Ruining Your Credit to Afford the iPad

Wow that iPad looks simply amazing. Like a lot of people you want it, and you want it right now. So, just like a lot of people you’ll start looking at bank accounts, or even worse, start shuffling credit card balances around. Still not enough money freed up? Well don’t you worry your pretty little texting thumbs; the Apple Store is sure to let you open up a line of credit to buy one.

Then, just like so many consumers your debt increases, your credit score decreases, and your ability to borrow money for life’s big-ticket items fades away. All because you had to be the first of your friends to have that shiny new iPad.

Focus on these three questions:

1. Can you add another “balance due” to your monthly finances?
2. What kind of hit will your credit score take as a result?
3. Do you want to be able to buy a car or a home in the upcoming years, and how will this purchase affect that potential purchase?

So what do you do when you can’t afford it up front? You save. It’s a dirty word, but the long term advantages far outweigh the financial situation you put yourself in when you decide to open up a line of credit to afford an almost thousand dollar gadget. You'll end up paying less while maintaining your purchasing power in the eyes of potential lenders.

You may be the last one of your friends to get that iPad, but you’ll also be the first one with a home. Or you’ll be the one that doesn't pay attention to this advice & ends up needing credit repair services. I know you really want it; but your future self will be much happier with current you if you decide to save up a few paychecks to get it.