn't good for paypal as they still made vendor fee money on more purchases that they won't get from me anymore.
So, do you use the automatic payments and all works out fine?
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Post by tonycamphd on Nov 4, 2024 11:54:39 GMT -6
I see all the above points as totally legit, I've been using it for a decade, I personally don't buy anything I can't afford, I use PP for the same and simple reason I use any zero interest credit, I want to keep my $ in my own hand as long as possible and it's easier to take bites at a sum than to eat the whole elephant in 1 sit, I have a perfect payment history and great credit and it will stay that way, so I'm already not zero interest promo's favorite guy. I just liked the old $99 as that # seemed more reasonable to me mentally, now for psychological reasons I'll use it less, which isn't good for paypal as they still made vendor fee money on more purchases that they won't get from me anymore.
So, do you use the automatic payments and all works out fine?
Its not for most i suppose, but actually no, I do not trust any of them and I am a bit of an obsessive so i use zero "auto pays" on anything, I go on a weekly basis, every Sunday morning I look in detail at all my credit and debts, I look at my PP "special purchases" list and I knock off whatever feels comfortable to me financially at the time, I try to stay pretty far out front, as of right now my closest "6 month PP pay off by" is march 1st 2025 |
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Post by tonycamphd on Nov 4, 2024 11:59:44 GMT -6
...... the only reason I use credit cards at all is because of the 1 to 3% cash back programs, you still pay exactly the same as you would cash almost anywhere and the $ back adds up, but that + $ back flow is predicated on the certainty that you pay off the credit card every month, which I do unless it's a zero interest card, if you suck at the credit card games stay clear, they are banking on you sucking at it
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ericn
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Post by ericn on Nov 4, 2024 12:15:06 GMT -6
I see all the above points as totally legit, I've been using it for a decade, I personally don't buy anything I can't afford, I use PP for the same and simple reason I use any zero interest credit, I want to keep my $ in my own hand as long as possible and it's easier to take bites at a sum than to eat the whole elephant in 1 sit, I have a perfect payment history and great credit and it will stay that way, so I'm already not zero interest promo's favorite guy. I just liked the old $99 as that # seemed more reasonable to me mentally, now for psychological reasons I'll use it less, which isn't good for paypal as they still made vendor fee money on more purchases that they won't get from me anymore. They most likely ran the numbers to much was getting through at $99 vs what they were making. In this case it’s not about what makes sense to you and me but what literally makes cents for PP! |
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Post by doubledog on Nov 4, 2024 12:45:17 GMT -6
...... the only reason I use credit cards at all is because of the 1 to 3% cash back programs, you still pay exactly the same as you would cash almost anywhere and the $ back adds up, but that + $ back flow is predicated on the certainty that you pay off the credit card every month, which I do unless it's a zero interest card, if you suck at the credit card games stay clear, they are banking on you sucking at it that's what I do too. The cash back/point is basically free money if you are diligent. |
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Post by lowlou on Nov 4, 2024 13:35:23 GMT -6
In EUrope Paypal only offers payment in 4x, and not above 2000euros.
Your US Paypal offers seem way better.
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kcatthedog
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Post by kcatthedog on Nov 4, 2024 14:30:48 GMT -6
They are just trying to set you up to fail. I always pay as I go: done.
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ericn
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Post by ericn on Nov 4, 2024 14:47:03 GMT -6
They are just trying to set you up to fail. I always pay as I go: done. That’s the whole game! When we introduced our first attempt at a private credit card ( then GE Capital now known as Sycrony) I sat down with our MBA / CPA / Lawyer and went through the whole thing, why? Because I was basically selling this, it had the potential to be a great tool for closing but also for pissing people off! I don’t think many gear pimps know that much about their credit products, and don’t get that Both the store and the individual sales guy will be associated with any problems. I was not going to loose 10K or even 1K a year in sales because someone didn’t read the fine print! |
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Post by smashlord on Nov 4, 2024 14:57:52 GMT -6
...... the only reason I use credit cards at all is because of the 1 to 3% cash back programs, you still pay exactly the same as you would cash almost anywhere and the $ back adds up, but that + $ back flow is predicated on the certainty that you pay off the credit card every month, which I do unless it's a zero interest card, if you suck at the credit card games stay clear, they are banking on you sucking at it Exactly. It's like anything else... it can be a useful tool when used properly. |
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Post by ericn on Nov 4, 2024 15:14:29 GMT -6
...... the only reason I use credit cards at all is because of the 1 to 3% cash back programs, you still pay exactly the same as you would cash almost anywhere and the $ back adds up, but that + $ back flow is predicated on the certainty that you pay off the credit card every month, which I do unless it's a zero interest card, if you suck at the credit card games stay clear, they are banking on you sucking at it Exactly. It's like anything else... it can be a useful tool when used properly. One of the biggest pitfalls in Audio is guys buying equipment on credit for a particular gig/ session. I have seen so many guys go belly up because the client either didn’t pay or payed so late that with interest that piece cost twice as much. |
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Post by rowmat on Nov 4, 2024 15:45:08 GMT -6
I worked for an audio/video retailer in my early years.
We received a commission for signing up customers to 12 months ‘interest free’ finance.
The customers loan screening requirements were pretty low and most of the customers were of low socioeconomic backgrounds with many shocked when their applications were approved often within minutes.
Most customers didn’t end up with interest free loans because if they missed one payment or were late by literally a minute on their final payment the got stung with around 30% interest on the entire loan from day one.
This was all buried in the fine print of the finance contract which we were supposed to ensure the customer had read before signing the contract but no one ever did and to be frank I think some were illiterate.
I was never comfortable about it and would try and quietly talk people out of finance but once they had their mind set on some shiny new gear it was too late.
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Post by gwlee7 on Nov 4, 2024 17:26:49 GMT -6
The trick is knowing how each purchase is working. With sweetwater using synchrony you get the monthly installment stated that will avoid charges if paid each month. With Musicians Friend (GC also using synchrony) same thing. BUT with care credit (synchrony onec again) you DO NOT get the same equal payment minimum. You have to be sure and tell them exactly how you want your payments applied. Just today I had to get live person in chat to make them apply a payment I just made to the final balance on the first part of dental work.
Pay pal seems to only do the minimum payment covers the balance in the allotted time thing on eBay when it specifically states x number of equal payments.
Even then, it is wise to pay 10 - 20 dollars extra each month to have a buffer.
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Post by smashlord on Nov 4, 2024 18:00:49 GMT -6
Exactly. It's like anything else... it can be a useful tool when used properly. One of the biggest pitfalls in Audio is guys buying equipment on credit for a particular gig/ session. I have seen so many guys go belly up because the client either didn’t pay or payed so late that with interest that piece cost twice as much. Not to go off on a tangent, but I think we all need to do our due diligence in these situations and not spend money we don't have, especially when there is no deposit in house. Justifying new gear for a gig is an easy trap to fall into, but audio is a fickle business. Artists aren't always the most organized people. At the end of the day, banks are businesses and they are going to set up their products in a way that allows them to make money. We just need to be responsible enough not to put ourselves in a precarious position. I personally use the Guitar Center card a lot. 0% for 6 months, 5-10% points back. If I can leave my cash sitting in a HYSA, treasury, or IRA earning interest PLUS additional money back, that's all good stuff. The important thing is to not use these high stakes cards if you don't have the cash to pay it off from day 1. |
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ericn
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Post by ericn on Nov 4, 2024 18:09:24 GMT -6
One of the biggest pitfalls in Audio is guys buying equipment on credit for a particular gig/ session. I have seen so many guys go belly up because the client either didn’t pay or payed so late that with interest that piece cost twice as much. Not to go off on a tangent, but I think we all need to do our due diligence in these situations and not spend money we don't have, especially when there is no deposit in house. Justifying new gear for a gig is an easy trap to fall into, but audio is a fickle business. Artists aren't always the most organized people. At the end of the day, banks are businesses and they are going to set up their products in a way that allows them to make money. We just need to be responsible enough not to put ourselves in a precarious position. I personally use the Guitar Center card a lot. 0% for 6 months, 5-10% points back. If I can leave my cash sitting in a HYSA, treasury, or IRA earning interest PLUS additional money back, that's all good stuff. The important thing is to not use these high stakes cards if you don't have the cash to pay it off from day 1. Absolutely, but the reality is trying to read make sense of any of these documents you are provided are written specifically so that even a fairly financially literate person is more than likely to miss something. So who do you trust? That’s the fairly universal problem. Funny enough I spent most of the day trying to close an account some one had opened in my name, used a 15 year old billing address and the wrong social, never used it but got an email they were going to collection on the fees! |
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Post by christopher on Nov 4, 2024 19:32:58 GMT -6
People shouldn’t use it, but how else can everyone’s Wall Street backed investment accounts continue to spit out record returns? Wall Street NEEDS everyone to promise to buy today.. like Apple- they sell a zillion phones, but they are all mostly sold as part of a contract, no up front cost. The stock explodes on amazing numbers, they can liquidate the stock take the cash and make their own interest while they wait for people to make payments. The whole stock market is learning to do this, or maybe they always have. Everyone’s banks and loans are riding on this style economy. To me, it’s probably ok to have something in possession to keep your sanity these days  |
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