Most people are aware that renting to own is a costly method of purchasing a home, but I was startled to hear just how costly it is. Rent-to-own makes payday loans appear to be a good deal!
The Investigation
I looked at the cost of purchasing an item through a rent-to-own arrangement against other options. Consider the Samsung – 55″ Class – LED – NU8000 Series. The “90 days same as cash” pricing for this TV at my local rent-to-own business was so affordable. I was given numerous payment choices. I could make weekly installments, semi-monthly payments, monthly payments. The sum of the payments for any of these rent-to-own agreements is price friendly and under the budget
What Is the Additional Cost of Rent-to-Own?
The effective interest rate of the rent-to-own scheme is almost 141 percent when using the Amazon pricing for the TV and a total payment spread out over 27 months. Almost any other way of payment would be less costly!
Methods to Pay While Buying A TV on Rent
Cash In Hand
Instead of signing up for a rent-to-own arrangement, you could save by purchasing Samsung – 65″ Class – LED – NU8000 Series – 2160p – Smart – 4K UHD TV with HDR TV with cash from Amazon or Best Buy. A rent-to-own scheme costs more than three times as much as paying cash. It would take roughly eight months to save up enough money to buy the identical TV with cash instead of making the rent-to-own payment for 27 months at the weekly payment.
Using Your Credit Card
Using a credit card — even one with a high interest rate — is more expensive than renting to own, as we’ve shown. You can still receive the thing right away even if you don’t have the money up front, and you’ll not save a lot of money compared to paying years of rent-to-own payments. Therefore rent to own is the most perfect and beneficial option when it comes to cost. It is Cost-friendly. Also check out the Best Credit Cards for People with Fair/Average Credit.
Purchase a Rent to own TV
Instead of buying a brand new 4K TV, you might save 30 to 50 percent by purchasing a Samsung – 75″ Class – LED – NU8000 Series – 2160p – Smart – 4K UHD TV with HD TV on Rent to own.
Select a Low-Cost Option
Instead of spending thousands of dollars on a cutti Samsung – 75″ Class – LED – NU8000 Series – 2160p – Smart – 4K UHD TV with HDR TV, you may save money by opting for a less costly HDTV such as samsung – 55″ class – led – nu8000 series – 2160p – smart – 4k uhd tv with hdr . The only difference would be of the screen size and no change in features.
Therefore, rent to own is a cost friendly and convenient option when it comes to choosing between buying a TV and Renting a TV.
