Layaway is Making a Come Back

Buying gifts on Layaway used to be very popularcertain percentage of the total.
years ago. Then it went away for a while, butIs there a down payment? In many places you
now it is making a comeback. Stores wanthave to make your first payment which is a
business and this is one small way to helppercentage of your total amount. This could be 20
themselves, their customers, and the economy.or 25% or maybe more (or less).
In years past you would go to your favorite bigHow often must you make payments? Normally
box store and see people pushing shopping cartsthis is every two weeks.
piled high with stuff. These people were headingHow much must you pay if you decide you don't
to the Layaway Department.want the merchandise any more and want to
If you are not old enough to remember or knowclose your account? Some places charge $10.
about Layaway, this is how it works.What happens if you miss a payment? You may
If you buy something on credit, you get thehave a grace period of a few days or weeks, but
merchandise immediately but have to pay off theafter a certain amount of time, if you have not
balance in the future or over time. With creditpaid, the merchandise will be put back on the
cards, if you don't pay it all off at once, you willshelves.
pay interest - which can add up.What happens if you can't pay the full required
If you use Layaway, you pay a little at a timepayment? Some places require you to make the
and when everything is paid off, you get yourbalance of the payment before your due date.
merchandise. Now you don't pay interest on yourWhat merchandise cannot be put on Layaway?
purchases, but you will probably pay a fee to setNot all things can be put on Layaway so make
up your account. You may also pay other feessure you know what is or is not allowable.
like if you try and return something.These are basic things you need to know about
Every Layaway Plan is different, so before youLayaway. To play it safe it is best to get their
start a Layaway account you better be sure youterms and conditions in writing, but sometimes
understand what you are getting in for. Here arethis is not possible. Another good thing to do is to
some questions you need to ask:get an exact listing of everything you are buying -
How long will the Layaway contract be for?just to make sure when you pick your stuff up it
Depending on the store or merchandise, manyis the same stuff you originally picked out.
places have it set at 8 weeks. For moreThe bottom line is that Layaway can be quite
expensive things like jewelry, it may be monthshelpful in tough times like now. You just need to
or even a yearmake sure you are going in with "your eyes wide
What is the fee to open an account? In manyopen" so you don't get any unexpected surprises
places it is a nominal $5 or $10.which could cost you everything you intended on
How much will your payments be? Usually it is abuying.