Layaway making a comeback - KWWL - Eastern Iowa Breaking News, Weather, Closings

Layaway making a comeback

IOWA CITY (KWWL) - It's a plan that not many stores offer anymore. But layaway is making a comeback.

"There's no interest, and you can pay on it bi-weekly," says Amanda Rairden of Tiffin. She has placed several of her items on layaway over the years, including Christmas gifts. "We put a dining room table [on layaway], and lots of bigger toys."

Nancy Forrest, an Assistant Coach at Kmart, says the service is becoming increasingly popular with store customers, as both home and holiday budgets tighten. Kmart, one of the few stores left to offer layaway, allows a customer to make a 10% downpayment on an item's total cost, at which point it goes to storage. The customer then has 8 weeks to pay for the item in full, and they're required to make a payment at least every 2 weeks. When the item is paid for, it's there for the customer to pick up.

Forrest says that goes for just about anything at Kmar, except for food, plants and clearance items.

Rairden says layaway is especially useful for more expensive purchases. "It gives you a chance to get bigger-ticket items without having to pay interest." No interest means more breathing room for those on a credit limit, or simply strapped for cash.

"For those can't put out the large amount of money at one time, it gives them a chance to pay for it over a period of time. That's just the way a lot of people like to do it."

Kmart is one of the few retailers that still offer a layaway plan, but some stores that specialize in shoes and jewelry also have them.

Online Reporter - Brady Smith

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