Lay-a-way

[Patrick425]

Looks like this is becoming popular again. Not sure I understand the concept. Why not just save up the money yourself to purchase the product instead of paying a fee to the store to do it for you? Someone mentioned to me that the product may not be available by the time you "save" the money. What are people putting on lay-a-way? One of a kind pieces of art?

 

I also heard the argument that people will spend the money if they don't give it to someone else to hold. This explains a lot about the current state of the economy.

[RyDogg66]

Oh lord, Lay-a-way is back. I suppose so, all the credit has dried up.

[dadofandrew]

Other than the dozens of credit cards and mortgage offers I get each week, I guess credit is dead.http://forum.brewerfan.net/images/smilies/smile.gif

 

Layaway is not going to catch on again, but I'm sure a few folks will try and push it. About 50-70% of all purchases are made by credit/debit card, so going after that 30% seems short-sighted.

[1992casey]

I put an item on layaway once. For the life of me, I don't remember what it was, but I do remember that using layaway was the store employee's suggestion.

 

I think I might have left the credit card at home and was concerned that the item actually would have become unavailable had I waited. I do know for sure that there wasn't a fee, though.

[RyDogg66]

Other than the dozens of credit cards and mortgage offers I get each week, I guess credit is dead.http://forum.brewerfan.net/images/smilies/smile.gif

 

Layaway is not going to catch on again, but I'm sure a few folks will try and push it. About 50-70% of all purchases are made by credit/debit card, so going after that 30% seems short-sighted.

Im sure the "credit crunch" hasnt affected you one bit, but I keep getting dozens of credit card offers each week and they tell me I am pre approved, but I know better than to apply because I have been rejected enough times already.

 

I currently have one credit card, but it has a $4,500 limit, and my balance is somewhere between $4,400 and $4,500, where it has been the past 3 years, even though I havent charged anything on it in over 2.

[JoeHova]

Layaway used to be for people who couldn't get credit, but I never got why people didn't just save up for the item either. I guess the "sold out" thing could be a worry in some instances (Wii, certain clothing, etc.), and some people just aren't good at saving. The few times I've ever been in a KMart, I used to always notice a layaway counter, but other than that, I haven't seen much usage of it in the past 10-15 years. It's not nearly as bad as rental stuff though, that's an absolute scam.

[PlayerHader]

Does layaway lock into a sale price, as well?

 

Not a concept this 23 year-old is all too familiar with.

[mothershipconnection]

I bought my ex's wedding ring on layaway because I got a really good deal that I wouldn't have cash to pay off for 2 months. That way I could lock in the price without having to pay interest on my credit card and just went back when I had the cash and picked it up.

[hawing]

Why not just save up the money yourself to purchase the product instead of paying a fee to the store to do it for you?

Semi-instant gratification? I suppose you might otherwise lose out on the so-called hottest toys or something like that.

 

Just the word "layaway" instantly takes me back to the Janesville K-mart in the 1970s. I don't specifically remember my parents putting stuff on layaway, there or elsewhere, but that K-mart-and-layaway association is the leap my mind makes.

 

What stores are bringing it back, besides K-mart (unless the K has been doing it all along)? I'm not asking to challenge, I'm just curious (and, I admit, kind of retail ignorant).

[bork]

Am I the only one who thought "Rusty Chevrolet" by Da Yoopers? "Got to head to Shop-ko to pick up the layaway, 'cause Santa Claus is coming soon in his big old rusty sleigh"

 

Other than that, no experience with layaways.

[hawing]

Oh, yeah, the only "Christmas carol" I'm aware of that mentions good ol' ShopKo. http://forum.brewerfan.net/images/smilies/smile.gif

 

That reminds me of a post I should make in the random thoughts thread.

[dadofandrew]

RD, pre-approved cards turning you down when you apply? That must be like a kick in the old crotch...as a lawyer, shouldn't you be able to sue 'em for something.?http://forum.brewerfan.net/images/smilies/smile.gif

[ewizabeff]

KMart is heavily advertising layaway this holiday season, and there was a story about it on NPR today as well. The credit crunch doesn't just mean people can't get credit - credit card interest rates have been going up for awhile, while savings account interest rates are going down.

 

I don't know the specifics of layaway, but I do know (thanks to NPR) it was very popular in the great depression.

 

Just kidding, found the specifics online. Layaway (at Kmart) costs $5, and is detailed here

[craigharmann]

My wife and I were in Burlington Coat Factory looking at their baby stuff the other day, and they offer a layaway program, too. However, when you put the item on layaway, you have to pay 50% and then another 25% in 2 weeks and then pay the rest off when you pick it up. Interesting concept. My mom used to put things on layaway a bunch when I was a kid, but I'd rather save up my money and purchase whatever I'm going to get in cash. That or buy something used, if I need it that bad.

[Diskono]

I don't get it at all. Maybe if it's the last Tickle-Me Elmo in existence and you don't have the money at the moment, but I can't see any reason why anybody do this with normal stuff that you could get anywhere. Then again, I can't see any reason why people would go to those loan shark stores either.

[craigharmann]

Then again, I can't see any reason why people would go to those loan shark stores either.

A lot of it, I think, is desperation. When you get to the point where you don't have money and the bills need to get paid, you're going to take whatever measures necessary. A lot of this whole thing with layaway, credit, whatever is that we've forgotten to live within our means. That's what happened to me. I got my Discover Card in college, and I regret that to this day. Why not get it now and not have to worry about paying for it....until you realize that at age 31 and you want to buy a house and have no money saved up for a down payment or not the greatest credit in the world, and what do you have to show for it? Not a whole lot. That's one of the things I am going to make sure my kids learn at a young age. Save, save, save! If you don't have they money, you can't buy it. Plain and simple.

[RyDogg66]

RD, pre-approved cards turning you down when you apply? That must be like a kick in the old crotch...as a lawyer, shouldn't you be able to sue 'em for something.?http://forum.brewerfan.net/images/smilies/smile.gif

Im currently looking into a massive class action, let me know if you want in on it. http://forum.brewerfan.net/images/smilies/smile.gif

[JoeHova]

Today I saw an article that is related to this. It talks about how Wal-Mart is seeing a "disturbing trend" (the CEO's words) in payday related sales of baby formula and other necessities. People apparently have to rush out and buy formula and food right when they get paid, otherwise they can't afford it. Pretty distressing.

 

link: http://www.reuters.com/ar...Name=businessNews&sp=true