What you need to know about Acima lease-to-own financing
Acima offers lease-to-own financing for furniture, appliances, outdoor goods, eyewear, jewelry and much more. Because the company considers more than credit scores when you obtain a loan, it may be a great fit if you have bad credit or no credit rating. You can apply for Acima financing online, in your mobile phone or in a participating store.
Acima offers lease-to-own options which range from $500 to $4,000.
How Acima lease-to-own financing works
If Acima approves your application, you need to remember that you won't own your items at first. And you will have to make an initial payment – usually between $0 and $70, according to Acima – before you'll receive the merchandise.
The company offers lease relation to 12, 18 and Two years, having a couple of early purchase options.
- 90-day early purchase – When you purchase this option, Acima says you'll spend the money for \”Acima cash price\” for that merchandise along with your initial payment along with a purchase fee. The purchase fee varies by state, however the company says it's typically $25.
- After 90 days – You can still purchase your merchandise before your term is up – usually for around 65% of the remaining total lease amount having a lump sum payment.
The company notes that in cases where you make all lease renewal payments, you can end up paying approximately double the original invoice cost of whatever you're buying.
Unclear total costs
Acima says your \”payments are based on the value of the item you select and the price of lease services.\” That means you will not know precisely how much your financing will definitely cost until after you apply.
No minimum credit scores
While some lenders look primarily at the credit scores when deciding whether to approve you for financing, Acima considers additional factors. Your income history, monthly income, checking account and bank account activity will all be evaluated whenever you apply.
With this approach, Acima may help you get financing you could not enter the past because of low credit scores.
A closer take a look at Acima financing
Here are several other things to know about Acima financing.
- Return policy – If you wish to return marketing, you'll have to contact Acima to go over the issue.
- Credit reporting – Your payments is going to be reported to Experian, one of the three major credit bureaus, so that you can construct your credit – if you are approved for financing with Acima – should you pay it back promptly and based on the terms.
- Lease cancellation – If you don't need or want your items, Acima does allow you to cancel your lease without penalty. But you'll have to contact customer support to process your request.
Who is Acima financing good for?
If you've less-than-perfect credit, have to buy immediately and just need the loan short-term – strictly under 3 months – Acima could work for you personally.
But if there's any doubt you are able to repay it that quickly, you will want to avoid this lease-to-own financing. If your credit is within pretty good shape, consider other financing for example a personal loan or perhaps a charge card, which may cost less and come with longer repayment terms than Acima offers.
How to apply for Acima financing
There are three ways to apply with Acima Credit: online, in your mobile device or in someone store. Acima says it will issue an immediate credit decision when you develop a brief online or mobile application.
To apply, you will need to provide the following:
- A U.S. government-issued photo ID and Ssn or individual taxpayer identification number
- Three months of history together with your current employer or current source of income
- At least $1,000 price of deposits per month inside a checking account that's been open not less than 90 days
- A view into your checking account so Acima can look for any good reputation for insufficient funds charges, excessive overdrafts or negative balances
Not sure if Acima fits your needs? Think about these alternatives.
- Avant personal loan: If you want more time to repay marketing, an Avant personal loan can be a better option since it offers longer loan repayment terms.
- Affirm personal loan: Since some retailers that partner with Affirm offer no-interest loans, an Affirm personal loan may be a less expensive option.
