Consumer finance: The layaway way

A new lease of life for an old scheme THE worst economic crisis since the Depression of the 1930s has brought back one of that era’s innovations—with a modern twist. American consumers, caught in the credit squeeze or unwilling to pay extortionate interest rates on their credit cards, are rediscovering the delights of the layaway plan. For those readers who are rather too young to be familiar with the idea, a layaway plan allows a buyer to pick a particular piece of merchandise which the shop puts in storage. Over a set period of time, typically one to three months, the buyer makes small payments towards the total cost. On full payment he or she receives the goods. If he cannot complete the agreement the payments are refunded, minus a service charge. ... (link)