You Have Bad Credit, How Do You Purchase a New Couch?
Bad credit financing is a term that applies to those who have less than stellar credit scores. Your credit score determines your creditworthiness as a consumer. Scores range from 300 to 800 and the higher your score, the better your creditworthiness.
If you would like to buy that engagement ring for your special someone or you need to replace your tattered and torn couch, you have options. With either of these purchases, and more, you can buy your dream item, even with bad credit.
This is where bad credit financing comes in. Even if you have a low credit score, you may still apply for financing to purchase your household item.
Why is a Credit Score Important?
The lower your credit score, the more risk a financial institution attributes to you. However, you are not without financing options. Your primary alternative will be lease purchase programs, also known as lease to own programs or simply rent to own. While you are rebuilding credit, you can still purchase a quality piece of furniture, an engagement ring, a laptop computer, or an HVAC system that you have been needing. Terms are flexible and once you have familiarized yourself with your financing options, you will be able to budget accordingly.
Big Ticket Items
You may have need of an HVAC system. In order for an HVAC system to work efficiently, it is required to be inspected by a professional technician twice per year. Whether your HVAC is old and not working properly or it is costing more money than you would like, you have the option of HVAC financing.
Bad credit financing gives you options. There are zero down furniture leasing options and early payment options, among other financing options for you to consider. A good way to plan the purchase of the new couch you need is through a financing calculator. Keep in mind that this link is for auto financing, but the principle is the same.
Once you have researched your purchase, you can budget your furniture, jewelry or HVAC purchase using a finance calculator. The steps are easy:
- List the purchase price
- Enter your down payment
- Calculate the sales tax
- Enter the interest rate and
- Lease term
Even with bad credit, you can budget and buy the quality item you need.