Personal Finance

5 Top Stores That Offer Bad Credit Furniture Financing

August 7, 2023

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Did you get a home or office and are deciding to furnish it, but unsure you will get any loans or credit due to bad or no credit history? The answer to all your worries is furniture stores with bad credit financing schemes.

These stores allow you to buy furniture without a credit background check. So it does not matter if you have a bad credit score. The types of financing services provided by these stores differ from one another. Still, they all share the same goal- guaranteed furniture financing.

Here we present 5 top stores that offer bad credit furniture financing for your needs. Happy shopping!

Table of Contents

5 Furniture Stores With Bad Credit Financing

FlexShopper

Although FlexShopper is new to the guaranteed furniture financing business, since its arrival, it has taken the market by storm.

It provides the furniture in a lease-to-own financing plan. In a lease-to-own plan, the company contractually leases the furniture to the customer for a certain period. After this period, the customer has the option to buy the furniture from the company.

What does FlexShopper require?

To finance furniture with bad credit holding customers, FlexShopper has a flexible credit requirement criteria. You just have to-

Be at least 18 years old to sign a contract.
Have a bank account that is at least 90 days old.
Show earning proof of a minimum of $1000 per month.

Why choose FlexShopper?

The main reason why you should choose FlexShopper is because of its easy and flexible payment program. They offer a credit line of up to $2500 for a year, including some extremely convenient waiver programs like Involuntary Unemployment Payment Waiver and courtesy waiver in case of the customer’s death.

Rent-A-Center

Presently Rent-A-Center is a trendy choice among the well-known furniture stores with bad credit financing. With over 2000 stores across the American subcontinent and being in business since 1973, Rent-A-Center is a common choice among many people.

What does Rent-A-Center require?

Rent-A-Center has very simplistic requirements to incorporate furniture financing for bad credit customers in their business model. You just have to fill out and submit an application along with proof of regular income.

Upon approval of your application, you have to sign a finance contract. In this contract, you can decide how often you want to pay, for how long, and even the date you want the furniture delivered to your home. Once you have made all the payments in time, you become the owner of the furniture.

Why choose Rent-A-Center?

Rent-A-Center has a long-standing reputation as a popular and active business striving for your satisfaction. And also, any furniture you can possibly imagine for any place- living room, bedroom, kitchen, dining room, or even your office or studio- Rent-A-Center provides furniture financing for bad credit for literally anything. This is why Rent-A-Center is so convenient.

Aaron’s

Like FlexShopper, Aaron’s also provides a lease-to-own plan, unlike many other furniture stores with bad credit financing schemes.

The business was established in 1955, and since then, they have expanded heavily across the United States.

What does Aaron’s require?

Aaron’s has a quick and easy approval process as a furniture store financing for bad credit. You need to submit the following documents while applying-

Proof of Identity
Pay slip verifying the source of income
Residence certificate
A minimum of three references.

Why choose Aaron’s?

Aaron’s is one of the oldest and most prominent companies that finance furniture with bad credit. You can find any furniture and electronics you need for furnishing your home here without any doubt. The ease of leasing products, the vast range of merchandise, and the market trust built over the years makes Aaron’s a good choice for you.

Bob’s Discount Furniture

Bob’s Discount Furniture is one of the most famous and budget-friendly furniture stores with a bad credit financing scheme. With a vast and diverse furniture collection and affordable price range, it is a clear winner option for you.

What does Bob’s Discount Furniture require?

It is extremely easy to buy furniture from Bob’s because you do not have to produce or submit any financial documents. You just have to fill out an application form, and Bob’s will decide on a personalized financing option for you, depending on your responses on the form.

This “No Credit Needed” option makes Bob’s Discount Furniture an excellent choice for guaranteed furniture financing.

Why choose Bob’s Discount Furniture?

The main advantage of choosing Bob’s Discount Furniture is that you can build your credit history by paying all the installments on time. Also, many banks like Wells Fargo partner with Bob’s and offer no-interest financing options- which is a huge plus.

Furniture Mart

Furniture Mart is a leading company focusing on online furniture sales and furniture financing for bad credit. It mainly focuses on online furniture sales, home decor, and office supplies, along with its physical stores in Minnesota, South Dakota, and Iowa.

What does Furniture Mart require?

Unlike other furniture stores with bad credit financing, you usually do not have to get your lease application approved by the company itself. Instead, you will have to file an application with Wells Fargo for a Furniture Mart credit card, which allows you to set the tenure from six months to six years.

It also has two other financing options. You can opt for the leasing plan, which does not require any minimum credit score. There is also the option of layaway, where you have to pay a 25% downpayment and then decide and negotiate with the company to determine the repayment terms for the rest of the cost.

Why choose Furniture Mart?

Furniture Mart’s uniqueness stems from the fact that it has widely diversified its furniture purchase options for its customers. This gives you more choices and freedom to set up your payment plan depending on the terms of each option. As a furniture store, financing for bad credit is a huge positive point for Furniture Mart.

What Information Should You Have Before Applying for Furniture Financing?

You must allocate a sizeable portion of your budget to purchase furniture; if you don’t spend that money properly, you might regret it.

If you don’t want to participate in debt cycling, then before applying, keep these crucial considerations in mind:

Examine Interest Rates

Because so many direct and in-store lenders might provide furniture financing, compare all the offers you receive from different lenders. Some might have higher rates, but the pace at which they can finish the furniture loan is acceptable. When you apply for a furniture loan, thoroughly read all the terms and restrictions.

Store cards have higher interest rates

If store cards have higher interest rates and you want to use a credit card to buy furniture, you should search for a card (not issued by a particular retailer). Store staff can provide details on specific refund arrangements.

Special Furniture Offers

You could spend less on the furniture purchase if a particular discount or offer is available; as a result, you should ask store representatives about the offers. If you can find a deal on furniture that allows you to get it for the best price, you can reduce your financial strain.

Refrain from using rent-to-own financing

Rent-to-own finance may not be a good idea. Most retailers tack on some extra fees to the actual retail cost. In some situations, the cost of your furniture purchases may be complete by being double.

Choose the Offer That Suits Your Requirements

Following your loan application to direct lenders, the network of lenders will present you with their offers. Select the deal that best matches your needs in terms of convenience and suitability.

Maximum Repayment Timeframe

Choose the longest payback period possible for your furniture financing because you can only receive it for 24 months. But, it becomes crucial if you’re seeking cash advances for it. The shorter term you have selected for loan payments may allow you to repay the loan sooner.

Have a look at Other Funding Options

Several additional choices should be considered if you borrow money for home items. A friend or family member could assist you in this circumstance. You could also pledge your other possessions as collateral to obtain the required funds.

Frequently Asked Questions

What Exactly is Furniture Financing?

Furniture financing is a system where you, the customer, can get ownership and possession of the furniture right away after signing a contract with the financing company. You have to pay that company on a regular basis throughout the period mentioned in the contract until you have paid in full for that furniture.

What is “No Credit Check” Furniture Financing?

“No Credit Check” furniture financing is where the furniture stores do not need to check your credit score or credit history to approve your financing. Usually, in these cases, you need to prove that you are an adult capable of signing contracts and a working individual with a certain regular income. The income value depends on the store policy.

Is a Good Credit Score Necessary?

In case of bad credit financing, you do not have to use your credit score for leasing furniture; you just need to show that you have a valid source of income.

What Happens if I Fail to Pay the Installments?

Suppose you fail to pay the installments or pay an installment later than the due date. In that case, it negatively impacts your credit history. Your credit score decreases- which can severely impact you later financially. Furthermore, you are charged an additional penalty, the rate specified in the leasing agreement. In the case of non-repayment, furniture stores with bad credit financing have a system that can take legal action against you.

Can I Build My Credit by Leasing Furniture?

Of course! The companies that finance furniture with bad credit lease you furniture as an EMI or loan system. Suppose you can repay all the installments in time. In that case, it builds up your credit history even if you do not have any prior credit history.

What if I do not Like the Furniture After Using it?

Most stores allow you to return the furniture you have been leasing during the lease period. Take it as you have been renting the furniture before for the time you kept it.

Can I Complete the Application Process Online?

It depends on the store policy. Although many stores offer both online and offline application processes, some of the stores specifically need you to apply offline by being physically present at the store.

Conclusion

At the end of the day, whether you are a student who just started his financial journey or a person with a bad credit history- no one should be living uncomfortably without any furnishings. Apart from the ones mentioned above, there are a lot of furniture stores with bad credit financing schemes which allow you to lease their furniture and even buy them after the lease period.

This type of financing also helps you build up your credit history, which is a huge advantage. So, no matter what your credit score is, elegant and affordable furnishings will be at your fingertips with these options. Go ahead and choose the best service for you wisely!