Introduction
Many people opt to pay for appliances and other gadgets using installment plans rather than spending the entire amount up-front. The high prices that these items usually come with are one of the main reasons others prefer the former option. If you’re planning to buy a new device, then the first step is looking for a store that offers the item as well as the payment plan you’re looking for.
Lucky for you, Western Appliances offers appliances installment in the Philippines. You can choose how many months you want your plan to be and under what credit card or financing company you want the total to be charged through. Furthermore, we offer an array of appliances and electronics from various reputable brands that you can choose from.
How Does Appliances Installment in the Philippines Work?
Installment plans allow buyers to pay for a bill in small portions throughout a fixed period. Sellers usually provide you with a list of options to choose from. Some plans last for only three months, while others extend to up to two years. Usually, each alternative has a different interest rate, but you may also get one with zero percent depending on the bank you are part of if you're using a credit card.
How Do You Choose Which Installment Plan Is Best for You?
With the variety of options you have, deciding which installment plan to go with could be difficult. Here are a few things you could do to help you with your selection:
Take Note of the Interest Rates
Installment plans usually have an interest rate. Since you’re borrowing money from a bank or financial organization, you sign an agreement to pay them monthly for the item you want to buy. Usually, only the latter of the two has an interest rate.
This option has its pros and cons since you’ll be paying for a larger total than the original price of the item, but you’ll be able to pay for it using smaller increments.
Consider How Long You Want the Plan To Be For
Not many people like the thought of being “in debt” for extended periods. Some installment plans last for years, which is why you must make sure that the option you choose is best for you. Balance out the length of time you want to pay for the product vis a vis the interest rate that the plan comes along with.
Think Ahead and See if You Will Have a Stable Source of Income Until the Plan Ends
Lastly, you also have to think about your source of income throughout the plan. It is suggested that you are employed during these months or have enough savings to pay each increment in full without missing the deadline. If you aren’t too sure that you can fulfill at least one of these recommendations, then perhaps it would be best that you buy the item you’re eyeing another time.
What Are the Benefits of Paying With an Installment Plan When Buying Appliances?
You get various benefits when choosing to pay for a high-ticket item using an installment plan. These include:
Manage Your Finances Better
Spreading your payments and managing how much you need every month will now be easier, especially with the payment term option. By adding this to your day-to-day expenses, you will have a clear picture of your overall expenditures.
Having a clear track record of where your money goes ensures that you can use your earnings wisely. It can also help reveal any spending issues you may have and correct these habits so that you can save more.
Reduce Financial Stress
Being able to pay for a high-priced item will take the burden off you financially. Your savings won’t have to take such a large dent since the cost of your purchase will be evenly spread out over a few months.
By opting to pay in installment, you’ll have the flexibility to make other purchases without having to dip into your cash reserves. It’s always wise to have money available on hand for emergencies and other unforeseen events.
Have Room for Other Purchases
Since you’re able to pay for your item over a duration of time, you now have room for other purchases that may be unplanned but needed. An example situation for this would be if ever you or your loved one got sick. Instead of struggling to handle any medical bills, you can comfortably pay for them using the funds you have.
This benefit is valuable for those who are running a household and have tight budgets to adhere to. By going with deferred payment schemes, you now have more leeway to spend without the fear of getting into any significant financial setback.
Enjoy Redeemed Credit Card Points
Lastly, you can enjoy various benefits once you redeem your credit card points, which are incentives that most banks have for their cardholders to enjoy. You accumulate them through your card’s cashback, reward points, or miles programs. This means that you can get an amazing discount on your next shopping spree or save a considerable amount of money on airfare and hotels.
If you aren’t all too sure how to redeem your points, make sure to get in touch with your bank. It would be a waste not to take advantage of all the perks of owning a credit card.
When Do I Know if I Should Use Appliances Installment in the Philippines?
When paying in installments, it may be tempting to buy the fanciest and most high-priced appliances since you’ll be settling your total in small increments. However, you should only go with this financial option if all the following are true:
You’re Buying an Item You Would Have Purchased Regardless
Ticking off this requirement ensures that the item you’re planning to buy is truly something you need. Many people nowadays use shopping to try and relieve stress, which can be detrimental to you in the long run.
Although you can receive instant gratification from ordering and receiving a new gadget, it can negatively affect your financial well-being and worsen possible budgeting issues. It may also even create a feeling of guilt and shame afterward because, more often than not, we are aware that such purchases are unnecessary.
You’re Not Going To Be Reliant on Money You Have Yet To Earn To Make the Payments
Before you push through with your installment, you must ensure that you already have enough money to pay for the appliance in full. Although this may sound odd at first, this ensures that you won’t fall into debt or have difficulty meeting your monthly dues.
One can never be too sure about what the future may bring and how certain events could affect your financial standing. Various unexpected circumstances may happen, such as layoffs due to recession or a lack of clients because of tough market competition.
Whether you run your own business or are employed in a company, it would be best not to depend on the salary you are expecting to earn in the upcoming months to make the payments. Having monetary stability ensures that you won’t struggle to get the needed amount to settle your costs.
You’re Sure That the Added Interest Is Worth It
Depending on your chosen payment method, it is inevitable that some buyers are charged with an interest rate, which is a proportion of the amount you borrowed from a lender. For example, a 3-month payment scheme may have a 2% interest rate, while a 12-month plan would have a 6% interest rate.
However, some buyers can enjoy a 0% interest rate depending on the bank their credit card is under. If this applies to your current situation, then you only need to consider if the task of keeping track of your installment payment for months to come is worth the effort.
What Stores Accept Appliances Installment in the Philippines?
Finding an appliance store in the Philippines that accepts installment payments could be difficult. Fortunately, Western Appliances has you covered. Whether you have a credit card or not, we have various alternatives you can choose from instead of paying for your item outright. These are all available once you check out your items at our online shop.
How Do I Pay My Installments?
The method of payment you’ll need to take to settle your outstanding fees would depend on whether you are any of the following:
Credit Cardholders
You won’t have to do much if you’re a credit cardholder since the amount you need to pay will automatically be reflected in your monthly bill. The only thing you need to do is pay off your card entirely within each billing cycle to ensure that you don’t get charged any interest.
Make sure to manage your credit card bill by strictly keeping a budget, religiously tracking your spending, and carefully reviewing your statement every month. You may also sign up for text or email alerts from your service provider to keep tabs on your balance and billing due date. Furthermore, if your bill’s last day of payment doesn’t coincide with your salary schedule, you may want to consider calling your issuer to move the deadline.
Western Appliances accepts credit cards from various banks that offer 0% installment options. This includes BDO, Metrobank, HSBC, and BPI.
Non-Credit Cardholders
At Western Appliances, we have two payment options available for non-credit cardholders: TendoPay and Billease. You can settle your outstanding balance under each financial institution through various methods.
For buyers who choose TendoPay, you can settle your monthly dues through GCash, GrabPay, PayMaya, Dragonloans, and more. On the other hand, those who prefer Billease can pay their loans via bank deposit, coins.ph, 7-Eleven stores, Cebuana Lhuillier branches, and more.
Conclusion
Opting to pay for the appliances you purchased through an installment plan isn’t an easy choice to make. It would be best if you considered various factors before pushing through with your decision. This includes evaluating your financial stability as well as your current lifestyle.
You must take a moment to reflect on whether you can handle the monthly payment required. An inability to settle your dues on time for the loan you took has various repercussions.
However, if you decide to push through with this method, keep in mind that you also have a few benefits to look forward to. Installment plans can help you manage your finances better, make room for other purchases, and get the benefits of redeemed credit card points.
Whether you’re buying a new air conditioning unit or smart television, Western Appliances can help reduce your financial stress. We have various payment methods available for both credit and non-credit cardholders. Feel free to browse through our wide range of products and shop through our online store today!
