Rolex and Consumer Credit.

[Puffy]

Two ways for me:

1. Charge them to my Ltd company and pay for them via day trading activities (basically cost me jack...)

2. Credit card - get points and pay off balance in full

[UKSub]

I have frequented watch sites for the last 10 years in and out, and Rolex wearers sometimes get a bashing for such like which i don't think is fair imo. Get your point about freedom of speech which i was expressing! All good though nairn!

[bayerische]

Originally Posted by dalip

I feel like we've kind of done this topic to death...or is it just me? I realize we repeat stuff etc etc....but 'how anybody chooses to pay for anything' is up to them. We can all give fairly obvious advice to anyone buying any luxury item on credit....it is ultimately an 'unwise' decision....but it's just a sign of the times.

I'm more interested in the watch he's getting...make him a member and post pics once in his possession please!!!!!

ABSOLUTELY!

Not long ago since this topic had it's last thread. Some pay cash, some pay with plastic, some plastic with interest.

I'm not the one to judge someone going after his dream watch for 50K paying it with a consumer credit. It's expensive, and might get you in trouble. But we only live once, and if it makes him/her happy, go for it. I wouldn't do it, but who am I to judge others?

[king1412]

Originally Posted by Nairn1980

I have to say whilst I agree with you all, I do not pay for Rolex watches by cash.

I am one of the ones who has credit card debt for them.

I bought mine and my fiancees on a very low-rate credit card, and pay it back per month.

I am safe in the respect that both watches are worth significantly more than the outstanding balance.

Might not be "right" but thats what I do.

I also have my mortgage and car payment, but I love Rolex so much, and if I saved for years the price increases would be so much more, so I am happy to pay them up. Credit cards are nothing new for me though, I have an AMEX for all my monthly spending, which gets cleared off every month and I earn cashback on everything I buy.

I am 30 next week and have been a regular credit card user since I was 18. I have never in my life missed a payment, and as a result have excellent credit. I am however smart in credit card choices....never pay interest monthly on regular spending. The only interest I pay is on my one balance for the Rolex watches, and I have that at 6% APR (UK RATE) so it costs me very little.

The problem with buying luxury items when you don't have the cash is the credit card cost catches up to you and you have to sell your 4 month old LNIB Daytona below market value.

http://www.rolexforums.com/showthread.php?t=122954

Cash is king. No cash = No luxury items like Rolex.

[rr-nyc]

Originally Posted by thedude

i use my amex for everything and pay off full balance every month.


I agree with eric that the benefit to using amex on big purchases is the extension of the warranty and their willingness to pay out on repairs that might be needed during the extended period.


Also, getting the amex points cannot be overlooked.

+1

[Dr. Robert]

Thank the weather gods it's spring....my money tree in the backyard is blooming....lots of Benjamins.........

[Nairn1980]

Originally Posted by king1412

The problem with buying luxury items when you don't have the cash is the credit card cost catches up to you and you have to sell your 4 month old LNIB Daytona below market value.

http://www.rolexforums.com/showthread.php?t=122954

Cash is king. No cash = No luxury items like Rolex.

That was a bit of a dig!
I did not plan to keep the Daytona forever. I have had it and sold it and not lost.
Not the end of the world, I now love my LV.

We are all different...

[sparksgmt]

I financed mine not on a credit card, but rather a personal loan form a bank. I never keep a balance on my credit card so that was not an option for me. I had the cash to purchase the watch, but I took out the loan to build my credit, being that I am a college student, and still young.

[007Willster]

Originally Posted by Eric89

I would never buy a luxury item, such as a rolex, unless I had the cash to pay for it. That said, I've used my credit card to buy one before but always pay it off in full at the end of each month. To me, a credit card is uses only as a conveniece and for the added protection and reward points, not as a form of a loan. Just my opinion.

Same here...

[Art 1]

It obviously would not be wise to make payments with interest on a luxury item.

[00pumpkin]

I bought my Rolex on credit at Mayors. I was only 23 when I bought it and had only been working (post college) for 4 months. I didn't exactly have $5,500 cash lying around.....and I'm not ashamed of getting it on credit. I would do it again in a heart beat. Pepsi's aren't easy to find now and I snatched one up right as they were becoming hard to find. I paid it off in just over a year.......

[jrssv]

We buy almost everything including groceries on our American Express card. Then we pay if off each month. We use the points for airline flights. It does take some discipline to do things that way but it works for us.

[ArthurPE]

I hear everyone saying the buy everything 'cash', cars, watches, houses...I call BS
I bought my Rolex with a credit card, I will pay it off when it arrives...is that 'cash'?
in fact, when I get home, I usually have my wife do an online pre-payment for the ~amount...
there are advantages to a CC: credit history, extended warranty, convenience, safety, etc.

I can't recall the last time I paid 'cash' per se, well for coffee maybe, lol
it's usually a check, bank check, CC (then pay it off)
why would cash give a discount in a legitimate business? it's on the books either way, and you still pay taxes...
the seller usually eats the fees...

who would go to a car lot with 70k cash? a check maybe, but cash?
it seems everyone here pays 'cash', but on the other hand we are a nation of debt...

my discounts/price are always negotiated before the seller knows the payment method...
that way, it's my choice, not his...

on a good note finished my taxes: I paid ~$80k in fed tax, ouch...
the good news, is I owe only $99, how's that for planning :D

[bayerische]

I'm having a hard time with the CASH gets the best deal too...

On my DSSD (only Rolex new from AD) I bargained the price from 7280 euro down to 6100 euro. Never was payment method mentioned.

I payed with my Diners Club. That will result in a 3-4% commission to be payed by the AD. I don't care. As long as I see the DC logo on the door, it's as GOOD AS CASH IMHO.

I'm a business owner, and I don't spit at CC's.

[PeterT]

I managed to get 12.5 % discount on the new 16610 I bought last weekend. I paid 20% using my credit card. This card gives me cash back on any purchase. I pay the bill off completely every month. The other 80% is on interest free credit and so my money stays in the bank gaining interest.
I would imagine that all of this equates to a total discount of over 16% which keeps me happy!! I have never managed to secure the same sort of discount with cash.

Peter

[bayerische]

Originally Posted by PeterT

I managed to get 12.5 % discount on the new 16610 I bought last weekend. I paid 20% using my credit card. This card gives me cash back on any purchase. I pay the bill off completely every month. The other 80% is on interest free credit and so my money stays in the bank gaining interest.
I would imagine that all of this equates to a total discount of over 16% which keeps me happy!!

Peter

Pretty good.

I counted my Diners Club points from my DSSD purchase to about 7.000. I usually take them out as Restaurant vouchers. Diners has a great Voucher system to the best Restaurants in Helsinki, I put 1000 points and 39 euros gives me a voucher worth 84 euros! Not bad. I eat out a lot.

[Brenngun]

This is a question that applies to all aspects of your life. There is no doubt that credit cards are a convenience but ultimately you still have to pay them off. If you don't pay the balance off monthly then the interest no mater how small can quickly turn your $7000.00 Rolex into a $9000.00 Rolex by the time you pay it off. That represents almost a 30% premium so ask yourself would you buy anything 30% over the list price?? You must pau off the total outstanding each month or your losing money.

[ArthurPE]

Originally Posted by PeterT

I managed to get 12.5 % discount on the new 16610 I bought last weekend. I paid 20% using my credit card. This card gives me cash back on any purchase. I pay the bill off completely every month. The other 80% is on interest free credit and so my money stays in the bank gaining interest.
I would imagine that all of this equates to a total discount of over 16% which keeps me happy!! I have never managed to secure the same sort of discount with cash.

Peter

now that is smart money management

[Dr.Brian]

Some people want to portray a certain image, it doesn't matter at all that they can't afford it. It's too bad. That Rolex sure is nice, and I bet he has 2. However 20 or 30 years from now, when he would like to retire early, it sounds like he's going to have some real problems. I plan everything around my future goals. I'll be in a cottage 2 blocks off the beach in Coronado or Del Mar, driving my retirement present to myself, a new Mercedes convertible, to the club for lunch. There's no doubt about that. I plan for it every day. I would rather sacrifice a little now to have everything that I want later. It's an almost alien concept around here these days, even after the little financial shake up we had.

[Gerardus]

only cash

[ArthurPE]

some people? would that include you dr brian subspecialist physician? lol

you could be dead tomorrow, you know what they say, the best laid plans and so forth...I've been saving/investing for the future since young, but living in the present...

say for example, you or a loved one is diagnosed with say, MS, now how do you 'plan' for that? $$$ can't fix it, only mitigate worry about $$$ itself...

I'm not living anyone else's life...mine is quite enough thank you...

Originally Posted by Dr.Brian

Some people want to portray a certain image, it doesn't matter at all that they can't afford it. It's too bad. That Rolex sure is nice, and I bet he has 2. However 20 or 30 years from now, when he would like to retire early, it sounds like he's going to have some real problems. I plan everything around my future goals. I'll be in a cottage 2 blocks off the beach in Coronado or Del Mar, driving my retirement present to myself, a new Mercedes convertible, to the club for lunch. There's no doubt about that. I plan for it every day. I would rather sacrifice a little now to have everything that I want later. It's an almost alien concept around here these days, even after the little financial shake up we had.

[Mamaseta]

I am in love with the midsize DJ salmon dial with diamond markers; I want to pay cash for it but do not have enough right now; I think personally I would just feel more successful being able to pay cash for it; thats why for now I wear a midsize Tag Heuer; everyone is different but for me I just feel that my hard work will one day be rewarded with buying a DJ, kind of like a personal quest for me.

[Dr.Brian]

Originally Posted by ArthurPE

some people? would that include you dr brian subspecialist physician? lol

you could be dead tomorrow, you know what they say, the best laid plans and so forth...I've been saving/investing for the future since young, but living in the present...

say for example, you or a loved one is diagnosed with say, MS, now how do you 'plan' for that? $$$ can't fix it, only mitigate worry about $$$ itself...

I'm not living anyone else's life...mine is quite enough thank you...

I'm not sure what you mean with my Bio data. That's who I am, not who I want to look like I am. In my post I am clearly, I thought, referring to those that live beyond their means to appear more financially successful than they actually are. So, "some people" would, by definition, not be me. Distinctly unlike the guy drowning in debt yet still buying up new Rolexes. I plan for my financial future first, than luxuries. That has nothing to do with unexpected illnesses, etc.
If I die tomorrow, my family can still go live on the beach. And I won't care that I never got my platinum DD, even though I could have...
Trust me, I'm not thrifty, I don't have to be. But I may have to become more thrifty depending on how the changes in medicine shake out over the next decade...
I must be misreading your post, or you misunderstood mine?

[Lion]

I was raised that you do without until you can pay with cash. Thus I do not owe money to anyone for any reason so I have no debt. I think it's crazy that some Americans have over $10,000.00 dollars in credit card debt and do not pay it off. I also do not like the fact that in America you can have a huge personal debt and can file for bankruptcy and skate on the debt. My two Rolex watches I bought with cash!!!

[Prince]

Originally Posted by Lion

I was raised that you do without until you can pay with cash. Thus I do not owe money to anyone for any reason so I have no debt. I think it's crazy that some Americans have over $10,000.00 dollars in credit card debt and do not pay it off. I also do not like the fact that in America you can have a huge personal debt and can file for bankruptcy and skate on the debt. My two Rolex watches I bought with cash!!!

Couldn't agree with you more, Leo my friend!

[bayerische]

OK... Just one thought here now...

The world is built on debt. Debt and risk is what makes great enterprise. It's what moves us forward. To be better.

Debt is not a bad thing. If managed. Most people, 99,99% of us, if not more is not born with a golden spoon in their mouth, and need to make it themselves.

If ventures would never had been taken, were would we be? Sticks and stones, anyone?

So is business debt OK? Or should one pay the million dollar business acquisition cash too? I sure didn't...

[Eric89]

Debt for things such as you are describing like business or mortgages or even cars is not the same thing as buying a luxury watch on a credit card, to me at least. Mortgages, business loans, and car loans are necessities of sorts and lets face it, it is unrealistic for most people to ever have one million dollars in cash, hence the need for a loan. These things are really part of your life and are needed for your future. A rolex, regardless of how much we all love them, is just a watch at the end of the day and will not feed you or keep you warm at night. A business loan is a calculated risk someone wants to take in order to have a future career, a watch purchased on a credit card with no intent to pay it off is just someone living beyond their means or being irresponsible with their money. All of these are just my opinions, and as we all know, opinions are like a**holes, everyone has one and they all stink.

Originally Posted by bayerische

OK... Just one thought here now...

The world is built on debt. Debt and risk is what makes great enterprise. It's what moves us forward. To be better.

Debt is not a bad thing. If managed. Most people, 99,99% of us, if not more is not born with a golden spoon in their mouth, and need to make it themselves.

If ventures would never had been taken, were would we be? Sticks and stones, anyone?

So is business debt OK? Or should one pay the million dollar business acquisition cash too? I sure didn't...

[007Willster]

Carrying debt and using a credit card to make purchases are not the same thing. I make all purchases large or small with a credit card and pay the statement balance upon receipt. I carry no debt. It's like paying with cash only with protections and perks... I agree with an above poster regarding agreeing on price prior to purchase.

That being said, there are exceptions - for example, the guys who service and maintain my boat at the marina always get cash. It's my way (along with tips) to express my appreciation. Another exception would be purchasing from one of the fine sellers here on TRF, which IMHO is not the same as purchasing from an AD... (I mean that in a good way!)

[Dilemma]

Just save your money, looked for a pre-loved watch and you'll have one before you know it.

THAT is my plan for my next Rolex. (And I will keep my 14060) The GMT "Coke" bezel.

There sure are a lot of Ballers in this thread.

[ArthurPE]

I think you know what I mean ;)

so your 'dream' of the 'future' is better than anyone elses?
a cute cottage in a trendy part of town and driving a poser-mobile to brunch at the club with chaz and muffy...and that is somehow more 'enlightened' than anyone elses? more 'substantial'? or superficial?
but hey, it's yours, allow others to lead thier lives without your judgement....

what if 'some peoples' are like mine...health & happiness for wife, family and myself, and just to grow old with someone we love...and everything else is moot...

nope, I read you 5 x 5

you: know everything and will share
me: it's none of my damn business if some internet guy buys stuff he can't afford:he didn't ask for, he doesn't want, nor would heed my 'advice', posted for millions to see...I was raised in abject poverty, educated myself, and now make enough to do as I please (within the limits of my frugality, some habits die hard), but guess what, $$$ is menaingless, and they say money is the root of all evil for a reason: people waste their lives pursuing it, what's more 'evil' than that? a wasted life

Originally Posted by Dr.Brian

I'm not sure what you mean with my Bio data. That's who I am, not who I want to look like I am. In my post I am clearly, I thought, referring to those that live beyond their means to appear more financially successful than they actually are. So, "some people" would, by definition, not be me. Distinctly unlike the guy drowning in debt yet still buying up new Rolexes. I plan for my financial future first, than luxuries. That has nothing to do with unexpected illnesses, etc.
If I die tomorrow, my family can still go live on the beach. And I won't care that I never got my platinum DD, even though I could have...
Trust me, I'm not thrifty, I don't have to be. But I may have to become more thrifty depending on how the changes in medicine shake out over the next decade...

I must be misreading your post, or you misunderstood mine?