90 Days Same as Cash Explained (FAST)

Hi, I'm Jason with The Honest Finance Channel, and today I'm going to talk about the dirty secrets of 90 days same as cash loans. Now I'm just a normal guy like everybody else. Okay. I actually have one of these loans. It's an 18 month deferred interest loan on a couch that I bought. It's the exact same thing as a 90 days same as cash. It's just longer. What this loan is doing for me is it's actually giving me 0% interest as long as I pay off the loan within the 18 month period. So it's the same thing with 90 days same as cash. You get a loan, you get 0% interest, but you've got to pay off that amount before the 90 days is up. Now here are the dirty secrets. The first dirty secret is something that we should all know about. Okay. It's the fact that we have got to pay that loan off before the 90 days is up. If you don't, it's deferred interest, which means it's as though you're actually paying interest on that loan from day one. So it doesn't matter if you've been perfect all the way until day 89. If you don't complete that loan within the 90 days, then you're going to be paying interest as though you're paying interest from the very beginning. Keep in mind, if you do end up paying interest, the rates are typically really high. Mine's actually 21%. And if I make a late payment, I get pushed up to 24%. That's extremely high. The other dirty secret is if you make one late payment, you're paying interest on that loan. I noticed on my loan that you only have a five day grace period to make a payment. So if it's due on the 5th, if you don't pay it by the 10th, that's considered a late payment. And honestly that's kind of weird because most loans have a 10 day grace period. The last dirty secret is the fact that minimum payments don't actually pay the loan off in time. So if your minimum payment is, let's say 75 bucks a month, if you pay 75 bucks a month over the three periods or the 18 months in my case, you will not pay off the loan in time. So you've actually got to pay a little bit extra and pay attention to that so that that doesn't happen to you. Hopefully this video helped you understand that 90 days same as cash is not a good loan if you're not going to follow the contract by its exact terms. I'm Jason with The Honest Finance Channel. Feel free to subscribe and I'll give you a bunch more on financial subjects. Thanks.