Tag: business finance loan

How Consumer Financing Can Skyrocket Your Sales

consumer finance

According to a study, nearly 50% of consumers have sub-prime consumer scores. You might ask who these shoppers are. Well, these shoppers are those who cannot buy products easily of their choice because of their low credit scores. Also, they neither can apply for credit cards nor they are eligible to avail some of the most traditional financing options.

Although, on the other hand, Retailers can just look on helplessly. They can’t reach out to these shoppers because of their low creditworthiness themselves. Thus, no credit cards means loss of business worth hundreds of dollars every month.

Though, there are some innovative fintech companies who help out retailers as well as consumers. These consumer financing companies help businesses by customizing financing platforms for them. It recognizes that no two businesses are same that is why, every consumer financing scheme by them are different from the other. Companies like Zip loan are some of the best places to grab these services.

Who needs consumer finance?

Nowadays, credit funding and loans are some of the most common financial aids that a major portion of the population is in need of. Broadly speaking, there are 3 kinds of consumers who would need aid from financing services.

  1. Prime consumers– This set comprises more than 90 million consumers. People under this category are major buyers like small or medium scale business owners.
  2. Near Prime– 50% of these consumers don’t have 10-20% of revolving credit. There are more than 50 million consumers in this group. Thus, due to a slightly low creditworthiness, they also suffer due to inadequate funds.
  3. Sub Prime– Lastly, there are more than 65 million consumers in this set who don’t or won’t apply for credit for fear of rejection. These people might or might not have the minimum credit score but are always on the lookout for credit funds.

As one can see, there is a substantial business opportunity here. More than 200 million consumers require consumer financing plans.

What are the plans offered under Consumer financing?

Not every shopper is able to pay with cash while buying products. If the average selling size of your products are $300 or more, then 90% of your window shoppers will never again land up in your store. But, with the help of affordable and flexible consumer finance plans, you can win back these Shoppers. Provide value and not price through these schemes. Following are some of the plans that are offered under Credit financing by fintech companies:

  • Loans on instalment
  • Lease finance
  • Monthly rental payments
  • Bancard
  • Private label card
  • Same as cash
  • Products covered

What are the items that come under these financing plans?

Every person has a different need for credit. Some are facing problems while purchasing automobile parts while others are in the need of household electronics. So, here are some of the many items that are available under consumer financing plans:

  • Consumer Appliances
  • Consumer Electronics
  • Exercise and Sports Equipment
  • Car Stereo and Alarms
  • Musical Instruments
  • Bicycles
  • Other products priced over $500

This is how consumer financing works. You can avail great financial aid by availing these services. So, if you too are looking to buy some expensive items, then do check out some financing plans and choose the company that offers them with the most suitable features for you.

Want to Buy Furniture, But No Cash? Switch to No Credit Check Furniture Financing!

consumer finance

No matter wherever you are living, a home should look like a home! It should have a cozy corner to read your favorite novels, airy dining space, and a must have a yellow couch where you can lie down whenever you wish. By the time you get enough savings to buy the décor for your dream house, it might get tiring to live with the cranky old furniture or sitting on the floor with your favorite novel.

Worrying about the budget for furniture? Not anymore. Don’t compromise with your décor for budget constraints. There is a variety of zero investment home financing options. Some of these don’t even require proper credit checks. To choose the correct one to take the advantage from, here is a rough guideline:

  1. Find the right shop

Agree or not, offline stores offer great benefits for the customers. For a ‘co-credit’ purchase, one can try finding shops which allow purchase either at zero down payment or a low down payment. These shops are open to bargaining, and most of them sell antique furniture. Don’t feel shy to ask the store manager about their schemes. It might be totally in cash or might follow a monthly or yearly plan. Be sure to check their agreement details and know what you are signing up for.

  • Watch out from ‘fraud ads’!

There are several shop advertisements with 0% interests for a few months, which implies, one have to pay zero attention monthly but have to repay the sum simply before the allotted time.

Don’t trust these deals! They are made to attract customers and fool them. The 0% rate works a little differently. Whenever someone pays their bill late, it might be that the 0% facility is withdrawn and your balance gets added by the money calculated as interest. One can avoid such misery by paying their bills in due time or switch to autopay services.

  • Craft your ideas!

If you cannot find the perfect couch or tea table for your living room, paint it. Simple! There are a lot of YouTube tutorials and a wide range of paint brushes available. Try pasting wallpaper and stick it to your bookshelf. This will not only bring life to your room but make the furniture look brand new.

Else, you can find the shops who will design your furniture exclusively for you. If you want the total work in a credit or less down payment, try negotiating with the shopkeeper for a no credit check furniture financing. That’s all!

  • Save yourself from paying a large interest payment

Zero-interest payment is a great deal if one pays the loan money within the period. If one is unable to go for such processes, try looking for low interest facilities. In case you are paying interests, save cash from your monthly expenses and regularly pay the bill. Once you fail to pay the amount within time, your credit card company will keep adding up the interest charges. This amount might get expensive to clear, so always keep that in mind.

Conclusion

Choose the things you are comfortable with, in your home. Don’t select random armchairs since you are getting it on lousy credit. After all, you are the one who has to pay for it, today or tomorrow!