Electronics For Rent? Should You Lease Furniture?

Companies like Rent-a-Center and Aaron’s offer electronics for rent as well as furniture and beds, but does it make sense to rent instead of paying cash?

 

Rent-a-Center and it’s competitors offer convenient options to rent furniture, electronics and even smartphones to consumers who can’t afford to pay cash all at once. By design, the rental company charges a large premium over the cash price, which is broken into weekly or monthly payments on the electronics you lease.

 

I Made The Mistake Of Choosing Electronics And Furniture For Lease Instead Of Buying New.

 

When I was a little younger and just getting on my feet, I decided the Rent-a-Center in my area was a good place to start looking for furniture since I didn’t have enough money to pay cash up front. Needless to say, I found out quickly the damage I was doing to my personal finance by using a “furniture for rent” company.

 

By electing to rent a couch and television instead of buying used or saving the money to pay all at once, I subjected myself to payments of almost sixty dollars a week. That’s over two hundred dollars each month to sit on a fluffy couch that wasn’t all that comfortable and turned out to be used, not new like I was told by the sales rep from RAC.

 

In contrast, you can find a reputable used car dealer to buy a vehicle from for the same monthly payment. At least with the car I could resell it and get a good chunk of my cash back. If you don’t think it’s possible, get a quote on used cars from Yahoo here and see what Im talking about.

 

Couches and other furniture rarely hold much resale value and you have to first pay it off before thinking about selling it.

 

Electronics for rent are even worse because they offer flimsy warranties and once it’s void, you’re stuck paying for the device whether its in working condition or not. At least if you buy electronics new and they break, you’ve already paid for them and you don’t have a constant reminder when the bill comes due each week.

 

If the two hundred dollar monthly payment doesn’t scare you away, maybe the $2500 final price tag will do the job. 

 

You may have heard people say things like, “If you need it and can’t pay cash, renting is a good option”. I disagree entirely and would urge you to either save up enough to pay cash or consider buying a used couch or electronics from Craigslist or friends. If you can’t find the device or furniture you want, give it time. Sites like this one can help you find coupons for up to 50% off at local furniture stores and the best part is, you’re not likely to have a hard time finding the device or furniture you want to buy.