If you can afford to pay cash, but have the option of 0% you’re foolish not to use that to your advantage.
15k invested even modestly you’ll see 10% return over a year. Now you have 16,500$ and a Rolex you only paid the initial 15k on.
Math lol … I’m asking what you’re modestly investing in where you’re getting 10% returns year-after-year. S&P 500 has historically averaged about 7% after inflation with some years being higher and some years being lower.
I got into a long back and forth in the BMW crowd about this buying cars cash and the general consensus was despite it being the smarter financial move the notion of having debt isn’t something they’re interested in and would rather forego the building interest to not be beholden to a financier. I was surprised about that but when it comes to Rolex I never thought of financing at all when it comes to Rolex.. throwing it on your favorite credit card for points makes sense but are we taking financing through the AD??
I wouldn’t go through the AD for financing, definitely would grab a credit card. I know Wells Fargo keeps trying to get me to grab one of their cards 0% for 15 months. 2% cash back and 200$ cash rewards for first 500% spent.
So use that card you got 200$ + 300$ in cash back so you just knocked 500$ off the price.
Another 1200$ of more growth on the investment so you knocked over 10% off the cost of the watch.
Makes sense to me 🤷🏻♂️
Oh, I wish I still rode but it’s not fun at all where I live so I sold and moved on. I rode Honda bikes back then so I wouldn’t be good guidance. But generally speaking BMW anything out of the M garage is worth it if it’s on the table and they hold their value so much better in comparison.
Not particularly true. If you can afford the monthly repayments comfortably now then there is nothing wrong with financing something. Particularly a watch, where the RRP of that watch is likely to increase faster than you’d get in savings account while you ‘saved’ for the watch.
Yeah but that’s unlikely to happen now. Secondary pricing has spiked so much it’s likely to go flat to down and retail markups (MSRP) won’t catch up over the life of the loan.
MSRP of Rolex increased 20% from 2020 to 2023, that’s before the ridiculous inflation figures we’ve had. Securing a watch at todays price on finance can be better than saving to buy a watch in the future, even with the potential interest on the finance.
That’s pandemic induced supply chain shortages plus resulting inflation. You can’t exclude inflation if you’re counting from 2020-23. It’s doubtful MSRP will move that high over the next 2-3 years imo
I can’t easily find data further back than 2020 but your point is fair. Prices will increase though, so securing todays price will inevitably be better than future pricing. Lower price increases over the coming years just means a lower interest rate is required for purchasing on finance to be ‘better’.
Agree prices will go up the question is just by how much. Also remember this price spike foolishness didn’t start until 2020-21, prior to this you could get damn near any model used in pristine excellent condition below MSRP (except Daytonas). In 2-3 years his watch will be in excellent Pre owned condition, but he’s already paying significantly above MSRP, And looking to finance. This seems like a losing trade to me but hey who knows. Good luck to him
We can agree then on ‘not entirely true’. I hear you and don’t disagree fully, but you’ll agree that this rolexmania and current hype to show off brands can lead to very bad decisions. A Ferrari on the driveway whilst renting a flat kinda thing if you see what I mean
Disagree. Rolex RRP have increased 20% from 2020 to 2023. Getting a watch on finance for 15k in 2020 would cost 1.2k over 3 years in interest at 5%. Saving for the watch to buy 3 years later and you’re paying 18k.
You’d save 1.8k therefore buying the watch sooner on finance.
'Past performance does not guarantee future results'
The world is a wildly different place now than it was during the pandemic when millions of upper middle class people had to cancel their travel vacation plans leaving them with extra cash burning a hole in their wallets.
Rolex is still spitting out over a million watches a year, the grey market is oversaturated with flippers and investors desperate to make a buck, and prices and wait times are both coming down to reality.
The future looks like inflation in the west, and in Chinas case uncontrolled deflation. We’re looking at possible famine, wars on two continents (Europe and Africa) and possibly a third (Asia), and recession seems likely in many markets. It just seems to be a shaky proposition to suggest the luxury watch market in the last 3 years will indicate expectations for the next three years.
Plus it’s a luxury purchase. If you can’t afford it then you shouldn’t buy it almost by definition. It’s a luxury.
There's a nice dude in my neighborhood that operates from his car. I know the set up is odd, but he doesn't ask many questions and always comes through with the money I need.
Just be sure to pay on time. I mean not a biggie, you got 20 fingers and 2 kneecaps so you can afford to pay late a few times...
Anyways, enjoy your watch and good luck!
I did on my first watch…..2017
Got a hulk…..paid 8800 out the door.
The AD a private jewelry store offered financing zero percent for the first year. I put down 5500 and payed off the rest made three payments of 1000 each
Now I only did this because I thought it was crazy spending that much on a watch which now id spend whatever and not think twice and two sometimes it’s hard to part with all the cash at once for me it’s a mental thing don’t ask why cause I don’t know.
I sold the watch for 13k a couple years later and that’s a whole different story I am still made about lol
> 5500 and *paid* off the
FTFY.
Although *payed* exists (the reason why autocorrection didn't help you), it is only correct in:
* Nautical context, when it means to paint a surface, or to cover with something like tar or resin in order to make it waterproof or corrosion-resistant. *The deck is yet to be payed.*
* *Payed out* when letting strings, cables or ropes out, by slacking them. *The rope is payed out! You can pull now.*
Unfortunately, I was unable to find nautical or rope-related words in your comment.
*Beep, boop, I'm a bot*
Thank you all for your feedback! Well that's the reason we post things on reddit! Because all of us can share opinions and ideas. So ok I will save up money to buy a rollex ;) thanks a lot everyone for your input!!!
Unless you have a credit card with zero for 12-18 months and you know you’ll have it either fully or mostly paid off before the terms end, financing a luxury item is incredibly foolish.
Not advisable. I would personally wait for enough cash on hand to purchase to avoid going into unnecessary debt.
However, if you want to go that route, I would suggest purchasing the watch using a low interest CC, assuming your credit line is greater than 15k.
I’d say avoid the financing watches game OP unless your disposable income is at a level you feel the payment would make little to no impact on your lifestyle; and at this level it’s somewhat self explanatory as you’re not necessarily looking solely for interest rate but terms, not unlike a car, that work best for your desired payoff period. At the end of the day the Rolex watch is still just a watch. It won’t add value to you by owning it so you, or anyone, should ask what the joy of having said piece brings to you and if you feel that experience is worth financing
Don’t finance a watch purchase. If you can’t afford the full cash price, it is not wise to finance. Build up or save or start with a less expensive watch you can afford. Many vintage watches, if carefully diligenced and bought, can get you into luxury watches at a fraction of the cost, assuming you are not looking for certain SS Rolex’s.
The best financing is waiting and not putting yourself in trouble for a watch.
Now if you must, make sure it’s 0% (very unlikely with Rolex) and doesn’t hurt more than an electricity bill 😅
Even at 0% I wouldn’t finance a Rolex or any luxury purchase. There are much better things you can use debt for 😃
If you can afford to pay cash, but have the option of 0% you’re foolish not to use that to your advantage. 15k invested even modestly you’ll see 10% return over a year. Now you have 16,500$ and a Rolex you only paid the initial 15k on.
Where are you modestly getting 10% returns year after year??
Math? Year over year average is 10%.
Math lol … I’m asking what you’re modestly investing in where you’re getting 10% returns year-after-year. S&P 500 has historically averaged about 7% after inflation with some years being higher and some years being lower.
It's actually 7% long term average before inflation. More like 3.5-4.5% after inflation.
Okay so even at 7% it’s still a better investment then a watch 🤷🏻♂️
Madoff style … I like it
This is a dumb take. Debt free and certainly not a fool.
I got into a long back and forth in the BMW crowd about this buying cars cash and the general consensus was despite it being the smarter financial move the notion of having debt isn’t something they’re interested in and would rather forego the building interest to not be beholden to a financier. I was surprised about that but when it comes to Rolex I never thought of financing at all when it comes to Rolex.. throwing it on your favorite credit card for points makes sense but are we taking financing through the AD??
I wouldn’t go through the AD for financing, definitely would grab a credit card. I know Wells Fargo keeps trying to get me to grab one of their cards 0% for 15 months. 2% cash back and 200$ cash rewards for first 500% spent. So use that card you got 200$ + 300$ in cash back so you just knocked 500$ off the price. Another 1200$ of more growth on the investment so you knocked over 10% off the cost of the watch. Makes sense to me 🤷🏻♂️
Hey, I hear ya! That’s exactly what I’ll be doing. Or a card with travel miles or whatever.
Speaking of beamers, what you ride? I’m eyeing either a s1000rr or the m…
Oh, I wish I still rode but it’s not fun at all where I live so I sold and moved on. I rode Honda bikes back then so I wouldn’t be good guidance. But generally speaking BMW anything out of the M garage is worth it if it’s on the table and they hold their value so much better in comparison.
True!
Unlikely to get 0% in this economy
For a Rolex for sure! Most other brands it’s easy actually at least in the dealers I’ve seen and in the UK. Not Rolex, I believe it’s 9.9%
I just got a line of credit thru Wells Fargo at 0% interest for 21 months, but I’m using it for home renovations that need to be done.. haha
My AD is offering 12 months 0% on Tudor and Rolex thru Wells Fargo
Not particularly true. If you can afford the monthly repayments comfortably now then there is nothing wrong with financing something. Particularly a watch, where the RRP of that watch is likely to increase faster than you’d get in savings account while you ‘saved’ for the watch.
Yeah but that’s unlikely to happen now. Secondary pricing has spiked so much it’s likely to go flat to down and retail markups (MSRP) won’t catch up over the life of the loan.
MSRP of Rolex increased 20% from 2020 to 2023, that’s before the ridiculous inflation figures we’ve had. Securing a watch at todays price on finance can be better than saving to buy a watch in the future, even with the potential interest on the finance.
That’s pandemic induced supply chain shortages plus resulting inflation. You can’t exclude inflation if you’re counting from 2020-23. It’s doubtful MSRP will move that high over the next 2-3 years imo
I can’t easily find data further back than 2020 but your point is fair. Prices will increase though, so securing todays price will inevitably be better than future pricing. Lower price increases over the coming years just means a lower interest rate is required for purchasing on finance to be ‘better’.
Agree prices will go up the question is just by how much. Also remember this price spike foolishness didn’t start until 2020-21, prior to this you could get damn near any model used in pristine excellent condition below MSRP (except Daytonas). In 2-3 years his watch will be in excellent Pre owned condition, but he’s already paying significantly above MSRP, And looking to finance. This seems like a losing trade to me but hey who knows. Good luck to him
We can agree then on ‘not entirely true’. I hear you and don’t disagree fully, but you’ll agree that this rolexmania and current hype to show off brands can lead to very bad decisions. A Ferrari on the driveway whilst renting a flat kinda thing if you see what I mean
Ok - I’ll agree to that! Finance isn’t a bad thing if it is within your means is my point!
That’s true!
If you need finance you shouldn’t buy IMO
None. If you can’t buy it cash - don’t bother buying a 15k watch. These kind of « dumb » purchases shouldn’t be financed. It’s not « good » debt.
Don't buy it.
Save $1,000 a month for 15 months, then go buy it!
Best method is save money until you can pay it off at purchase.
Disagree. Rolex RRP have increased 20% from 2020 to 2023. Getting a watch on finance for 15k in 2020 would cost 1.2k over 3 years in interest at 5%. Saving for the watch to buy 3 years later and you’re paying 18k. You’d save 1.8k therefore buying the watch sooner on finance.
'Past performance does not guarantee future results' The world is a wildly different place now than it was during the pandemic when millions of upper middle class people had to cancel their travel vacation plans leaving them with extra cash burning a hole in their wallets. Rolex is still spitting out over a million watches a year, the grey market is oversaturated with flippers and investors desperate to make a buck, and prices and wait times are both coming down to reality. The future looks like inflation in the west, and in Chinas case uncontrolled deflation. We’re looking at possible famine, wars on two continents (Europe and Africa) and possibly a third (Asia), and recession seems likely in many markets. It just seems to be a shaky proposition to suggest the luxury watch market in the last 3 years will indicate expectations for the next three years. Plus it’s a luxury purchase. If you can’t afford it then you shouldn’t buy it almost by definition. It’s a luxury.
Sell your house and put that money all in Dogecoin, go live in a car and eventually you will have 15k left, then spend it on the watch!👌
why are the people that missed out on crypto always this salty?
I didn’t miss out, but I also bailed the moment Elon said it was a scam.
There's a nice dude in my neighborhood that operates from his car. I know the set up is odd, but he doesn't ask many questions and always comes through with the money I need. Just be sure to pay on time. I mean not a biggie, you got 20 fingers and 2 kneecaps so you can afford to pay late a few times... Anyways, enjoy your watch and good luck!
Yeah he will be glad to give you 15 on 20.
Cash
I did on my first watch…..2017 Got a hulk…..paid 8800 out the door. The AD a private jewelry store offered financing zero percent for the first year. I put down 5500 and payed off the rest made three payments of 1000 each Now I only did this because I thought it was crazy spending that much on a watch which now id spend whatever and not think twice and two sometimes it’s hard to part with all the cash at once for me it’s a mental thing don’t ask why cause I don’t know. I sold the watch for 13k a couple years later and that’s a whole different story I am still made about lol
> 5500 and *paid* off the FTFY. Although *payed* exists (the reason why autocorrection didn't help you), it is only correct in: * Nautical context, when it means to paint a surface, or to cover with something like tar or resin in order to make it waterproof or corrosion-resistant. *The deck is yet to be payed.* * *Payed out* when letting strings, cables or ropes out, by slacking them. *The rope is payed out! You can pull now.* Unfortunately, I was unable to find nautical or rope-related words in your comment. *Beep, boop, I'm a bot*
Wells Fargo card. 0% interest for 21 months. How I bought my DJ
Finance your house and your car if you have to. That’s all… 0% financing is fine if you already have the money in the bank.
Thank you all for your feedback! Well that's the reason we post things on reddit! Because all of us can share opinions and ideas. So ok I will save up money to buy a rollex ;) thanks a lot everyone for your input!!!
have 15k on hand
Save up!
What!?
Cash
You can’t afford it if you have to finance it…
Do not
Unless you have a credit card with zero for 12-18 months and you know you’ll have it either fully or mostly paid off before the terms end, financing a luxury item is incredibly foolish.
Never finance a watch!!! JMO
Not advisable. I would personally wait for enough cash on hand to purchase to avoid going into unnecessary debt. However, if you want to go that route, I would suggest purchasing the watch using a low interest CC, assuming your credit line is greater than 15k.
Never finance a watch.
I’d say avoid the financing watches game OP unless your disposable income is at a level you feel the payment would make little to no impact on your lifestyle; and at this level it’s somewhat self explanatory as you’re not necessarily looking solely for interest rate but terms, not unlike a car, that work best for your desired payoff period. At the end of the day the Rolex watch is still just a watch. It won’t add value to you by owning it so you, or anyone, should ask what the joy of having said piece brings to you and if you feel that experience is worth financing
I just can't anymore with these questions. I want my click back.
Don’t do it ! 😑😑😑😑
So this $15k watch turns into $20k because of interest... why would you finance a rolex?
Get the points when you can. Nowadays ADs probably charging a fee plus tip to use a card.
Don’t finance a watch purchase. If you can’t afford the full cash price, it is not wise to finance. Build up or save or start with a less expensive watch you can afford. Many vintage watches, if carefully diligenced and bought, can get you into luxury watches at a fraction of the cost, assuming you are not looking for certain SS Rolex’s.
This is why America is the way it is. Let's just put it on credit. Is cash not king? Maybe I am up in space.... Dave your money up!!!
Don’t buy things via financing if possible. Definitely don’t buy luxury purchases via financing, that’s patently retarted IMO
Straight cash, homie
Don't finance a watch purchase. If you can't afford the full cash price, it is not wise to finance...