With a bit of horse trading, the retailer bettered their competitors’ cut-throat prices.

I was surprised to be offered a buy now, pay later plan as payment, so I used my negotiating skills to my advantage.

I got an additional 5% discount because I convinced the salesperson’s manager that if they were happy to pay the service and transaction fees to the ‘buy now, pay later’ company, then they would be equally happy to offer an additional 5% discount to have me pay right now.

Curiosity took me and I decided to number crunch and calculate what the equivalent annual interest rate may be.

Even if you only miss your first payment and are charged a $10 late payment fee on, say, a $39, $271, or $500 purchase, then you may be paying an annual interest rate equivalent to ~mindboggling%, ~44%, and ~22% respectively.

Crickey! And we have not yet done the number crunching on the maximum fees that you may be charged.

Seek your own advice to discover if a ‘buy now, pay later’ plan is good for you.

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