What do I care if it's a monthly bill or not? It's the total amount that matters to me. The cost is either $550/year via Apple, or $970 less the resale price of the phone via buying outright.
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-20 point drop for iPhone credit check
- Thread starter Beau1K
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Again, you come out roughly the same. Don't assume that everyone who's financing is living beyond their means. It's at 0% anyway.
You reminded me of this from Lifehacker a month or so back --
Your Credit Score Doesn't Matter Unless It's Bad
Bingo. Doesn't matter if you take your money and buy it outright, or you leave your money in your savings account and pay 1/24th of the total each month. At the end of 24 months you're in the same place. Or, any point you want to, pay off the remaining balance. The only difference is whether you need the phone unlocked during that time period; if you don't then there's no reason not to.
And if you are with Verizon, for example, then your phone is unlocked from the beginning too.
All iPhones through the IUP are unlocked, unless you meant "world iPhones" (compatible with both GSM and CDMA).
Even more so then, as far as it goes in reply to that earlier post that mentioned there being a difference depending on whether or not you needed the phone unlocked during the time you are financing.
Very true. Too bad Verizon service sucks at my home. They're a non-starter for me due to that. Haven't paid much attention to their plans of course, but are they still a fair bit pricier than the others? Or have they finally gotten more competitive?
Well seems like they are all unlocked when IUP is used based on what was mentioned earlier.
IUP embeds an extra $128 for Applecare+ which changes the equation substantially.
While it nets out the same for whose who would buy it anyway, it's a crappy deal for those who wouldn't buy it.
True. It's kind of a waste if we upgrade yearly, but I guess Apple doesn't want people to be turning in damaged iPhones and leave Apple holding the bag. They should rebate IUP customers $50 if they manage to go the full year without using the deductible. After all, they're already prorating customers $50 when they cancel AC+ after a year and haven't used their deductibles.
So the MyFico site is wrong when it says the following?
And which of the 49+ FICO scores are you referencing?
I agree, but it's not quite as bad as I thought at first. The AC+ charge at least is effectively pro rated over the theoretical 12 months that you own the phone - you are paying for it monthly (with zero interest), and you stop paying when you hand the phone back to Apple for an upgrade.
More and more folks are keeping phones for two years or more. I'm about half and half, it depends on what new features are introduced. I've done 4, 4s, 5s, 6, and 7. I honestly wasn't going to upgrade to the 7 before AT&T issued the $650 promo. If in 2017 there's something to induce me to upgrade, my 7 will go to a family member.
Yup there's soft checks and hard checks. A typical example of a soft check is opening a checking account at a bank. A hard check is a lender looking at your credit report and opening a line of credit for you/loan/etc.
I read somewhere on the apple website that the IUP involved a hard credit check, which is why I ordered through Verizon.
Is another credit check required when I upgrade my iPhone?
Yes, you will need to provide a valid U.S. credit card and your Social Security number for a credit check when you upgrade.
http://www.apple.com/shop/iphone/iphone-upgrade-program
My husband wants to buy a new truck in a few months and Id rather save my next hard credit check for that.
I was about to say the same. 809? Oh boo hoo hoo, woe is you!
Maybe buy things with money that you actually have rather than on credit if you're that worried about it? But then again, you'd actually have to acquire said money, rather than rely on credit funds and the masturbatory musings that come with bragging about your score.
The insults and condescension towards the Apple Store employee show the type of person you are. Shame on you. That "chick" is working to provide for herself. She doesn't deserve to be insulted and ridiculed on a public forum because you decide she's a lesser person than you. She told you there would be a credit hit. You chose to not do any research, and further, you chose to buy a product with a loan, rather than to pay for it.
You can insult people like that girl at the Apple Store all you want - at the end of the day, you're still owned, like a dog, by your creditors.
I hear you. I had 4, 4S, 5, 5S and 6. The 6S upgrade wasn't persuasive to me. I bought a pair of 7s but the IC noise on the HD video recording was intolerable, especially since I figured I would quite possibly keep the phone for two years. I am going to see whether/how soon Apple fixes this before I decide on another pair of 7s.
If you do keep the phone for two years, I guess the IUP can still make sense. You can see it this way: you can do two year 0% financing without AC+ and without the option to put the phone back to Apple (the regular 0% financing program), or you can pay for the phone and AC+ over two years at 0%, and you have the option to put the phone back to Apple at any time after you've made 12 payments (IUP).
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If 20 points makes the difference on a new vehicle, someone really should be paying cash...
My credit score went up since applying for the Apple iPhone financing. Reason is they extended me a couple of thousand dollars line of credit which in turn lowered my debt to credit utilization which makes up 35% of your credit score. Hard inquiries only make up 10% of your score.