A question on types of financing

[jfrost]

We have a lot of installment-based financing here for appliances and furniture. You frequently see advertisements for 12 months or 3 years of interest-free financing. As long as you make the minimum payments and pay off the entire thing by the end of the term you don't pay a dime of interest. If you don't then you get slapped with a 25% APR on the remaining balance, retroactively.

All stores offer installment plans for everything here. If you'd like to buy a game in Brazil, you can pay them in up to 12 months usually (games cost usually 120 dollars).

Obviously the difference being that you get your item right away and don't have to potentially wait until it's paid for to get it. Putting something on layaway seems closer, although without the lottery aspect.

It does seem to be closer! I didn't know something like that existed, thanks.

Well, America has never experiences short-term hyper-inflation yet. That may very well change soon. Then maybe the US (and Canadian) members here will also experience this wonderful way of acquiring cars.

Yes, I have heard of it... but not locally.

It's really not a bad way at all of getting cars. The installments are really quite cheap and even poor people can afford to buy them. Even poor people in the US and Canada are not actually third world poor, so it's understandable that you'd find this a horrible way of doing things.

[Breetai]

Even poor people in the US and Canada are not actually third world poor, so it's understandable that you'd find this a horrible way of doing things.

It is a tough position to be in despite what country you are from. I don't really think that is up for debate. If it is the only way however, then that is what must be done.

There are some people who are really badly off in Canada, but even then they still do generally get government hand-outs and housing.