drunken fisto
2005-02-26, 12:34 AM
When I used a credit card to pay for items at the local Yamada Denki and Sport Depot, the cashier asked me whether I would like to have the total amount charged at one time, or whether I would like to spread the charges over time (I think it was possible to do up to 12 months). I thought this was rather odd, as in the U.S., when you purchase items with a credit card, the total amount is charged at once and you decide how long you want to drag out the payments (subject to the interest rate on your card).
I am aware that with Japanese credit cards, or at least in my experience, it is somewhat more restrictive in that you generally have to decide when you apply whether the entire balance will be deducted from your bank account all at once, or over a specified number of months. But I have never encountered the situation where the merchant will spread the charges on a credit card that is not related to them (e.g., not a "Yamada Denki" Visa) over a span of a few months.
Of course, I wouldn't mind spreading payments out over time, but I was just wondering if the merchant (not the card company) charges interest in such situations. So my questions are:
1) whether anyone has taken advantage of this when using their credit card
2) if so, whether there was any interest charged by the merchant
3) does the location, in my case U.S. or Japan, of the bank that issued the card make any difference in whether this option is offered
Any clarification by anyone who has taken advantage of this apparent freebie would be appreciated. However, my gut feeling is that the merchant charges a fee for speading the payments out. Thanks!
I am aware that with Japanese credit cards, or at least in my experience, it is somewhat more restrictive in that you generally have to decide when you apply whether the entire balance will be deducted from your bank account all at once, or over a specified number of months. But I have never encountered the situation where the merchant will spread the charges on a credit card that is not related to them (e.g., not a "Yamada Denki" Visa) over a span of a few months.
Of course, I wouldn't mind spreading payments out over time, but I was just wondering if the merchant (not the card company) charges interest in such situations. So my questions are:
1) whether anyone has taken advantage of this when using their credit card
2) if so, whether there was any interest charged by the merchant
3) does the location, in my case U.S. or Japan, of the bank that issued the card make any difference in whether this option is offered
Any clarification by anyone who has taken advantage of this apparent freebie would be appreciated. However, my gut feeling is that the merchant charges a fee for speading the payments out. Thanks!