How to Buy Now and Pay Later
Have you been in a situation where you are missing a product now but can’t make the full payment right away? One of the reasons may be that your beloved computer or your TV breaks down at short notice and you end up at the end of the month without the huge amount available. If you have, you are not the only one. Albert Dazes use buy now-pay later schemes or installment schemes where you can pay the full amount further out in the future or over a number of predetermined rates.
At Shylock we have compiled a guide so that you are well covered. If you are ever in a similar situation where you have to buy now and pay later, you can safely read on.
Buy Now, Pay Later – How Does It Work?
If you want your fingers in a product as quickly as possible but do not have the money right now, you may want to use a “Buy now, pay later” scheme. It is an increasing trend among dealers that they offer these schemes. If you decide to make use of such a scheme, it is important that you have a clear overview of your finances. You need to be able to assess whether you can pay the money based on the terms you are offered.
You can buy now and pay later in two different ways. This is done either by paying the entire product price after an agreed time or dividing the product price into smaller chunks so that it is easier to see. If we take the former option, these “buy now, pay later” schemes often run over a month, after which you pay the full price. If you buy a product on a installment plan, these will most often run over a year.
Whether you pay the full price after a month or split the payment into smaller installments depends on what you buy. In the clothing industry, they use “buy now, pay later” invoice schemes similar to the former option. If you order clothes through a webshop, you can often have a trial period of one week. Here you can assess whether the clothing is suitable for you and your style, where you can then return the clothing that you are not interested in. Then you will be charged for the clothing via an invoice that you pay based on the payment date. Some clothing webshops also offer financing that runs over a month, so you can always stay in fashion and pay for the clothes the month after, interest-free.
Purchase on installment
Another “buy now, pay later” scheme is through purchase on installment. The idea of installment schemes is that you divide the price of a product into several small installments. Depending on the price, you can stand with payback periods from a few months to several years. Here you pay a share of the price every month over a fixed period.
There are two scenarios when buying on installment. One is that the retailer is responsible for the scheme itself and then you pay the product price over a period of time. You may be lucky that this option is interest free. The second scenario is that you use a financing option where you use a credit institution. Here they pay the dealer your purchase price and you will then owe them the price of your purchase with associated interest. It is important that you really read through the terms so that there are no unpleasant surprises.
How can we help you at Shylock?
We hope you have an overview of your options if you need to buy now and pay later, also through installment schemes
At Shylock we can also help you if you are in a situation where the money at the end of the month is not quite enough. We also offer that you can borrow now and pay later. You decide for yourself when you want to repay your credit. In addition, you can also pay over several times, since on your Shylock profile you always have the option of repaying your credit on an ongoing basis, at your convenience. That way you can make your own installment plan and decide how much and when you want to pay.
You can borrow up to USD 6,000 as a first-time borrower, and up to USD 12,000 thereafter – so you can almost avoid other installment schemes or options.