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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

Are men born daft or is it something they aquire as they get older? I'm the one being reasonable here, not DH

34 replies

Saltire · 05/02/2009 09:25

I have been saving (for ages) for a laptop. I have saved money in apypal from thing I sold on ebay and used my bonuses from work - not big bonuses, but bonsues all the same- and have got the grand sum of £350. We can afford to add another £50 to it.
I want to buy the laptop outright, now. DH on the other hand has seen one which is buy now pay 9months later. His idea is this
"we get it now and before the 9months is up we pay the whole amount, so we don't get charged any interest. We can keep the £350 in a savings account and get the interest from the money in the 9 months"
AIBU in not seeing any sense in this?

OP posts:
Hassled · 05/02/2009 09:27

Well as interest rates are predicted to go down to 1% today, you're not going to be earning big bucks. You won't be retiring on the profit . Agree, for such a small return over such a small period it seems pointless.

WEESLEEKITLauriefairycake · 05/02/2009 09:27

there would be sense in this if savings rates were fab, they are not - buy outright

You would be lucky to make £1.20 in a savings account.

Lizzylou · 05/02/2009 09:27

Erm, I see his point but savings rates are hardly sky high at present.

lindenlass · 05/02/2009 09:28

if the credit is interest free then your hubby is right. It's nice to think you have no debt, but it would make more financial sense to take the credit.

Besides, it ups your credit rating the more you have (so long as you can afford it and pay it back of course!).

Put the money in a high interest saveings account - actually you ought to have done that in the first place - paypal don't pay any interest on savings I don't think.

solidgoldbullet4myvalentine · 05/02/2009 09:28

Can you trust your DH to a) have read the small print and b) not to be the sort who will periodically raid your £350 for other things?
If it were me I would just buy the laptop outright rather than risk things going horribly wrong with the plan. For one thing TBH sometimes those buy-now-pay-later deals are for less nice goods.

Spillage21 · 05/02/2009 09:28

What interest? In the current climate it'll be pence you'll get...

Original poster
Saltire · 05/02/2009 09:31

Exactly! He has got a right bee in his bonnet aobut it though, he got really loud last night, when i said "why not lets go and get it at the weekend", The way I see is this - its money I have saved hard for and it has always been my intention to pay for it outright. When i said this he replied "but we will get interest off the meony in an account don't you see that I am sick of saying this" and Iwas like . Then i shut up because sometimes I think with men you have let thme believe they are in the right

OP posts:
lindenlass · 05/02/2009 09:31

Ok, so it won't be big bucks you'll make, but it seems a bit harsh to say your dh is being daft. Having said that, I guess the petrol and car parking you'd have to pay for in order to get to a bank to pay the money in would kind of negate the whole thing of getting any interest on savings!

Original poster
Saltire · 05/02/2009 09:32

the reason it's in paypal is because its less likey to get touched there

OP posts:
MarlaSinger · 05/02/2009 09:33

This reply has been deleted

Message withdrawn at poster's request.

Libralovesbiscuits1975 · 05/02/2009 09:35

I think at the moment interest rates are so low for just £350 there is no real point in sticking it in a savings account for 9 month. Go by it outright this weekend, your DH is being unreasonable.
Can you say "yes in normal financial circumstances you would be right DH but because of interest rates at the moment the amount we would earn would be in the region of pence". Therefore acknowledging his point but also countering his argument.

MarlaSinger · 05/02/2009 09:35

This reply has been deleted

Message withdrawn at poster's request.

NotQuiteCockney · 05/02/2009 09:57

A lot of these 0% interest-free things, they don't remind you when the time is up, and they're not intent to make it easy for you pay, when you can pay interest-free.

(NB: I think my teeny tiny laptop, an Asus Eee, was much cheaper than £400. Which is a better way to save, anyway - any place that can offer interest-free loans maybe has its margins too high?)

Original poster
Saltire · 05/02/2009 09:59

We do have meergency money put by, including a seperate account for the car repairs/MOT/etc. So that wouldn't be a problem. I just feel that I have saved this up myself - I did it, I've never touched it et,and want to be able to go into the shop and say "I want that one" (but not in the manner of Little Britain guy)

OP posts:
BonsoirAnna · 05/02/2009 09:59

Your DH is making your life unnecessarily complicated by not paying for the laptop outright upfront. If you don't need credit, don't take it out (unless you anticipate big returns, which is not the case here).

Idrankthechristmasspirits · 05/02/2009 10:01

It would only be a good idea if you had a large lump. £350 isn't alot in terms of savings.
Anyway, interest rates are going down to 1% today. It's pointless.
YANBU.

LostVagueness · 05/02/2009 10:15

I can see what he's getting at. I would also mean that you had that cash in the bank should anything else come up.

ninedragons · 05/02/2009 10:27

What is the APR after the nine months is up?

For his cunning plan to make 59p or whatever the interest is to work, you would have to be DAMN confident you would not forget. Bereavement, holiday, Christmas, Paypal files for Chapter 11 (unlikely, as I know they're owned by eBay, but who knows?): any sort of distraction happens to be going on in your life in nine months and bang, you're paying 27% interest.

Original poster
Saltire · 05/02/2009 10:32

but we have other money for emergencies, we have money in a car fund and money in another account for other emergencies.

OP posts:
Original poster
Saltire · 05/02/2009 10:33

Have just checked, after the 9 months, APR is 29.8%

OP posts:
MrsPurple · 05/02/2009 10:35

Why not try and get better bargain as you have cash to pay, in current climate may get better deal on laptop.

This would then save money (which makes DH argue answered) and pay in full so no debt.

Just a thought

OhBling · 05/02/2009 10:39

while I agree with everyone here that 350 is a small enough amount that this seems unnecessary. But I do think the basic premise he's suggesting is completely valid and he's not being daft at all. If interest rates were higher/the amount was more significant this would be the sensible thing to do.

Your response is emotional. However, as financially there's not much benefit holding onto it he should let you enjoy your moment where you take the hard cold cash you've saved diligently for to buy your laptop.

ninedragons · 05/02/2009 10:41

Seeing you saving and paying in cash rather than buying on credit is a very good lesson for your DCs, if they are at the right age to appreciate it.

Much more valuable than the pennies you would earn otherwise.

mazzystartled · 05/02/2009 10:45

pmsl
he's come over all moneysaving expert hasn't he?
if you were talking £10k you could lock into a high fixed rate account yep, he's be talking sense
£350 - well there is just the danger you'd spend the dosh on something else

Lionstar · 05/02/2009 10:48

I'm with MrsPurple on this one, going in with your wodge of cash should mean being able to strike a bargin (extra software/printer/bags etc.) - especially the way retail is under pressure at the moment. This should far outweigh and measly savings.

Have to say though your DH does have a point in a fairer financial climate. We did exactly the same when buying a car because the 0% interest period was for a significant amount of time for a significant amount of money (and we could pay in instalments)