What Is Layaway?
Layaway is a purchasing method in which a consumer places a deposit on an item to “lay it away” for later pick-up after they paid off the balance. Layaway option lets customers make smaller payments on the product until the purchase is paid in full. A layaway plan ensures the consumer will get their chosen merchandise once it’s fully paid without having to pay a large sum in one time.
A Brief History of Layaway
The advent of layaway came during the Great Depression of the 1930s. However, it fell out of favor during the 1980s, as the ubiquity of credit cards decreased its utility. Layaway option is having a come back now and some stores started offering it for the holiday seasons, or as an option for selected items.
When you select Layaway options you enter into a contract with VocalBoothToGo.com where you, the customer promises to pay for the product over a period of time, and VocalBoothToGo.com promises to make sure you have your product available when you completed the payment.
How it works?
Once you selected a product that you want to purchase with Layaway option, you will need to sign Layaway agreement. Make sure you understand the process and the fees involved. Layaway requires additional account handling and processing; this is why additional fees have to be charged.
If you cancel the Layaway plan, there may be a cancellation fee, depending on the time of cancellation.
If you missed your scheduled payment date, there will be a 15 days grace period, after which the account will be cancelled.
Layaway places an obligation on the company to have the product available to you, the customer, when the payment is completed, so even if there is a customer, who is ready to pay in full, the company will have to refuse the sale, in order to have the product ready to ship. Therefore, there are some fees for securing the item and processing the installment payments, which are added to the total cost of the product.
Why use layaway option?
Layaway purchase option works for consumers who have limited disposable incomes and are unable to make larger lump-sum purchases. Layaway option guarantees that layaway customer will receive the product when they complete the payment in full. Layaway allows consumers to control their budget and helps them to put away the necessary amount for the purchase.
With Layaway option there is not credit check and no high interest rates to pay. Layaway can work for those with bad credit. If the transaction is not completed on time, the customer’s money may be returned less service and cancellation fees.
PLEASE MAKE SURE YOU READ THE AGREEMENT AND UNDERSTAND THE FEES AND THE PAYMENT SCHEDULE.