Buying Something With 6 Month No Payment

[D_Roderick Beresford Stiffington IV]

Hi everyone. I'm selling my old computer and buying a new one on NewEgg.com that I'm going to assemble. I have the parts picked out and it comes to $1382, I was approved for NewEgg's Prefered Account which gives the option of no payment for 6 months on purchases over $500. I've never bought anything using an option like this so I wanted to maybe talk to some people who know stuff like this and if its alright. I figure within a month or 2 I'll have the money from selling my old PC, christmas and birthday along with a job I have. So I really don't have to pay a penny till 6 months is up or is there some catch I should know about? I'd like to go ahead and get my new computer and have the parts here before I ship off the old one. I don't want to be left computerless. Thanks haha!

 

[AlteredEgo]

Most of the time there is no interest if at the end of the 6 month period you make a payment in full (before the last day). if not, your payments begin, and usually there is interest built in. Pay as much as you can before the end of the six months to keep your costs down. But read the terms of your loan. (This is a loan.)

 

[dong20]

Most of the time there is no interest if at the end of the 6 month period you make a payment in full (before the last day). if not, your payments begin, and usually there is interest built in. Pay as much as you can before the end of the six months to keep your costs down. But read the terms of your loan. (This is a loan.)

I did this once and actually paid 1/12th of the amount into a savings account so I got 5% interest and had a painless final payment. Beware though if you miss even by a day then a full year (or 6 months) of interest is usually applied retrospectively and it's usually high, maybe 25-30%. It works well if you do pay in full but I agree read the fine print!!

 

[Pecker]

That's right, Orbitz, if you don't entirely pay for the purchase before the 6-month grace period is up you'll find that the company is talented at reading the fine print that you missed.

You'll not only owe the balance but interest that accumulated during that 6-month 'free' period. There may even be fees added.

 

[D_Roderick Beresford Stiffington IV]

Alright thanks for the info, I went ahead and ordered my stuff. I'll have no problems paying it within 6 months. I just wanted to make sure there was anything I should know during the 6 months.