Retail Stores with Layaway Plans for Christmas Shopping in 2010

Back in the days before credit cards and store charge cards were common, savvy shoppers used to put Christmas gift items on "layaway." A layaway plan in one in which the store holds your merchandise while you make regular monthly or weekly payments. Once all the payments have been made, the item is yours to take home.

For budget conscious consumers trying to avoid the Christmas credit card trap, layaway is a fantastic alternative.

One huge advantage for many people is that layaway doesn't involve any sort of credit check nor accumulates interest fees. This makes layaway a great way to finance a large purchase such as kitchen appliances, jewelry, or electronics which ordinarily might not work in your budget. Layaway is also a sneaky way to keep Christmas gifts out of the house until they are ready to be brought home.

So which retail stores are still offering layaway?

Sears and KMart: Sears and Kmart stores were at the forefront of bringing back the layaway program in 2008 and are still offering this service. Their layaway plan costs just $5 to set up along with a minimum $15 down payment (or 20%) and payments spread over a two month period. One very cool feature about both Sears and KMart is that layaway items aren't just limited to in-store items, but can include on-line merchandise as well. Sears and KMart will also let you make those layaway payments on line too. For shoppers hoping to find a microwave or new frig under the Christmas tree, Sears has added appliances to the lineup of merchandise eligible for layaway.

Burlington Coat Factory: For the shopper who loves discounts, Burlington Coat Factory & Baby Depot also offers interest free layaway plans. Burlington's layaway terms are just like Sears and KMart, with a $5 processing fee and payments spread over 2 months. For baby items, the layaway term is 3 months which makes layaway an affordable way to pay for things like cribs, baby furniture and other higher ticket items. Burlington includes a $10 restock fee in the event you change your mind about the layaway. If clothing and baby gears is on your family's Christmas wish list, Burlington is one store definitely worth checking out.

Toys R Us and Babies R Us brought back their layaway program in 2009 and continue to offer this program on eligible items. (Check out the link here). Eligible items tend to be big ticket toys such play sets, doll houses, ride-ons, and furnishings; the terms for Toys R Us layaway is a $10 service fee, 90 days to pay with 50% of the total amount paid within 45 days of setting up the layaway.

Local shops: Where I live, a number of independent and locally owned store also offer layaway. Top of the list are retailers such as antique stores and jewelry stores which offer affordable layaway terms spread over 90 days. To find the retailers in your community who still offer layaway, you will have to call around and ask. It might surprise you at how many locally owned stores still offer a layaway program.