Rent-to-own furniture like what you might find in Aaron’s or Rent – A -Center can be a solid source of credit for you. As long as the company you are working with reports positive payments to the credit bureau, you will be able to build up your credit score every time you pay on your furniture account.
The 5 Best Furniture Rental Companies of 2021 CORT: Best Overall. Feather: Best for City Renters. Brook Furniture Rental : Best for Customer Service. Oliver Space: Best for Style. Aaron’s: Best for Rent-to-Own .
If you’re looking to avoid a large upfront payment and make affordable monthly payments on Ashley ® Furniture , renting to own is perfect for you!
“Overall, rent-to-own programs often charge high rates that leave consumers paying significantly more than the furniture they are buying. That’s not worth it for any consumer,” said Adam Garber, of the U.S. Public Interest Research Group (PIRG).
The rent-to-own setup is vulnerable to scams and shady landlords. As the tenant, you take on most of the risk in a rent-to-own contract. You’re the one paying more than necessary in rent each month with the promise that the owner will credit the amount toward the purchase price someday.
People often ask if rent-to-own loans help build a credit history. Unfortunately, the answer is no, because such loans are not currently reported to the credit reporting companies.
IKEA has announced plans to start renting its furniture , as part of a move towards a circular economy that includes refurbishing and re-selling products. The trial furniture – rental scheme, due to begin in Switzerland imminently, will initially be limited to office furniture such as desks and chairs .
It’s more expensive for those who could purchase because they’re paying for rent before they purchase the home. Rent to own is more expensive than renting a home if you do not purchase the home. When you rent to own , you always pay an option fee. The option fee gives you the option to purchase the home.
Yes, furniture stores that finance are an option you should consider if you’re absolutely certain you can pay the balance off ahead of schedule . While almost every furniture store will offer some sort of financing to make a purchase, here are a few brands that usually offer financing of some type: Rooms to Go.
Fingerhut Credit Account
Pros for buyers Rent-to-own can be worth looking into for would-be buyers who simply can’t wrangle a mortgage the traditional way. Typically, that’s because you either lack enough cash for a down payment or your credit score isn’t strong enough to be approved for a mortgage (or both).
If you purchase furniture for a home that isn’t your permanent abode, you could end up with a truck-load of items that won’t fit or work in a future home. Renting furniture will also save you from having to pack and move heavy furnishings every time you move, which will inevitably save on moving costs as well.
Although it’s clear that Rent a Center is a rip-off , they’re not the only store scamming people out of their hard-earned cash. Other similar furniture leasing stores are basically doing the same thing.