Buy Now Pay Later Electronics No Credit Check:-Generally when you apply for financing options to purchase electronics, a thorough credit check is made to check your credit score, and credit history to ensure that you will be able to pay regularly. But a few USA-based companies are offering Buy Now Pay Later electronics with no or lenient credit checks. The list includes but is not limited to – Fingerhut, FlexShopper, Klarna, Rent-A-Center, and Affirm. The loan amount and interest rate vary.

“Buy Now Pay Later” Scheme Advantages And Disadvantages:- Every financing option has a list of pros and cons. Before considering the lucrative option for buying electronics, it’s important to go through the list and then decide if it would be the best choice for you or not.

Advantages – 

It’s convenient for your budget planning. Way lesser interest rates compared to credit cards. Possible to qualify even with a low credit score. Easy and fast approval.

Disadvantages – 

Delay in payment can damage your credit score. Encourages impulsive spending. Lump-sum of interest may be added if you miss a payment.

FingerHut:- American online retailer shop. Offers Fresh start loans for clients with bad credit scores. A deferred payment option is not available. A minimum down payment of $30, is required to be approved for a Fresh start loan.

FlexShopper:- Flexshopper financing allows you to rent an electronic appliance while you continue making weekly payments as per the electronic lease contract. No credit check is required to opt for this. Once you pay off the total amount, you own the product. Their weekly payments start as low as $4. The criteria for applying are – 

The client must be an adult. Minimum monthly earning – $1000. A bank account that has been open for at least 3 months.

Klarna:- Klarna does run a soft credit check for their “buy now pay later payment” option. However, it’s quite easy to get approved. This option splits the cost of purchase into 4 interest-free bi-weekly payments. They also offer to finance, but a strict credit check is done for that.

Rent-A-Center:- A rent-to-own company based in the USA. Make regular low payments as long as you want to rent an electronic appliance, and no penalty fee if you pause or stop paying in-between. You can resume later from where you left off to continue purchasing the product to own it permanently. They review many factors other than a credit score, so not having a good one won’t hurt your chances. Moreover, they also don’t report your credit history to the bureaus, so no need to stress about your credit score dropping even lower.

Affirm:- Affirm offers credit limits up to $17400 and has a special category for black-owned businesses. Similar to Klarna, Affirm also offers a “Pay in 4 installments” option where you pay your installments every two weeks and a monthly payment system where you pay the entire amount within 48 months. Affirm doesn’t run a hard credit check so even if your credit score isn’t high you would get approved for their financing options. 

More Options To Explore:- You might consider exploring shops such as Sezzle, Zip, PayWithFour, Venue, Credova, Midnight Velvet, Oui Oui Frenchie, Wayfair, and Zebit. Some of them might run a soft credit check and the credit limit, interest rate, minimum deposit e.t.c would vary from person to person.

Conclusion:-

“Buy now pay later” is a constantly growing scheme implemented by almost all the shops that offer financing options. You need to be careful while choosing this alternative since it can also cause a quick build-up of a large amount of debt if the user turns into an impulsive buyer. However, as long as you have a planned budget that enables you to make regular payments it’s perfectly fine to opt-in for this even with a bad credit score. Chances are you would be approved.

 Is my credit score good or bad?

A credit score in the range of 300-550 is considered bad and a credit score over 670 is considered to be good. 

Can BNPL hurt my credit score?

Typically stores offering BNPL don’t report to the credit bureaus and therefore it can’t help or damage your credit score as long as you continue to pay on time. There might be some exceptions though.