The average consumer household debt in 2024 is at a record high, averaging £65,380 for every household. The Money Charity also reported that the total unsecured debt for every UK adult in June 2024 was £4,279. Given current conditions, it’s not surprising that more consumers are relying on furniture financing for their purchases. Buying furniture on bad credit is difficult. No credit check financing seems the perfect solution. Here’s what you must know if you plan on giving it a try.
What is No Credit Check Financing?
It’s a furniture instalment plan that allows buyers with bad credit to get what they need. It works similarly to a ‘Buy Now Pay Later’ plan. Many online furniture retailers and shops now offer beds on finance with no credit checks, allowing consumers to get what they need without going through the gruelling financial checks. Many consumers, who might be in a financially tight spot, fail the checks. Retailers and shops offering these no credit check plans provide consumers with a great deal of flexibility, allowing them the means to buy the furniture they need without worrying about checks and loan rejections.
What are the Details of the Plan?
Payment for beds on finance with no credit checks is easy. Buyers can buy and pay monthly or every two weeks until they’re done. For furniture financing, the loan approval isn’t contingent on the buyer’s credit history. That’s why it’s called no credit check. Consumers with a smudge on their financial history who now have the means to buy furniture can shop without worrying that their loan will automatically get rejected. That’s how customers can furnish their homes. Many often have to jump through hoops to receive loan approval. Shops and retailers offering no credit check plans provide a convenient, stress-free, and affordable way for customers to pay.
Is this the Right Plan for You?
While no credit check instalment plans sound advantageous, make sure you can pay it back. The short-term payback terms can be tricky if you can’t generate enough funds to pay the instalments on time or within the agreed period. If you buy a bed on a six-month instalment plan, you must meet the monthly payment deadlines. That’s why it’s perfect for consumers with the funds but who have a spotty track record or financial history. Many shops and retailers used to take one look at those spotty records and reject loan applications from those consumers. However, times are changing. And the flexibility offered by these payment plans also means more business for shops and retailers. So, if you’re confident you can pay off the debt, this is an excellent plan for you.
What are the Benefits of the Plan?
The plan offers numerous benefits, which include:
- Easy approval. Stringent credit checks can be a nightmare for consumers with a spotty financial record. Even if they have the money, the outdated credit check processes might hinder them and keep them from buying pieces for their homes. A flexible no credit check plan bridges the gap, allowing consumers to shop and pay without worries.
- Zero interest. No credit check plans usually have zero interest. Every time you pay, you don’t spend money on the interest. You’re only paying the amount you owe, giving you cost savings.
- Customers with no credit history can also use no credit check financing to buy furniture. The plan improves their creditworthiness when they pay by instalment. If purchasing furniture is a concern because you’ve never bought furniture before, a no credit check plan sounds like an ideal way to resolve any potential issues.
What Should You Remember?
Familiarize yourself with the process before applying for no credit check financing. Knowing what to expect will help you make wiser decisions as you shop for furniture.
- How do you apply for credit? Look at the company’s process. How convenient and easy is it for consumers? Are there too many requirements? Or is it fast, simple, and stress-free?
- How long do you wait? Some approval loan processes can take days. Some take minutes. Ask about the time frame for an accurate idea of how long it takes. That’s especially helpful if you’re in a hurry or have to work with a schedule in mind.
- How soon will you receive the furniture? Don’t think that just because you get approved for a no credit check financing, you’ll get the furniture before you even make your first payment. Some companies require you to pay a few times before they deliver the furniture. If the waiting time is an issue, then apply for financing earlier. Time it right to get the couch or bed you want by the time and day you want. It’s easy enough to plan and look ahead.
- How trustworthy is the company? Learn more about the company before choosing one to provide you with the necessary financing. Check out reviews and feedback.
