Gadget Loan Anyone?
I ain’t gonna offer you anything. I’ll make that clear. Hehehe!
Actually, I was searching for cool gadgets yesterday at sulit.com.ph when I found out that there are loan companies here in the Philippines that offer “no credit card” installment plan for brand new gadgets.
Yep, because before, other than paying in cash, you would really need a credit card to get the gadget you want for low monthly rate (or sometimes, no interest at all). Now, you won’t need it any more. All they require you to do is go through the same process as though you’re applying for a cash loan in banks and other loan companies, wait for the verification, and presto you have you’re gadget.
If you’re gonna ask me though, is it worth it to purchase your gadget through these companies?
Let’s find out.
Click Click Click
I checked some of their installment plans, like for Samsung Galaxy Tab (P1000), which is costing around 20,.000 pesos, to see how much will it cost if you for a 12-month installment basis.
According to Sulit User Christianster, Galaxy Tab P1000 is worth 23,575. You have to pay for the initial payment of 5,894 pesos as the down payment, and 2,425 pesos for the monthly payment. Therefore:
5,894 – Down payment
+ 2,425 x 12 months = 29,100
Total: 34,994 pesos
Ouch! That’s a very painful interest. That’s more or less 67% interest rate based on 23,575 pesos worth of Galaxy Tab. I think this is a big crap joke, but wait, let’s try to compare it to Globe Telecom’s Plan 2499 (with Free Unlimited Surfing plus free texts and calls) where you can get the Galaxy Tab for Free (no cashout) but your are bond to a 24-month lock-in contract.
2,499 x 24 months = 59,976
Looks like more than double, eh? But twist here is that you’ll get unlimited internet which costs 1,400 per month/2mbps plus free calls and texts. It’s like paying only 1,000 pesos per month for the Galaxy Tab. And if you’re going to check other telecom companies’ offers, offers could have been much lower. Therefore, Telecom plans are much better than gadget loan. However, although the application process is just the same, disapproval chances are a bit higher, especially if you have a low income.
Hope this helps, kiddies.