The Pros and Cons of Shopping with Rent-a-Center

There are many different types of rent-to-own stores all across the country, but one of the most popular companies is Rent-A-Center. These types of stores are designed to enable people with bad, or no, credit to purchase household appliances and furnishings on a pay schedule that fits their life. That could be weekly, bi-weekly or even monthly payments. While that may seem like a great idea to most, especially those of us with less than acceptable credit records, there are a few drawbacks to shopping with Rent-A-Center.

Back in December of 2006, my beloved washing machine went keput. I had bought the washer and dryer combo brand new from Sears in 1996 and we had replaced several belts on the washing machine over the years. Unfortunately, there was nothing more we could do for the poor thing and I was left without a washing machine. We didn't have the money to go out and buy another new washer (not like we had been able to do, pre-children, in 1996) and with me doing about six loads of laundry per week, and two loads of cloth diapers per week, I was in desperate need of a new washing machine. My younger sister had used Rent-A-Center for a washer and dryer set in the past so she suggested we check them out.

I called our local store, which is only about three minutes down the road from our house, to see if they had any washers on hand. They did and suggested I come in to check them out. When my husband got home from work that day we did just that. I left with a contract on a brand new washing machine, even though the salesman tried to get me to buy a matching dryer also, which was to be delivered later that day.

My washer arrived and I was happily, or not depending upon how much you like doing laundry, back on my way to keeping the clothing and diapers clean again. Here I am, June 2007, just days away from paying off my Rent-A-Center washing machine. I have had excellent service from the employees at my local store, I have excellent service out of my washing machine and my washer is being paid off over a month early. But, would I do it again? Probably not if I could find a way around it.

Everyone says bad things about the rent-to-own stores, but no customer goes into the contract not knowing that they are paying double, if not triple, the price of the same household appliance or furniture as they would at a retail store. On the Rent-A-Center contracts they show you up front how much you will end up paying for the item you are purchasing. You know that a $300 washing machine will cost you $600 when it's all said and done. So yes, the rent-to-own stores do charge an arm and a leg for something as simple as a washing machine or television, but when you need a washing machine right now, and don't have the credit elsewhere, it becomes a last resort and people will use them.

So with all of that said, here are a few things that I have used over the last year and a half about shopping at Rent-A-Center.

Your Payment Prices

Pros: When you are short on funds and need a large appliance, the Rent-A-Center payment prices can be very appealing to you. I know that washing machines prices run around $10-$18 per week, depending on the type of machine you get. When you look at spending $300 up front over a simple $10 every Friday, sometimes you just have to go with the $10.

Cons: Obviously, the con to the payment prices are that those 60 weeks of $10 payments add up to a whole lot more than that $300 up-front payment for a new washer.

Length of Time

Pros: Having a contract that is a year and a half long on something like a washing machine ensures that you will have low weekly payments. All of the Rent-A-Center contracts are long like that in order to allow people to keep their weekly payments low.

Cons: Sometimes a long contract on something, like a computer, is rediculous because the computer can quickly become outdated. We all know how fast computers can become outdated. You buy a top of the line laptop and two weeks later something better comes out.

Interest Rates

Pros: Well, there really aren't any pros to the high interest rates at any rent-to-own store. Sorry.

Cons: The high interest rates are rediculous. For my $15 weekly payments on my washing machine, $10 was interest. Which meant I was only paying $5 per week towards the principal on my washer. Rediculous! My last payment on my washer is $32 to pay it off, even though I still had five weeks (of $15 payments each week) left on my contract. If I had continued with the last five weeks I would have paid out an extra $43, just in interest.

Service

Pros: My local Rent-A-Center store has excellent service. The staff has always been so friendly, even down to knowing my name when I walked in the door. We would chat and joke around and they were happy to answer any questions that I had for them. These were ladies and gentlemen that live right here in my own community and had families of their own. They delivered with they promised that they would, also. I never had any issues with my washer so I never required any service calls, but I feel confident in the thought that they would have provided great service if I had needed it.

Cons: Unfortunately, not all of the Rent-A-Center stores are as good as my local store. I've heard many horror stores about people getting downright harrassing service from the stores that they used for their rent-to-own items. Harrassing phone calls on the days that the payments were due, delivery times not being when promised, repairs never being done, etc.

Additional Store Credit

Pros/Cons: It was a little humerous and a little crazy the amount of times I received a letter in the mail stating that I had store credit and they wanted me to come in and rent something else. I never did it because, basically, I didn't want to pay more payments. I only needed that washing machine and that was it, nothing more. So not matter how much store credit they offered me I wasn't about to go in for anything else. Unfortunately, there are many people out there who would look at those little letters and jump at the chance to go into the store and pick out something else, that they didn't really need, but wanted. Ultimately, those people would be racking up some high weekly payments.

In the end a rent-to-own store can be helpful when you are in a bind, but I suggest that you only enter into a contract with one if you have no other options available. Don't go in there looking for a washing machine, only to come out with a top of the line washer/dryer combo, new bedroom suite and a brand new diningroom table. Especially if you only need a washing machine. Some people go overboard and then find themselves stuck in a deep hole that they can't dig themselves out of. I'll never understand the ones who go in there and come out with a 42" plasma television when no one NEEDS a 42" plasma tv. Be sensible about it if you find that you need the services of a place like Rent-A-Center.

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