If you want to buy a TV and have bad credit, you might encounter a few challenges. You might not get the loan that you want to finance this undertaking easily. In most cases, if you have bad credit, chances are that you might be denied a loan or get a loan amount that is quite smaller than the one you had initially requested. Other times, you might get a loan but get charged a high-interest rate.
The good news is that there are options when it comes to TV financing with bad credit. From taking personal loans to retailer financing, you can consider an array of options regardless of a bad credit score. This article will demystify this for you so that you can make a wise decision.
What To Know Before You Take TV Financing With Bad Credit
As you purpose to consider TV financing with bad credit, there are a number of issues that you should know. These include:
1. You should know your credit score first
This will actually determine the amount of money you will be awarded once you apply for a loan. According to the FICO credit scoring system, credit score normally ranges from 300 to 850. Any score that is at or below 580 is normally considered poor.
2. Do your research
Before you consider TV financing even with bad credit, you should research and determine the lenders who can offer loans at an affordable interest rate. This can actually help you save more money in the long run. It is also important to know the monthly loan payment you can afford and what APRs are common among the lenders. For optimal results, you should limit yourself to one lender. The more lenders you are able to come across, the better as you will have the luxury to choose the one whose loan terms suit your needs.
3. Save for a down payment
If you have a bad credit score, you can consider making a down payment on the TV you want. This will help you can increase the chances of securing and getting approved for the loan. By setting aside some extra cash every month for down payment, you can be sure that you will offset higher interest rates in the long run. In fact, this will help you qualify for better loan terms.
4. Consider pre-qualification with lenders
With prequalification, you will be able to see if you truly qualify for a loan before you apply. In fact, this saves you a lot of time when it comes to a loan application. This is because you will avoid unnecessary hard credit checks, which might negatively impact your already bad credit score. If you can prequalify with a few lenders, you will have an opportunity to compare the rates and terms you qualify for.
5. Advantages & Disadvantages of TV financing
Advantages
- Allows you to own a TV even when you have bad credit.
- More entertainment at home or at the workplace
- The process of loan application is hassle-free, therefore more convenient for many people.
- Use the loan for any purpose, in case it is more than enough to buy a TV.
- It can help build your bad credit if you repay the loan in time.
Disadvantages
- Sometimes, the loan interest rates might be high than you expected.
Best 3 Ways to Get TV Financing with Bad Credit
As mentioned above, for millions of people, the television is more than a simple electronic. It is actually the main source of entertainment. Besides this, it is a family bonding tool and a good way for distressing after you have had a long day at the workplace or in school. If you have bad credit, here are 3 ways you can get TV financing.
1. TV Financing Using Credit Cards
You will realize that credit cards have been used to finance retail purchases when you want to buy a TV for a long time now. The good news is that credit card option is normally available for almost any type of credit. This makes them a convenient option for many people out there.
If you have bad credit, chances are that you will be given low credit limits. Therefore, your TV of choice should be on the lower end. By doing this, you will be left with something extra to save at the end of it all. In fact, some credit card for bad credit normally offers limits of up to $500.Some of the credits that you should consider include:
Total Visa Card
The above-mentioned card is fast and easy to apply. After a few seconds, after you have made your application, you will get a response. Apart from this, it is normally accepted by different merchants nationwide across the US.
With this credit card, you will also be able to manage your monthly payments. If you want to have this card with bad credit, you will get credit up to $300.Also, you will get monthly credit reports from the major credit bureaus.
First Access Visa Card
Just like the Visa card, the First Access Visa card is easy to apply. The good news is that you can apply for this card online. What’s interesting is that you do not need to have good credit for you to get approved. Even with bad credit, it will be approved.
When it comes to credit, you can be sure to get a credit limit of $300 if you already have a bad credit score. It is important to note that this card is normally issued by The Bank of Missouri.
Milestone® MasterCard® with Choice of Card Image at No Extra Charge
To start with, you can prequalify for this card today, and your credit score will not be hurt. Apart from this, you can readily get this card even when you have bad credit. With this card, you will have 24/7 access to your account. This can greatly help you enjoy a lot of conveniences. Interestingly, this card is designed to fit your personality at no extra charge. However, your account history will be reported to the 3 major credit bureaus in the U.S.
When it comes to credit cards, you should bear in mind that those aimed at people with bad credit usually come with high-interest rates. In fact, some cards usually charge as much as 36% interest whenever one purchases something. Therefore, if you are looking for long-term financing, you should not consider these cards due to the high APRs charged on loans. Ideally, you should aim at paying off your TV purchase before the end of your credit card grace period. This way, you will not be charged any interest at all.
2. Personal Installment Loans For TV Financing
Sometimes, you might need more than a single billing period in order to pay off your TV purchase. In this case, you should consider taking a personal installment loan and repay it in installments. The good news is that installment loans usually have a lower interest rate compared to credit cards. As a result, they are more affordable.
When it comes to these loans, you will be required to borrow at least $500 or more. However, the maximum you can borrow will actually depend on your credit score. Also, these loan terms are not universal. They vary from one lender to another. Here are some of the lenders who have proved to be very effective :
CashUSA.com
With CashUSA.com, you will be able to get loans from $500 to $10000. Here, all credit types are normally accepted. When it comes to convenience, this lender does not disappoint as you will receive a loan decision in minutes.
Apart from this, you will get funds directly to your bank account. Finally, you can readily use the loan for any purpose you please. It is important to note that loans between $500 and $10000 usually attract an interest rate of 5.99% to 35.99%. Such loans should be repaid between 3 to 72 months.
BadCreditLoans.com
Here, you can trust that you will get loans from $500 to $5000.This lender has been in operation since 1998, offering loans to people with bad credit since then.
When it comes to funding, it is normally very simple and straightforward. In fact, you will be directly connected to the lender. Once you apply for a loan, you can be certain that you will get the money as soon as the next business day. Their loan of $500 normally attracts an interest rate of 5.99% and is payable within a period of 3 to 60 months.
PersonalLoans.com
If you choose this lender, you will be able to get loans ranging from $500 to $35000.Here, all credit types are normally accepted. Unlike other lenders, it is available in all 50 states.
Once your loan gets approved, you will be at liberty to use this loan for any purpose. When it comes to loan processing, it only takes 1 business day for you to get money in your account. Loans ranging from $500 to 35000 are usually repaid between 3 to 72 months respectively. Also, they attract an interest rate of 5.99% to 35.99% respectively.
As you consider these personal installment loans, you should know that monthly payment you will be required to make will be based on the amount you borrow. Also, factors such as APR and how long you take to repay the loan will affect the monthly payments.
It is important to note that the longer you take to repay the loan, the more the interest rate you will end up paying. As such, the total cost of the loan can increase in the long run.
Apart from this, an origination fee is normally charged on most personal loans. This ranges from 3% to 5% of the loan amount. You will note that the origination fee will be added to your loan amount at dispersal and can at times affect how much you receive.
3. Third Party TV Financing
Besides using credit cards and personal installment loans, you can consider using a third-party financing partner to fund your TV purchase. You will note that several retailers normally offer low-interest financing deals for transactions that are above a certain amount of money.
It is important to note that most store financing deals are currently offered through the merchant’s credit card. However, there are some that operate on the rent-to-own model.
Fingerhut Credit Account
To start with, it is very easy to apply using this third party financial partner. You will be able to build your credit history. It is worth noting that Fingerhut normally reports to all 3 major credit bureaus. Using your line of credit you will be able to shop a variety of items from brands such as Samsung, DeWalt, and so on.
Although Fingerhut started as a mail-order company, it is now fully digital. This means that you can get a number of products on its website. As mentioned above, you will get products from incredible brands such as Bissell and Samsung.
FlexShopper
You will note that FlexShopper is an online retailer that has over 85000 products from a number of popular brands. Here, users can readily apply for FlexShopper’s lease-to-own program and make weekly payments towards their purchases. You only need to make regular weekly payments for one year and then the TV will be yours.
It is important to note that qualified applicants can receive a spending limit of up to $2500, which is basically $113 a week. To qualify for a FlexShopper lease-to-own agreement, you will need to earn at least $1000 a month and have a bank account that is at least 90 days old.
Amazon
Amazon, through the Amazon.com Store Card, normally offers purchase rewards to Amazon Prime customers. Here, they are able to earn 5% back on Amazon purchases. However, it usually offers special financing to all its cardholders. As you purpose to get this financing, your order must be at least $149 for you to qualify.
Other ways to get Financing TV with Bad Credit
Apart from the above-mentioned methods of TV financing, you can now consider other ways of TV financing and you will be good to go. Some of them include:
1. Samsung financing
With Samsung financing, you will be able to enjoy instant credit upon approval. Also, you will be able to buy now and pay later with a $0 down payment. People who have been eligible for Samsung financing can now upgrade every year with Samsung Financing with credit back for your old device.
Interestingly, you can manage your Samsung Financing account online on the TD Bank website any time you want to pay your bills, view account activity, view the available credit, or check your balance.
2. Klarna Financing (For LG products)
When you shop on LG.com/us, you simply need to add products to your card, and if your order is eligible for Klarna financing or 4-interest free payments, you will see an option for Klarna at checkout. If you choose the Klarna option at checkout, you simply need to add a few of the requested personal details, and then Klarna will let you know if you are approved or not.
Finally, complete the checkout with Klarna, and you will receive an email confirmation and a reminder when the time is ripe to make payment. Generally, LG has partnered with Klarna to help give their customers flexible payment options for eligible purchases. This way, you will be able to own an LG TV with ease.
3. Amazon
As we speak, financing is now available to Amazon users through four credit card options. These include:
- Amazon Rewards Visa Card
- Amazon Prime Rewards Signature Visa
- Store Card Amazon
- Amazon Secured Card
If you are approved, the applicant will receive a credit limit based on his or her credit score, among other screening factors.
What to Expect if You Choose to Finance
Besides the lack of internal rewards for working hard and purchasing what you ever wanted, there are other downsides of TV financing. For instance, if you consider TV financing, you will be paying interest. In fact, you will be in debt for a certain period. Until you pay off the debt, you will actually be enslaved to it.
However, if you are able to save some money and buy the TV you have always desired, you will be happy. There is some gratifications that come with it. However, if you do not have patient to wait until you get enough credit, you can consider TV financing. If you consider this option, brace yourself for high-interest rates and so on. The only silver lining for this option is that you will be able to invest in the latest technology and even be a first adopter.
FAQ – Frequently Ask Questions
What is the fastest way to build credit?
If you have bad credit and want to improve it fast, there are many ways to help you get started. To start with, you should consider paying your bills on time. This is because how reliably you pay your bills acts as a good predictor of future performance as far as loan repayment is concerned. Secondly, pay off your debts and then keep balances low on your credit cards and other revolving credit.
Apart from this, you should only apply for and open new credit accounts only when you need to. In fact, you should open accounts in a bid to have a better credit mix, as this might not really improve your credit score. Finally, do not close unused credit cards. As long as these cards are not costing you money in annual fees, it is a good strategy to build credit.
Is TV financing and electronics financing same?
No. However, the process of financing is almost the same. For TV financing, you look forward to getting a credit loan in order to purchase a TV. For electronic or cell phone financing you can choose to buy a home theatre or any other electronic that you please. Here, you will look for finances to purchase this equipment. Since a TV is also an electronic device, it can also be grouped in the same category.
What is Rent to Own TV?
This basically refers to the process of leasing a TV, where you pay small premiums monthly until you can complete the entire amount of money needed to fully purchase the TV. Once you are through with these payments, you will now be in possession of the TV. This strategy has actually worked well for many people in the past. Rent to own TV is a good strategy if you do not have the much-needed credit to own one or do not want to part with cash upfront.
Why Denied TV Financing with Bad Credit?
Your credit card application might have been denied if you already have bad credit. Also, if you have unpaid collections, delinquencies, and high credit card balances, you might not get the much-needed credit. All these issues need to be fixed first for you to get credit from your financial lenders.
What credit score is need for affirm financing?
For you to be approved by Affirm, your credit score should be 640 and above. Also, since they normally conduct a soft inquiry, applying for a loan with Affirm will not affect your score.
Final Recap
If you have bad credit and you would like to own a TV, you should not feel left out. There are many options that you can consider. From personal installment loans to third party retailers, there are many options at your disposal. All you have to do is to make a wise decision and choose the one that suits you. Owning a TV with bad credit has become financing simpler than ever. Consider the above-mentioned ideas, and you will be able to purchase a TV of your dreams.
