Finance or Outright ?

[WatchWeb]

Just curious, everyone is different with different jobs at all various levels.

How do you fund your Watch ?.

Do you save up & buy outright or do you go down the finance options at some AD ?.


As I have only just been given the green light by the Mrs to get a Rolex , i'll be going down the finance route to get on the first step of the ladder.


My local AD is offering 0% over 3 years after a 20% deposit which is making it more affordable.

[andyboy39]

Depends, usually save, but I have used finance before as well..

[PunkJr]

IMHO, and it is nothing more than MHO, saving is a better way to purchase a luxury item. Read this http://en.wikipedia.org/wiki/The_Ric...Babylon_(book) and if you still feel like financing, go your hardest.

[malarky_hk]

0% over 3 years is pretty good. Provided you have the ability to make the payments on time. If you're gonna struggle to make the payment then postpone the purchase till you have all cash in hand. Just my two cents.

[jay1988]

The main problem I have with finance is that most of the time you wont get a discount with it. The one AD I've asked about finance after agreeing a deal said I can't have the deal on finance.

If it's something that AD's won't discount then go ahead. 0% over 3 years ? By the time you've paid it off the watch is probably worth $1000 more. I would never finance if I didn't have the money. For example I have an account that has savings for a car and house etc. and even though I am pretty adamant about not touching a penny in it, if it came down to that or defaulting on a payment I would obviously do it.

On the other hand if there is a possibility that you could have no money to pay them even by scrambling together savings etc. then it is not worth the risk.

[Kyu]

Being in debt just bothers me, I understand the concept, but I really screwed my self before.. So... Everything is straight paid, except for my condo lol 700k wasn't easy to come by.. Especially with Trf making me start a collection

I offer cash or wire or check. Nothing else
O sometimes paypal

I hope robbers don't have this link bookmarked

[crowncollection]

I don't finance watches.

[travisb]

I always pay in full.
I hate to have any additional financial obligations hanging around if not necessary.

[superdog]

I try to never finance luxury items. If I still owe money on it, it's harder to enjoy.

I personally say save up.

[jdpny]

Pay up, you'll enjoy it much more IMHO.

[justdate]

Well whatever you are buying, if there is 0% finance - TAKE IT! It's free money. The point is though, it costs them something to offer 0% finance so i'd try and get them to give cash discount instead. 3yrs 0% finance might be equal to 10% discount.

[Brushpup]

Peronal opinion on this is no finance. Save, and as said before, enjoyment is much higher and chances for discount possible. Not so for finance.

[beshannon]

I always use someone elses money when possible

[watchf]

Always outright.

If you can pay it off outright but using finance means getting a better deal for whatever reason then its fine and a smart thing to do. However, if the reason for using finance is so that you can afford it then its not a good idea to pay for luxury on credit you don't yet have.

[kerytch]

my advice, dont buy luxury goods through financing. only buy them when you have spare cash. just my 2 cents

[Chad072]

Outside of a house or vehicle, if I can't pay for it out right, that's my finances way of telling me I shouldn't buy it. I usually try to put big purchases on my CC so I get the airline miles and then pay it off when the bill comes in.

[AH0RSEY]

personally, I've flipped watches and then the 'difference' between the prices usually means its a fairly small difference to find. so for me its normally a straight cash deal anyway.

However IMHO 0% is fine ( afterall its not costing you ), really it means you can sort out your cash-flow over the few years and yes if you can afford to double or triple pay or whatever, you can pay off early. However, 0% usually = no discount, so £500-£1000k more on a £5k watch. But don't be silly an buy something you just can't afford and will get you in financial trouble.

Assuming you can afford it then - the Exam question is "do you want the watch to enjoy today or in 3 years when you may have saved up enough ( and the prices increased )?"

[Langleyz]

Pay in full.

[PunkJr]

It's a subvented rate...the dealer buys the rate down from 8% (or similar) from the finance company. He buys it down with what would normally be your discount if you were a cash buyer, so it is costing you money to take a 0% finance deal.

[rolexperfect]

For a merely luxury item is hard but you shouldn't finance it. I prefer to be debt free. Things like financing make a lot of sense to me when buying a house or a car. But this culture of financing everything is not really for me. At least here people save up a lot and don't live on their credit card like in the US or Canada. Plus I feel you'd enjoy it more when knowing its fully yours. You won't be wearing a watch that has you in debt. Just my 2¢.

[The Joker]

Done both. If you can't a discount, get 0% finance. It's a no brainer. Money is better in your account then theirs.

A dealer won't offer both. Discount depends on what watch you are getting.

[strafer_kid]

Would agree that pay in full is best!

[Johny]

save up the cash and buy from a grey dealer.

[Grey.Coupe]

Pay cash or you pay too much.

[Thatguy]

Save up
Work your best deal
Try to get said deal at 0% through negotiating with credit card or dealer
Take 0% if possible if not pay cash

[Roller07]

Just like everything else (except for houses), i pay in $100 bills

[airchitect]

I think you will probably notice that many of the folks on here have the financial means to pay a purchase like this off in short order. In reality though, many don't. Does that mean that they shouldn't be able to partake in the wonder that is Rolex? If you can finance it cheaply, and its not a burden, then by all means go for it. Take your extra money and invest it elsewhere. And keep in mind.....even though you are financing, you are still making money in this case. If Rolex continues with their 10% increases yearly, by the time you have paid it off, the replacement cost will be almost 3k over what you financed it at 0% for. So.....finance a GMT now for $8450 at 0%(price discounted at many AD's if financing through Wells Fargo) or save up for three more years and have to pay $11246.95...plus tax if you don't have it shipped elsewhere. This isn't like financing a car thats worthless when you drive away. If you get a desirable model and keep it longterm, you will make money. Period.

[johnbeth]

Originally Posted by airchitect

I think you will probably notice that many of the folks on here have the financial means to pay a purchase like this off in short order. In reality though, many don't. Does that mean that they shouldn't be able to partake in the wonder that is Rolex? If you can finance it cheaply, and its not a burden, then by all means go for it. Take your extra money and invest it elsewhere. And keep in mind.....even though you are financing, you are still making money in this case. If Rolex continues with their 10% increases yearly, by the time you have paid it off, the replacement cost will be almost 3k over what you financed it at 0% for. So.....finance a GMT now for $8450 at 0%(price discounted at many AD's if financing through Wells Fargo) or save up for three more years and have to pay $11246.95...plus tax if you don't have it shipped elsewhere. This isn't like financing a car thats worthless when you drive away. If you get a desirable model and keep it longterm, you will make money. Period.

Make money from the deal with a modern rolex, someone is wishfull thinking, however, I do agree with the OP being better off with a watch to receive better resale value, then a brand new car.

[Pleximannen]

Outright easily. Earn it before you spend it. There is no such thing as free money.

[c.rod]

im not sayin i would never do it, but i try to keep pure luxury/wants etc. to a cash basis. basically anymore the only thing i will do on credit is a house or car... got in some trouble early on and learned my lesson with the credit monster.. :)