It's not actually free, but here are the steps that I am doing, but first the quick facts:
Pre-order date: September 12, 2014
Release date: September 19, 2014
Iphone 6 Plus 64gb msrp: $849 (+ tax around 10% sales tax) = $933.90
On September 11, I didn't sleep much because I was waiting for the clock to hit 12midnight to pre-order the new Iphone. I went to AT&T website and Apple website to try which one I can get through first. I have two lines eligible for a discounted price for a two year contract of $399. I got lucky on the AT&T website to pre-order 1 phone. It was charged to my Discover Card.
Total Discover charge: $476.49
The next day I pre-ordered another Iphone with ETA of October 2.
My mother-in-law is eligible for 5 upgrades, she is giving me one of her upgrade.
Total cost for three iphone charged on credit card: $476 x 3 = $1,428
The credit card that I used will be paid in full before the end of the month of September, how?
On Sept 19, the release date of Iphone 6, people will be lining up on the Apple store, Wal-Mart, ATT, Verizon stores, etc, and we will be seeing it on the news that people will camp out starting Sept 18 just to secure their own Iphone 6. But not everyone won't be available to line up. Some people will be willing to pay double of the price tag for a brand new Iphone 6, (check ebay and craigslist for the street value for a new iphone 6) and that where Im coming in. I will sell the new Iphone that I will receive on Friday for a price premium of $1,000 as that will be my projecting street value. You have to understand the msrp of this new phone without a contract plus tax is $933. The $1000 price tag that I am using is a very conservative price. So basically, the out of pocket cost for 2 Iphones 6 plus is going to be around $500. The final exact amount will be finalized on Friday.
Now some people might think that what I'm doing is immoral, taking advantage of the people inflating the price of the phone. First of all I am not cheating anybody, I am not stealing, I will use my own money to fund this exercise. I am not forcing anybody to buy my iphone 6 as I am not pointing a gun on their head to force them. The way I see its a simple law of supply and demand. If the demand is high and the supply is law, guess whats going to happen? Thats right, price of good will go high. Example is a farmer. His name is Juan, he owns a land and the crop for this season is corn. The weather has been bad for corn farmers this year, as their yield has been very low so the supply has been low. But its summer season, people like to have a corn in their bbq party since its 4th of july then labor day and bday parties in the park etc. But Juan has been taking care of his corn field, nourishing it with fertilizer, good sun and good access to water. This year is a good year for Juan's yield as the price of corn is high once he sells them. Its the same with me and the same with stocks prices. When the supply is low and the demand is high the price goes up and vice versa.
I know this is very anti-frugal way but I like my iphone. I had given up so many material thigns(to be discussed in future posts as I am working on it too) and in the near future I know I will give up my Apple products, its just that it makes my life much much easier. I see value in their products, I have a peace of mind when it comes to virus attacks on my macbook and my iphone. I can research my stock investments more thoroughly. Internet has so much information, and information is a powerful tool.
I will update my little project on Friday September 19, I will be watching the news and check the prices at ebay and craiglist how much is the average cost and base my final selling price on it.