Ever take advantage of 0% financing?

Scanner · #1 (**permalink**) 02-25-2007, 09:47 AM

Not on cars (because it's more easy to hide it into the price) but other stuff?

We did years back on a sofa/loveseat and paid it all off before the end of the terms.

We need new carpet (trashed after 3 years - the wifey keeps nagging me about it). She's talking hardwood flooring (maybe in the long run - it wouild be better - can't be replacing the carpet every 3 years). I know the trap - don't pay it off and you get hit with back interest.

I figured with an open line of credit though, if by some chance it didn't get paid off, I take the unpaid balance and move it to the LOC, currently around 9%.

I don't know, just brainstorming. . .but having a 9 year old and a 4 year old boys, I have

1. Carpet tile (Flor brand)
2. Continue with the crappy carpet we have
3. Hardwood/bamboo

all on the table at this point.

We try to have the "take your shoes off" rule and it's enforced 95% of the time but 5%, that wears down on the carpet.

disneysteve · #2 (**permalink**) 02-25-2007, 11:53 AM

The thing to keep in mind is that 0% financing IS NOT free. Generally, you pay a higher price for the merchandise if you take the interest-free offer. For example, most furniture stores give a 10% discount if you pay cash upfront, so that 0% deal is really costing you 10% of the purchase price.

LivingAlmostLarge · #3 (**permalink**) 02-25-2007, 01:46 PM

Except for major stores. I used the 0% financing at Best Buy, I flashed cash no go, plus when I put on their CC for 2 years 0% I got 10% off for opening the card. I saved money by buying on tax free day, and then I came back when the price fluctuated and dropped by like $50 on the washer/dryer. Done this twice. Usually you can negotiated but places like Macy's and Best Buy I've tried negotiating lower offering cash and they won't do it. Smaller places will though.

trillium · #4 (**permalink**) 02-25-2007, 02:02 PM

We 0% financed some furniture last year that I wanted (birthday present to myelf). We bought it during a spring sale (had priced the same stuff just a few weeks before and we actually DID get the financing on the sales price). Put 5% down since it was special order (on a 0% card)...what was I thinking!!!

Anyway, the furniture gets paid off this month, 10 months ahead of schedule
The card that I put the down payment on gets paid off by July

Never doing that again! - I'm moving to cash I tell ya!

I'm not a fan of the berber carpet in the house, so saving up to replace it with click down bamboo flooring and we're doing the installation ourselves.

Ima saver · #5 (**permalink**) 02-25-2007, 02:16 PM

Hardwood flooring that gets a lot of wear will have to be refinished every few year.s.

Snoopy2645 · #6 (**permalink**) 02-25-2007, 07:13 PM

I would never be able to take care of hardwood floors but I have often wondered myself about putting down the lanolium {sp}?? that looks like reall wood in our living room my kids really are hard on carpet I think we have had this carpet 5yrs but am so ready to replace it.

Scanner · #7 (**permalink**) 02-26-2007, 07:09 AM

anybody ever use that www.empiretoday.com with the little jingle?

I hear you on the care of hardwood. One thing that worries me too is that we have a lot of what I call "springies" in our floor. It's new construction, 3 years old but you'll be walking across the floor and all of the sudden the floorboard under the carpet will spring against you.

That tells me that the flooring warped a bit or is possible coming up (doesn't really creak, just springs).

So, I don't know how solid the base has to be with hardwood or if adding hardwood would only strengthen the buckling, maybe be a treatment for it of sorts.

cptacek · #8 (**permalink**) 02-27-2007, 05:43 PM

I used Empire in Dallas. They were great...estimate one day and carpet in the next. I got their 0% for a year offer and paid it off when I sold my house.

I used the Home Depot 0% offers on $299 and up and also paid that off when I sold my house. I bought a kitchen table from Ashley Furniture for 0% until 2010 and that bill is on an automatic payment so I won't forget it. Still paying on that, and I was going to pay it off early, but now that I have auto payment I'm not going to.

Use it wisely. Even if it is 0% you are still having to pay a certain amount each month, so if cash flow is a problem, I wouldn't recommend it. Most of the time, the amount they tell you to pay won't get it paid off within the time limit, or the last payment will be scheduled 15 days or so after the promotional offer ends and you'll get caught. I always paid off the last payment a few months ahead of time just so they couldn't trap me.

JoyJoy · #9 (**permalink**) 02-28-2007, 09:25 AM

The Citi Diamond Preferred Card has the following offers for 0%. (From FatWallet.com)

Offer code: Apply online @ Apply.Citicards.com and enter offer code

F1K6 - 0% until 5/1/07, $50.00 purchase every month after to extend 0% until paid in full

F1K7 - 0% until 5/1/07 - two purchases every month after to extend 0% until paid in full

F1K5 - 0% until 2/1/08 - no purchase required
0% APR on BT until 2/1/08
0% APR on purchases until 11/01/2007

F3A3 - 0% on BT & Purchases until 2/1/08 - no BT fee with this other (expires 3/15/07)

F1K6 and F1K7 are 0% for life and a 3% BT Fee

JoyJoy · #10 (**permalink**) 02-28-2007, 09:38 AM

I listed the above just in case you wanted to put the carpet on one of your credit cards and then extend your purchase with a 0% balance transfer for life or apply for a Citi Diamond Preferred Card. I understand you can even buy two packs of gum a month for your purchases if you take the offer F1K7 as my girl friend was told this on another forum. I would ask the CR so you fully understand the terms.

As to 0% financing out right, we bought mattresses and a kitchen table that way once. We purchased the items in April and paid it off before November when the payments were scheduled to begin. I'm sure the items could have been purchased somewhere else cheaper, but that was what we could afford at the time.

Elgin526 · #11 (**permalink**) 03-01-2007, 11:24 AM

We've done 0% on a tv from Best Buy, and I did 0% on my furniture from JC Penney. Both paid off early, didn't pay a dime of interest. In both cases, cash wouldn't have gotten us a discount, so the 0% really did save us money!

I am also doing 0% credit card balance transfers until the CC debt is gone.

vsjhoc · #12 (**permalink**) 03-01-2007, 11:31 AM

Another hidden cost of 0% financing: the store will almost certainly pull a credit report, resulting in another inquiry added to your record.

crabbypatty · #13 (**permalink**) 03-01-2007, 11:44 AM

We do it for any major purchase at Lowes. I've never paid intrest on these things since I pay them off well before the due date. Since we keep the card open at Lowes, they don't do a credit pull.

vsjhoc · #14 (**permalink**) 03-01-2007, 11:48 AM

Quote:

Originally Posted by crabbypatty

We do it for any major purchase at Lowes. I've never paid intrest on these things since I pay them off well before the due date. Since we keep the card open at Lowes, they don't do a credit pull.

Correct, I meant to specify that this applies if you are opening a new account to take advantage of the 0% financing offer.

gackle · #15 (**permalink**) 03-01-2007, 08:52 PM

It's not a 0% financing offer, but essentially the same. On our last car with about $5-6K left to pay, we transferred the remaining balance to a new 0% intro credit card. It was a card we were planning to keep anyway. Benefits? obviously less in interest payments as well as the original finance company sends us the title. If some unexpected financial disaster hit us, at least we would not have our car repossessed since we have the title.

crabbypatty · #16 (**permalink**) 03-02-2007, 06:04 AM

Quote:

Originally Posted by gackle

It's not a 0% financing offer, but essentially the same. On our last car with about $5-6K left to pay, we transferred the remaining balance to a new 0% intro credit card. It was a card we were planning to keep anyway. Benefits? obviously less in interest payments as well as the original finance company sends us the title. If some unexpected financial disaster hit us, at least we would not have our car repossessed since we have the title.

I was considering doing this at some point. We've got car EF's but instead of paying cash, I might want to hold some back in case we need it for something else. I would only do this if I had the money anyway though. CC interest would be higher than used car loan intrest on a card converting from 0%.

Hot dog · #17 (**permalink**) 03-02-2007, 08:05 AM

I have been planning to switch all of my 0% balances to another card that offers 0% for 15 months and no balance transfer fees. I have gotten like ten offers from the same card and now is the time to do the transfer so I look for the offers and I meant to keep at least one and I must have thrown them all out I am so mad at myself Anyway my SO just got the same offer so I called and they said they can't find my name in the system and they would give it to me with a balance transfer fee of 3% Does anyone know if my SO could transfer the balances even though my name is the only one on the other cards I'd hate to pay $75 for each BT although I would probably make more than that in interest for 15 months it is around $15,000 and I have it in the bank accrueing interest.

myself · #18 (**permalink**) 03-02-2007, 10:19 AM

Quote:

Originally Posted by Hot dog

I have been planning to switch all of my 0% balances to another card that offers 0% for 15 months and no balance transfer fees. I have gotten like ten offers from the same card and now is the time to do the transfer so I look for the offers and I meant to keep at least one and I must have thrown them all out I am so mad at myself Anyway my SO just got the same offer so I called and they said they can't find my name in the system and they would give it to me with a balance transfer fee of 3% Does anyone know if my SO could transfer the balances even though my name is the only one on the other cards I'd hate to pay $75 for each BT although I would probably make more than that in interest for 15 months it is around $15,000 and I have it in the bank accrueing interest.

If I wanted to (even though I'm a total stranger), I could transfer your balances to my credit cards. The companies really don't care, so long as the money is paid back by someone.

Hot dog · #19 (**permalink**) 03-02-2007, 01:49 PM

Quote:

Originally Posted by myself

If I wanted to (even though I'm a total stranger), I could transfer your balances to my credit cards. The companies really don't care, so long as the money is paid back by someone.

So how 'bout it do you want to? PLEEEAZZZ even PERTY PLEAZE

BCHGRL · #20 (**permalink**) 03-03-2007, 04:43 PM

Yes, I am a frequent user of 0% interest ccs. We bought our sectional couch, our tv, and our new floors (hardwoods, tile, and carpet) taking advantage of the 0% interest. We paid the couch off 6 months early, the tv 7 months early and the floors 8 months early.

I am not aware of any discounts that we would have received if not using the 0% interest. I will only use a 0% interest credit card if I have the ability to make triple the minimum payment. I will not have more than one interest free account open at any one time.

I LOVE our new floors. It has made such a drastic difference in our home. The hardwood floors are gorgeous and easy to maintain. My weekly vaccuuming time was cut down by at least one hour/wk.

I think 0% interest is great if you are disciplined and have the wiggle room within your budget to beat the payment schedule. For those less disciplined or on a tight budget, the 9% interest cc may not be such a great deal.