who rents furniture? How does a place like Rent a Center stay in business?
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Do that many people actually rent their furniture? Wouldn’t it be just as expensive to just buy the stuff? How does it work?
people w/ bad credit…..business people who rent apts/houses but inly here for a limited time….business rent furniture all the time, good accounting sense
How do they stay in business? Easy. They cater to the bad credit/ no credit crowd. These people don’t have enough cash to buy it up front, and have no credit to get a loan for it or have it financed through a legitimate furniture store. then these people pay through the nose in rental and/or interest fees. They end up paying WAAAY more for it than other people with good credit do.
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It is really a rent-to-own place for people not smart enough to shop at garage sales and thrift stores. I bought a couch for $10 and two matching chairs for $5 each, for instance.
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Your local area will probably have other stores like Rent-A-Center but with a different name. There are alot of peoploe that rent there furniture and pay it off weekly or bi-weekly from these places. Sometimes its easier than having to just hand over a lump sum amount all at once. But the catch is you will pay an outragious amount of interest and probably pay twice what you would if you just bought it straight out. Thats how they stay in business. I did it one time and will never do it again. I ended up paying $1000 for a washing machine doing it like that when I should have just saved the money and bought it for the $400 straight out.
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people w/ bad credit…..business people who rent apts/houses but inly here for a limited time….business rent furniture all the time, good accounting sense
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I do! My husband gave all his money to the ex in the form of child support. Then she dumped them on us and still gets the child support! I had to quit my job to care for them.
Now there is no money for bills and the kids needed beds so we went to Aaron’s (it’s just like Rent a Center) and got them one.
You pay them a monthly fee till the furniture is paid off. It’s ends up that you could have bought the furniture twice over but at least they take payments
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They stay in business the same way those payday loan places stay in business…. there are simply throngs of people who are extremely inept at handling their finances. They cann’t figure out how to save money. They spend money as soon as it is in their hands. Rent a Center caters to this segment of the population.
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People with no credit and no patience for saving.
Or, people who work temporary jobs, but would like something better than living out of a suitcase in a hotel room for 2-3 months, but don’t want the trouble of trying to sell it when they’re finished.
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