If you are a business owner looking for alternatives to traditional consumer finance options, in store financing might be what you are searching for!
You can create your own consumer credit card
Financing Your Way is partnering with retail businesses to introduce in store financing. The program allows small businesses to create their own consumer credit card to make large purchases more manageable for the everyday consumer. Business owners can offer this program as an alternative to traditional consumer finance programs to capture lost sales and offer more flexible terms to their clients.
Approvals are less strict than traditional credit cards
Since the program is does not utilize traditional underwriting methods, approvals for consumers are easier to obtain. This means your client can has a better chance of being approved for in store financing than with more traditional options. Clients with subprime or no credit are not disqualified from your in store finance option, but may have to pay higher interest rates in order to borrow.
You can help your customers improve credit
By offering in-store financing, your business will improve the credit scores of your consumer when they make consistent and on-time payments. The timely payments will be reported to the three credit bureaus which will help them qualify for more traditional finance options in the future.
You typically see less consumer negotiation
When your client is interested in in-store financing, they are not bringing cash to the table, so you are less likely to encounter pricing haggling. The negotiation power will be in your business’ hands and you can offer the terms of your in-store financing programs without encountering opposing arguments.
You have the ability to offer interest free financing
It is not uncommon for businesses to offer 0% financing, if the consumer pays their debt off within 12 months or less. This is a great way to encourage your consumer to make timely payments so that they pay less in the long run. It will also encourage add-on sales or higher tickets because the customer feels safe making a larger purchase.