# Newegg's Financing | Question



## BondExtreme (May 14, 2011)

So I may be using the Newegg financing option I just found on their site. It's one of those deals where you don't have to pay interest for 12 months even though i'll have it paid off in two..

Anyway I had a quick question about their offer. Scroll down and read the very last sentence. "*You must make your purchase by midnight ET on May 31, 2011 to receive the promotional offer."

So I don't know if I missed anything but are they giving an example date or are they closing this financing offer down at the end of the month? If so, do you think they will make this available again sometime soon in the year?


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## Frick (May 14, 2011)

Why not ask newegg instead?


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## lilhasselhoffer (May 14, 2011)

New at this (newegg deals)?

Newegg is trying to rope you into a financing company.  The gist of it is you are extended a credit line by a third party company.  By doing this you can exceed what could reasonably be purchased on a credit card, while newegg does not bear the financial burden should you not pay your bills.

They offer 6 months no interest, 12 months no interest, $50 of your next purchase of a certain minimum amount, and free shipping on a regular basis.  It may be a couple of months until you see 12 month no interest financing, but it will be back again soon.  Either wait for it, or jump on the 6 months when it comes up.

What you really need to know is that the offer is basically a credit line.  It is extended to you based upon your current level of income, and has an interest rate above most home loans and below credit card rates.  Join the program whenever you would like, because the deals cycle on a monthly basis.


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## DanishDevil (May 14, 2011)

I would avoid stuff like that at all costs. Just save the money that you have now until next month when you have it all. Too many people in this country live on credit. It makes sense for a business to have debt, but not necessarily for an individual, especially if it's for computer hardware. A car, a house, sure. But not a computer.


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## lilhasselhoffer (May 14, 2011)

DanishDevil said:


> I would avoid stuff like that at all costs. Just save the money that you have now until next month when you have it all. Too many people in this country live on credit. It makes sense for a business to have debt, but not necessarily for an individual, especially if it's for computer hardware. A car, a house, sure. But not a computer.



The question is not about whether you believe in debt.  The question is whether the offer will happen again.  As it is beneficial to newegg, it will likely happen again.

I used this as an opportunity to build credit history.  $600 that I already had was placed in checking, and sent in 4 monthly payments.  On the fifth I paid the balance (6 month no interest).  No debt, no interest being paid, and an addition to my credit history.  Personal feelings aside, you have to have a credit history to get a loan for what you cited.  This is a decent place to boost credit history with little or no negative implications.


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## DanishDevil (May 14, 2011)

I wouldn't boost credit history with a line of credit from Newegg. I would go to your local bank and get a credit card, and pay off everything you put on it. I'm 21 and have a credit rating of over 750, and have established that by using credit cards and paying them off in full, as well as paying the interest on my student loans.


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## BondExtreme (May 14, 2011)

lilhasselhoffer said:


> New at this (newegg deals)?
> 
> Newegg is trying to rope you into a financing company.  The gist of it is you are extended a credit line by a third party company.  By doing this you can exceed what could reasonably be purchased on a credit card, while newegg does not bear the financial burden should you not pay your bills.
> 
> ...



Thanks for the lesson but I already knew how credit works. 
However, you did answer the question in another post so thank you ^_^

I just don't understand why they can't keep this as a permanent payment type on the site.


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## silkstone (May 14, 2011)

DanishDevil said:


> I wouldn't boost credit history with a line of credit from Newegg. I would go to your local bank and get a credit card, and pay off everything you put on it. I'm 21 and have a credit rating of over 750, and have established that by using credit cards and paying them off in full, as well as paying the interest on my student loans.



In the UK your credit rating actually goes down if you always pay off on time  They figure that they can;t make as much money off you.


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## Kreij (May 14, 2011)

This ....


> •Interest will accrue at an ANNUAL PERCENTAGE RATE of 25.99%. A minimum Interest Charge of $2.00 will apply.



... should be enough to make you walk away.

Just my 2 cents.


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## boise49ers (May 14, 2011)

DanishDevil said:


> I would avoid stuff like that at all costs. Just save the money that you have now until next month when you have it all. Too many people in this country live on credit. It makes sense for a business to have debt, but not necessarily for an individual, especially if it's for computer hardware. A car, a house, sure. But not a computer.



I totally agree with DD ! Either that or live and learn. I'm 4 years into a chapter 13 from not listening to the right little voice telling me to curb my credit addiction.


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## BondExtreme (May 14, 2011)

Well it's not a matter of me boosting my credit score. That is not what I am after. 

Main reason why I am looking into this is because I may sell my current computer to a friend who needs one. Don't worry though.. If he's trying to push me into selling mine quickly to him then he's going to be paying top dollar. xD

I could give my bank a call and ask them if they have any promotions like this but it's doubtful.


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## Jetster (May 16, 2011)

Its a banks promotional offer. They need to get there numbers up and they hope you wont pay on time or may even screw your account up and charge you interest anyway / sell your information to another scam company. Happens all the time. Stay off the grid !!


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## Chosen Juan (May 17, 2011)

Kreij said:


> This ....
> 
> 
> ... should be enough to make you walk away.
> ...



Well, that only applies if you don't have it paid in full within 12 months (or 6 months depending on your offer).

I literally just ordered new parts two nights ago with the 12 months no interest offer (sinceI have a NewEgg Preferred Account). I have the money right away, but I just didn't want to drop all of the money at once on it since I have other things that need taken care of as well. I plan on paying it all off definitely before the 12 months are up, so no worries here. But, I can see as to why someone would be hesitant to start a credit line with them.

The reason I went for it is because I know for sure I would have it paid off before the 12 months are up. If you have doubts, then just save up the money until you are ready to pay for everything because you do not want your credit score to go down.


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## Jetster (May 17, 2011)

Let us know how it works out. Hope it does


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## nv40pimp (May 17, 2011)

*Bill Me Later...*

I don't know 100% about the newegg financing, but I have been using Bill Me Later on checkout. No intrest for 6mo, so I just make sure to have it paid off before then. The customer service rep seemed really easy going and I havnt had any issues with it yet and I've been using it almost a year now with 4 purchases so far paid off.

It's just nice/easier to be able to pay $100 a mo. rather than 5-600 right off the bat. But yes, be careful and make sure to pay it off before interest kicks in, I think the rate I had was 29.99


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