Debating financing a washer/dryer from Sears
The whole concept of have now, pay later has always bothered me, but sometimes things need to be replaced quickly. I should be saving money to probably just buy a washer and dryer. The washer is not very old but very cheap, and the dryer is very old and expensive to operate (both came with the house.) I thought about just continuing to use them until they just break down and we’ll get something else, but my wife does not like that idea. If these things break, we might not be at the point to replace these things. I’m trying to find ways to avoid financing this purchase besides just saving for it.
On the upside, Sears is currently offering no interest, no payments for a year, so technically the purchase will not cost me anything in the end, as long as I pay it off before that year expires. I did the same type of deal with my stove and paid that off in March. At the same time I wonder if having newer and more efficient appliances will help save me money on my utility bills. I do most of the laundry (I’m a guy too, I know it’s rare) and wash nearly everything in cold except the under things and socks I use warm. My dryer takes sometimes 2 hours just to try an average size load of laundry, and it’s a gas dryer. The little knob on the dryer is broken too so sometimes the stupid thing doesn’t turn off and will run much longer than necessary, which is a huge waste of money.
This has been going through my head lately while at the same time I’m trying to pay off my debt. It’s really hard to move forward if you fall backwards and get deeper in debt. I hate pretending to own things but at this point I might not have a choice. My wife likes the idea of new appliances because she also thinks they add value to the house. I don’t think an appraisal of the house would be any different based on the appliances in it. They would probably help drive a better offer some day when we’re ready to sell. I hate justifying this stuff to myself it is driving me nuts.
Stupid question, but is the vent clogged? If the vent is clogged, a dryer will take forever to dry anything.
I wouldn’t replace them, just use them both until they die and buy used ones on craig’s list.
I also agree that you should wait to buy. For the knobs (and the switch itself), you can probably order replacements from the manufacturer for around $10-20.
How much will it cost you per month for a year to get a washer/dryer set? You’ll be paying this anyway, if you finance. Why not just save that amount every month instead? Save for a year, and if they break down in the meantime you can put the cash up front and finance the rest (its unlikely their CC offer is going away any time soon) - your backup plan. Otherwise, if things go smoothly, in a year you can find a washer/dryer and pay in cash.
The zero % financing is looking for a deal at the wrong end. Consider this: let’s say you buy a brand new unit, a fancy washer. You pay $500 and finance it at zero % and pay it off in a year. OR, you save up for it, and in a year that brand new washer is now an old/discontinued/floor unit sale model. You’ll pay less by saving, unless you fall in love with a newer model of course.
Thanks for the comments. I can’t figure out what is wrong with the dryer, it just takes a long time to dry stuff. The vent hookup is clear and venting right out through the roof as it should. Not sure where the problem is, I work with computers.
Regarding the saving up for it, I’m looking at units that would run roughly $500 each. By no means are they top of the line, but they would probably work better and hopefully more efficient than what I have. In terms of resorting to financing, it’s 0% for a year, no payments, and free delivery. Sure I could wait until next year after some money is saved, but I don’t think/know if my units will last that long.
My wife doesn’t like things that are floor model or even used for that matter. Most of the time it doesn’t bother me, but this has been an ongoing issue I have dealt with for a year now. I’m uneasy about buying the stuff sold on Craigslist however I think I would use it to sell my stuff. To each their own I guess.
One additional thing to worry about. Sometimes a company like Sears will report this to the credit bureaus with a high credit of exactly the same as what you owe them. That means you are using 100% of the balance and you will get a lower score for this.
SO if you make sure your max at Sears is, say, $2,500, you’ll be OK
Randy, your first statement in a way voids the second. You do have an important point though. I know some credit card companies (Capital One) sometimes just report the balance you have as your credit limit, so you’re always maxed. Not that this is a good thing, but I am not looking to make any major purchases (i.e. car, house, etc) at this time. My credit score gets hit left and right by various things, but I have also offset the debt to credit ratio by having my credit lines increased. Same amount of debt, but wider gaps between how much I owe and what I could borrow. I am focused on paying my debt. This particular one was a roadblock for me. I also only use my Sears card for appliances with these no interest, no payment options and then pay them off before the offer expires. To me this is not ‘revolving’ debt it’s more of a separate loan.