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Buying new gear

Discussion in 'Sidewinders Bar & Grille' started by ryunker, Aug 8, 2019.

Well, finance stuff, or not

  1. Finance, I use the gear for income

    1.9%
  2. Finance, I don't use the gear for income

    7.4%
  3. No credit of any sort, I use the gear for income

    11.1%
  4. No credit of any sort, I don't use the gear for income

    79.6%
  1. ryunker

    ryunker Senior Stratmaster

    Age:
    55
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    Crystal Lake, Il
    When you all bite the bullet for new gear, does your cash in hand go away, or do you utilize credit/financing of some sort?

    I over the past 5 and a half years I have aquired a bunch of gear. I found it is easier to buy than to master.

    I now have a collection of 24 guitars, three amps, studio interface etc...

    I do not play out or in a band. Just a hobby for this old fart.

    I purchased a new Epiphone DC PRO in February, and for the first time utilized financing. My question for all of you guys is do you finance this stuff, or just when you have all the cash.
     
    hornpiper and 3bolt79 like this.
  2. Stratoskater

    Stratoskater Most Honored Senior Member

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    I always use the 24-36 0%. One of the first things I learned in finance class was always use someone else’s money if it’s 0%. I just set up a monthly payment via draft for the payment amount needed to pay it off one month early. Been doing this for 7 years and never had a single issue or paid a dime of interest.
     
    apm1991, jjudas, henderman and 3 others like this.
  3. Antstrat

    Antstrat Senior Stratmaster

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    May 6, 2019
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    Over There
    Both.

    Mostly cash, occasionally credit card then pay it off in a coupla months.

    Life is short and even shorter as you get older so if something REALLY rings my bell and as long as I'm not putting myself in a spot I don't care if I spend a bit of interest financing for a short term. Who's gonna say at the end of their last breath " sure am glad I didn't buy that killer strat I really loved".
     
    stevierayfan91 and 3bolt79 like this.
  4. thomquietwolf

    thomquietwolf Dr. Stratster Strat-Talk Supporter

    Age:
    78
    Messages:
    11,026
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    Dec 2, 2010
    Location:
    Peardale CA
    So maybe I should use that Bank of America
    Checques
    0.5% till June 2021
    What say Yee
     
    3bolt79 likes this.
  5. 3bolt79

    3bolt79 Senior Stratmaster

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    Location:
    The Woodshed
    I finance stuff, but only if it’s no interest. I usually have the item paid off in a couple or three months. So I buy from Zzounds or AMS. I wouldn’t buy stuff on a credit card and make payments for 36 months or whatever like that. That is because when you use Sweetwater, or GC’s credit card, and are late getting your payment in on time, or aren’t able to make the payment, they apply retroactive interest, so you don’t get anything for all the payments you did make on time. I just wouldn’t want the interest hangin over my head. And, I’ve also got significant discounts from AMS and Zzounds, even on stuff that I buy on payments.
     
    Lewbypls likes this.
  6. simoncroft

    simoncroft Dr. Stratster Strat-Talk Supporter

    Age:
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    SE England
    I don't know how deep an answer you want, but the first question for any prospective purchaser is probably: "Do you have the money?" If the answer is "No", then credit is the only option. At that point, the most responsible questions are "Can you afford the repayments?", and "Do you really need the goods?"

    Generally speaking, a dealer can afford to give you 0% finance, or discount. Not both. That's because, if you're not paying the interest on your loan, the dealer is paying it to the finance company. Sometimes, the dealer has bought whatever you want to buy at a great promotional price from the manufacturer/distributor, so the fact there is no dealer discount doesn't matter, and you can pay a low price and take the 0% finance. That's a win/win, but it doesn't happen that often.

    Moving onto credit cards: while you can avoid interest payments by paying off the total amount you owe at the end of the month, the dealer still has to pay a Merchant Fee on your purchase. If you really do have the cash, that gives you maybe 3% wiggle room. Obviously, if you don't pay off your credit cards at the end of each month, the total amount you end up paying for your 'bargain' can be astronomical!

    Cash is King in many situations, and even more so when buying privately, where the seller does not need to turn a profit but just wants to monetize something they no longer value as much as, well, money!So yeah, I'll use cash when I think it will turn the transaction to my advantage.

    I even managed to swing a great deal in my local pawnshop. I saw a B&W center speaker that was a great fit for our home theater system. Rather than say: "I'd like to buy that", I said: "I'm quite interested in that speaker. If I came back in 10 minutes with cash, how much would you actually want?" Although I was only expecting to be offered a token amount, I got something like 15% off. The original asking price was pretty good, so I was very pleased to buy it at the lower price. :D
     
  7. Stratoskater

    Stratoskater Most Honored Senior Member

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    With Sam Ash card they make the minimum monthly payment the amount of the total purchase divided by the number of months financed so unless you miss making a payment there is no way you can’t pay it off on time. I always set the monthly draft up so it will payoff early though. While usually most stores won’t discount a guitar if you are financing I got $700 off my Martin 000 28 plus 24 months at 0% at Sweetwater in March.
     
    3bolt79 likes this.
  8. Stratoholic

    Stratoholic Senior Stratmaster

    Messages:
    2,615
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    Mar 30, 2010
    Location:
    somewhere
    Cash in hand (or in my bank account) only.
     
    Stratbats, simoncroft, Nate D and 3 others like this.
  9. hornpiper

    hornpiper Senior Stratmaster

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    Apr 23, 2014
    Location:
    Portland, OR
    Both, depending on gear needs, the situation, my mental state, etc..
     
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  10. JB74

    JB74 Senior Stratmaster

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    Mar 22, 2018
    Location:
    Australia
    I have nothing nice to say about financiers or banks.
    my parents both worked in a bank, my other half works in a bank I used to work in a bank.

    institutions with no moral compass.

    save your money pay in cash and put the filthy slimeball a-holes out of business.
     
    pazman6, 3bolt79, simoncroft and 3 others like this.
  11. Thrup'ny Bit

    Thrup'ny Bit Grand Master Curmudgeon Strat-Talk Supporter

    Age:
    60
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    May 21, 2010
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    In a Yorkshire pub
    Cash. My gear was paid for out of my gig income for years. I only ever bought what I needed though, not for the sake of buying. The general idea was to make money.
     
    Grux, garyhoos1, simoncroft and 5 others like this.
  12. s5tuart

    s5tuart Perfecting time travel since 2525 Strat-Talk Supporter

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    All over the place!
    My Dad used to say “a small leak will sink a big ship”
    Think about that when you see the monthly payments :D
     
  13. oatsoda

    oatsoda Puck of Paradox Strat-Talk Supporter

    Age:
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    90% of my gear I purchase used for cash, and usually only buy if I can get it for well below market value so I can flip it quicker if I don't gel with it. When I do get something new from a shop, that's usually been a wad of bills pulled out too, but trying to wait for sale prices. And I always coax them into throwing in extras - case, strap, strings, whatever I can score.
     
  14. 93studiolite

    93studiolite Strat-Talker

    Age:
    41
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    176
    Joined:
    Mar 15, 2017
    Location:
    Florida
    I don’t buy a lot of gear, so I buy it all with cash or it goes on the CC which gets paid off at the end of every month anyway. The last thing I bought was my Player Strat. I really wanted a Road Worn, but didn’t want to spend that much when the Player does essentially the same thing at half the cost. I used to buy stuff all the time on credit but I really dislike having payments.

    The only debt we have at the moment is mortgage, the last of my student loan and my wife’s van payment. She even had the bank put extra on each payment to get it paid off earlier.
     
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  15. sgarnett

    sgarnett Strat-O-Master

    Age:
    55
    Messages:
    881
    Joined:
    May 19, 2019
    Location:
    Versailles, KY
    I have too much stuff. The count really needs to go down, not up, and cash needs to go up or at least hold flat.

    However, I can’t play anything without a forearm bevel anymore (except a 335 shape), so there’s also a rotation in progress.

    I traded an acoustic guitar I never liked (bought used online, just didn’t click) for my new-in-box Road Worn. I wanted to sell the acoustic for a long time, but it was an oddball special run that I knew would be a PITA (for anyone but a dealer) to sell. Score!

    I did use a credit card on Reverb for the used AO60s I didn’t need but couldn’t pass up, but I paid it off in under two months and paid cash for a pro setup. I’m waiting for more moderate shipping weather to sell another acoustic that will (mostly) recover the cost and space.
     
    Last edited: Aug 9, 2019
    3bolt79 likes this.
  16. Strats4me

    Strats4me Senior Stratmaster

    Age:
    52
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    Panama City-Lynn haven FL
    I have to pay all that money back?....what a rip
     
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  17. Dewey

    Dewey Most Honored Senior Member Strat-Talk Supporter

    Age:
    55
    Messages:
    8,881
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    Mar 2, 2010
    Location:
    Bellingham, Wa.
    No more NGD's for me unless it involves a trade. I've spent so much cash. It was fun but got way out of control. Spending has to be kept to a minimum as a result of those purchases.
     
    3bolt79 likes this.
  18. vid1900

    vid1900 Most Honored Senior Member

    Messages:
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    Location:
    USA
    Cash is king baby.

    Anytime you see something like "36 months, No interest!!!!!!!" you know automatically that you are paying too much (maybe even full retail price).

    If you are shopping around and GC, MF, SW and ZM all have the exact same price, STOP - you are about to pay full retail price.

    FUGETABOUTIT.jpg
     
    3bolt79 likes this.
  19. sam_in_cali

    sam_in_cali Scream for me Strat-Talk! Strat-Talk Supporter

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    Santa Maria, CA
    The wife and I attended one of those Dave Ramsey financial classes early last year and it was eye opening. We haven't used a credit card since and it was the best decision we ever made.
     
    3bolt79, Keith268, JB74 and 3 others like this.
  20. albala

    albala Most Honored Senior Member Strat-Talk Supporter

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    stamford, CT
    I use Amex and it's paid off every month

    Keeps me out of trouble
     
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