Apple is looking to make it easier for Chinese customers to pay for their products. No doubt this is an effort to make money off of low-income customers and isn’t a heart-felt option to help prevent Chinese customers from selling their organs in order to purchase the latest and greatest from Apple.
Apple has posted to its Chinese web site a new installment plan, allowing customers to pay a mere 300 yuan ($48 USD) or more for one of Apple’s products to pay in installments. You can see how this is a very handy deal, especially for the low-income parts of China. Apple will be offering interest-free payments for up to 12 months. Customers who decide to agree with 18- or 24-month installments will see interest at 6.5 percent and 8.5 percent, respectively. It seems like a win-win situation when both parties have something to gain. Apple earns extra money off of interest and the consumer doesn’t have to shell out $700 for an iPad upfront.
Upon checking out on Apple’s online store, customers will be prompted to either pay in full or choose an installment plan to pay over a period of months. Customers will be entered into installment plans through the Merchants Bank credit card.
Apple isn’t exclusively offering the installment plan to customers in China, as U.S. customers also have an option for installment plans. Apple allows U.S. customers to finance their products for 18 months. Customers that reach $1,999 or more have no interest for that period. The no-interest option is also available on smaller products, but lasts for a shorter amount of time.
No doubt these installment plans were put in place so that Apple could make more money off of low-income customers.