If you’re looking to stock up on holiday gifts, but need some time to pay for it all then Kmart’s No Money Down Holiday layaway plan is the way to go.
After researching how it works and trying it out myself (along with 5 other testers), I can report it is easy to use and a convenient tool for shoppers.
Just to be clear, this is not the same as Kmart’s Lease To Own program, which, subject to a credit check, lets you take items home and pay them off over time.
Instead, with layaway you make payments, but do not get to take the items home until they are paid-in-full, which is why there is no credit check required.
So, now that you understand the difference, here’s everything you need to know about Kmart’s holiday layaway and how it could help you.
The plan can be used in-stores and online: in-store use requires NO money down; online use requires just 1 penny (we were all charged just the 1 cent).
I will note that on the site it says at the bottom that a $5 service fee is required, which is not charged when you sign up but IS added to your total purchase price.
Those using it have 8 weeks to pay (separated into 4 bi-weekly payments) in-stores and online, with in-store users who spend $300 or more having the option of a 12-week plan (spread over 6 bi-weekly payments).
Anyone who misses a payment has a 7-day grace period: after that the items are no longer held and you are charged a $10 cancellation fee.
Also, anyone who wants to cancel can and will have their payments refunded, minus the $10 cancellation fee.
Kmart members (it’s free to join) get $10 off layaway purchases of $50 or more with the code LAYAWAY10.
Some items cannot be used with layaway (such as red tag special buys and others, which you can view here), but it is a relatively short list.
Overall it is a good plan, especially since there is no interest on the payments.
That makes this a nice option for anyone on a budget looking to make their holiday shopping a bit easier.
It also lets shoppers who may not have the money at the time of a sale get them at sales price or grab an item before it sells out.
The one down side is that layaway is not available during Black Friday, one of the biggest shopping days of the year.
However, considering all the pre- Black Friday sales that are going on before the holiday, I would say shoppers won’t be missing out.
What do you think of Kmart’s No Money Down Holiday Layaway plan?
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