What if authorized watch store offer lease or other payment plan?

[Ecksdee]

Personally, I find the idea of a payment plan for a watch horrifying. When it comes to potentially large purchases on an item like this, which is, at the end of the day, a luxury, nobody should consider financing to pay for it. It's just a good way to get in debt.

[jtstav]

I wouldn't finance a watch myself however there are some situations where I'd consider it. One being credit improvement. Someone like myself who's younger & doesn't have much credit to begin with may find it a good choice to finance a watch (or any other large purchase for that matter) & improve their credit at the same time. I wouldn't do it unless I had all of the funds on hand though. So if I were buying a 5k USD watch I better make darn sure I have the cash, finance it anyway and the only thing that will come from it is a better credit score. I don't see the harm in that. I actually did this with one semester of college loans. I have always paid cash up front for school but just recently I took a loan out anyway so I can boost my credit. Sure there's interest I need to pay but I just consider it a fee for improving my credit rating. Sometimes it just doesn't pay to purchase outright.

[CogitoErgoSum]

The Rolex boutique in my town offers financing. You can choose either a 10 month or 20 month plan with 0% interest.

[Synequano]

Well,it all depends on the individual,I can afford to buy the watch on cash,but if there's a 0% financing offer,I may take it so I can put that extra cash into either my business cash flow or into my savings (usually I put it into the business flow to create another profit..)
If I want to buy luxury item,I have to make sure I can afford it before deciding to pull the trigger,if the watch is too expensive,then I won't buy it,even on 0% offer..don't want to fall on the so-called debt trap..

[Memphis1]

i can already see the horror... some guy with a $100k AP a $90k Cadillac Escalade and he can't put $5 of gas in his car nor feed his family for a day...

[napel]

Like anything, if you pay CASH you will get the best deal. You have more negotiating power because the seller will have the money in hand usually during the transaction with fewer hiccups and less of a hassle. So you can usually talk the price down due to the fact that the seller will have the money in hand sooner. If you financed anything the price is more than likely going to be fixed and to lease a watch is absolutely absurd. You will throw away a ton of money before it's yours. Only people looking for false sense of a status symbol would do such a thing. Financing a watch is ok only if you get 0%. But even then, you lose your negotiating power due to the long amount of time the seller will get his funds so instead of saving hundreds of dollars, your paying regular price.

I had a friend wanting to buy a BMW and the seller wouldn't budge at his $40k asking price. When my friend came back with crisp $100 bills the guy's eyes lit up and he got the car for $30k.

[wuyeah]

i can already see the horror... some guy with a $100k AP a $90k Cadillac Escalade and he can't put $5 of gas in his car nor feed his family for a day...

without this plan, doesn't seem to stop those who can't control anyway.....
For those who are mature and spend responsibly, there is a benefit.

[Lord Monocle]

It would be rather difficult to REPO a watch.

One of my buddies used to work for one of those rent-to-own places. He repossessed engagement rings all the time. I imagine that's harder than trying to repo a watch.

[drhr]

I think it depends on many variables, actually a lot of variables, some of which are very personal, of course. For me, this could make some sense. I have purchased a bunch (30+) of watches that I have sold in a short period of time, within a yr of acquisition, sometimes within a month. This could be described as idiocy/lunacy, I know, and I would not argue the point vehemently, but we can save that for another discussion/thread. The point for me here is, say I buy a watch for $5,000, "enjoy owning it" for a short period of time, and then sell it for $3,800, which I have done many times. It might have been the same or better for me with a lease plan, depending of course on the monthly payment amount, etc. Wouldn't know what a monthly payment would come out to, but depending . . . . . . . .

[anothernewphone]

I had a friend wanting to buy a BMW and the seller wouldn't budge at his $40k asking price. When my friend came back with crisp $100 bills the guy's eyes lit up and he got the car for $30k.

Most car dealers make money off of the financing, so taking 25% off the purchase price for paying cash is HIGHLY unlikely. Sorry, man, but I think your friend was pulling your leg.