Should You Finance Your New Laptop?

You’re eyeing that shiny new laptop with all the bells and whistles, but the price tag makes you pause. So, should you finance your new laptop? Laptop financing can be tempting, especially if you need a computer immediately or want to spread out the cost over time. But before you get into a laptop payment plan, it’s important to consider the pros and cons. 

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MoneyLion can help you explore personalized loan options to finance your new laptop. Compare rates and terms from trusted partners and find what works for you.

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What to know before you finance a laptop

While it’s easy to finance a laptop, remember a few things before you sign up for a laptop payment plan. Financing might allow you to grab your laptop instantly, but it has potential drawbacks.

Pros

• Instant approval means you get your laptop fast. 🚀
• Little to no fees if you qualify for 0% interest deals.
• Extra perks like upgrades and special offers from retailers.
• You can afford higher-end models by spreading out payments.

Cons

• Risk of spending more than you can afford. 💸
• Potentially high APRs if you don’t qualify for promotional rates.
• Confusing promotion terms like short “same as cash” periods.
• Hard credit inquiry, which could temporarily lower your credit score.

How to finance a laptop

Financing a laptop has never been easier and most major retailers offer laptop financing options. Some stores or online platforms may still offer options if you’re looking to finance a laptop with bad credit. 

For example, certain retailers like Amazon or Walmart have financing programs for individuals with less-than-perfect credit, although the interest rates may be higher. Alternatively, credit unions or specialized lending platforms may allow you to finance a laptop through a secured loan or other credit-building products.

• Best Buy: Best Buy offers financing through its My Best Buy Credit Card, which can provide up to 18 months of 0% interest financing, depending on the total purchase price.
• Apple: If you’re looking for an Apple product, Apple’s Apple Card offers 0% interest for up to 24 months on qualifying purchases.
• Dell: Dell provides a Dell Preferred Account with revolving credit and financing options for laptops and accessories. Depending on your total purchase, you can choose between six or 12 months of financing.
• Amazon: Amazon’s Amazon Store Card offers promotional financing on certain laptop purchases, sometimes with 0% interest for 6-12 months.
• HP: HP offers HP Financing, which allows you to spread out payments for up to 24 months with promotional interest rates.

When financing, be sure to check if there’s a minimum purchase requirement and review the terms carefully. Consider whether you can comfortably make the monthly payments and whether the interest rate makes sense for your budget.

Alternatives to financing a laptop

Not sure if laptop financing is the best route for you? Here are some alternative ways to get your dream computer without getting locked into a laptop payment plan.

Credit cards  💳

You could use your existing credit card or open a new one to buy your laptop. Some credit cards offer perks like rewards points, cashback or 0% interest promotional periods that could help offset the cost. For example, you might find a card with 12 months of 0% APR, giving you time to pay off the laptop without raising interest.

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MoneyLion can help you explore credit card options that fit your financial needs.

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Wait and save up

If you don’t need the laptop immediately, consider waiting and saving up instead of financing. Start by putting money into a high-yield savings account so your cash can grow while you save. This way, you’ll avoid interest payments altogether. Timing your purchase with sales events like Black Friday or Back to School could also help you snag a great deal!

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MoneyLion offers a marketplace to compare high-yield savings accounts from top providers, helping you grow your savings faster.

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Get a side hustle 💼

Need to boost your income to fund your laptop purchase? A side hustle could be the answer. Whether freelancing, driving for ride-share services or selling goods online, side gigs can help you earn the extra cash you need to buy your laptop without financing. Check out our blog on the best side hustles to get started!

Consider buying a used laptop ♻️

To save some serious cash, consider buying a refurbished or used laptop. Companies like Apple, Best Buy and Amazon offer certified refurbished products that are tested and restored to like-new condition. You’ll get a great deal without sacrificing quality and many of these products come with warranties for added peace of mind.

Scholarships or grants 🎓

If you’re a student, you can use scholarships or grants to help pay for your laptop. Many scholarships and grants can cover educational expenses, including laptops. If you’re eligible, these funds can be a great way to get a computer without worrying about repayments or financing.

Is financing your new laptop the right move? 💻

When deciding whether to finance a laptop, weighing the pros and cons is important. While financing can help you get a new laptop immediately, it’s crucial to understand the interest rates and terms to avoid overextending yourself. If you can save up, buy used or use a credit card with a promotional APR, those alternatives might save you money in the long run. Ultimately, the choice is yours – ensure it’s the right financial move for your situation.

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