SAMSUNG PHONE ON INSTALLEMENT
Samsung is a South Korean multinational. Samsung is one of the largest electronics manufacturing companies in the world and is renowned for its smart phones, LED TVs, air conditioners and laptops. Samsung smartphones have recently grown to become one of the most popular smartphone brands in the world. The Samsung Galaxy series has greatly influenced the smartphone market with its outstanding performance, making Samsung S6 the best-selling smartphone of 2019. You can shop online at https://dreams.pk because we offer the best products made by Samsung in a very simple way. And a simple payment plan throughout the city of Lahore, Karachi and Islamabad. Some of the products provided are Samsung Galaxy Note 9, Galaxy S9 Plus and many others.
A large majority of the Pakistani public has an online account. Naturally, many customers also often have credit cards.
Whether or not you have a credit card, we usually continue to send you “crazy” offers that allow you to get the smartphone (or other gadget) of your choice at 0% markup if you make a refund in one fixed period. Time – usually 3 to 6 months.
While this may seem like a very good deal for you to buy your preferred phone in installments without paying any interest, it is actually a misleading tactic used by almost all banking institutions.
Let’s see what happens here.
Provide a service?
Although the banks claim that they charge you no additional fees and that you even receive installments without mark-ups, they are likely to mislead you.
For starters, most banks often have transaction fees ranging from Rs. 1,000 to 3,000, you have to pay before you start on a installment plan.
But that’s the small part, the main part where they rip you off is with regards to the actual price of a product they offer, in this case a phone that you are willing to buy as a result.
Pro tip: every time you receive a flyer in your mail, find a shared payment plan on social networks or read a news article about a new payment offer, you just need to compare the phone’s price to the normal price of the phone.
It’s common sense, but you will not be surprised at the number of people who do not check prices.
Banks can charge up to 150% of normal market rates. It is unfortunate that ignorant banking customers are deceived by using such tactics. Rarely can you find a real market price with such payment plans. On the other hand, banks that do not have 0% tagging options also use similar tips.
Some recent examples
Let us give you some examples here:
While the bank offers 0% profit margin, it charges for a phone that did not even cost so much at the time of its official launch in Pakistan. The phone can easily be purchased for people if you buy it from one of the online retailers. 141% of the market price is charged here.
Most Pakistani banks do not offer adequate collateral because they claim it is a third-party product. So, in most cases, you end up with the third-party reseller with whom they have chosen to contract if you wish to enforce a warranty. Sometimes you do not even receive warranty service. You can get the same phone with the appropriate Samsung warranty from the dealer of your choice for approximately 63k to 64k. Given the rigor with which they propose deadlines, one would have thought that they cover guarantees as a standard.
Let’s look at a few more examples to prove that this is a common practice these days. Take a look at Standard Chartered’s Asaan Installment Plan below:
When the iPhone 7 starts at € 87,000 when you buy one at SCB, you can buy one for about 78,000 online. Some stores offer the device for even less, Rs. 72,600, when you pay via an online card (yes, even SCB cards work).
In the same way, the higher storage versions offer an even higher price, while you can get the 128GB version for about 91,000 euros and the 256GB version for nearly 95,000. You can clearly see a supplement from 12% to 37% in SCB installment prices compared to standard market rates.
What we are essentially saying here is that they are not plans with a profit margin of 0% as the banks have announced. They incorporated interest into their monthly payments and hid it in plain view.
Islamic banks are doing better?
Now, take a look at the halal schemes that come with zero interest, zero fees, no hidden fees.
Meezan Bank sells Huawei P9 for Rs. 59,357 if you pay in three installments or Rs. 61,568 if you pay back in 6 months
However, the bank already overcharges its customers because the phone can easily be purchased online for 19,000 rupees. 48,500 with local guarantee. Meezan is obviously overcharged by about 22% when you make a refund in 3 months and even more when you make a refund after a longer period.
In short, there is no change and the bank charges a premium price for the same product.
We are not saying that banks are not allowed to make profits, but at a minimum, they should speak clearly with their customers and act as a reseller / retailer rather than a credit institution.
In any case, setting profits above 50% is still not justified when it is said that the profit margin is zero.
While searching for these examples, we found several other offers for many other phones, but we chose to list some of the most popular flagship products in the country as examples of our survey.
Several other banks were also found to offer similar products at high prices. All these prices are available in the Loans, Personal Finance or Credit Premiums sections of the respective bank. You can also compare them yourself and you’ll find that every device on the list is overvalued by huge margins that deceive their own banking customers.
Here we try to give you all the installment options and try to guide you. We are offering Samsung mobiles on installment. For more quires visit at Dreams.PK