As one of the Walmart Moms I get the opportunity to introduce new programs and tell you all about interesting doings at the stores. This year I get to tell you all about the layaway program that Walmart has introduced just for the holidays.
Here are the basic details:
*Layaway runs from October 17th through December 16th. Layaway is not offered on Friday November 25th, aka “Black Friday”.
*Toys, Electronics and Fine Jewelry, in stores (not online) are the eligible categories. (note-items sold in the Electronics section such as videos are eligible. Toys sold in areas other than the toy department-such as baby toys-are not)
*Each individual item must cost at least $15 (not $14.99!) and you must put a minimum of $50 on layaway.
*There is a $5 service charge put items on layaway.
*When you put items on layaway you must make a 10% down payment based on the total value of items placed on layaway.
*There is not a schedule for payment-you simply must pay in full and pick up your items by December 16th. Items not paid for/picked up by December 16th will be cancelled. Customers will be refunded their payments made minus the $5 service charge and a $10 cancellation fee.
*Payments can be made at any register.
*You can use the Christmas Price Guarantee on layaway items. (I’m writing a post on that program tomorrow!)
Now for my thoughts on layaway!
The process was very easy-both putting items on layaway and paying at the register. Obviously I have not picked my item yet, but I expect that might be a slightly longer process. Obviously you will not only have to pay for your item, but you will have to allocate time for the associates to go and find it where ever they are storing things. I would NOT attempt pick up if I only have a very small time window. That’s just common sense!
Layaway is not for everyone! I have already had some comments to the video on my YouTube channel about the fee rate etc. One reader pointed out that paying $5 to put $70 worth of stuff on layaway was like paying 7% interest. Yes, that’s true. . . and normally I wouldn’t have put those items on layaway personally-but I wanted to actually go through the process in order to make a better video for you all (note: although this is a sponsored post actually putting an item on layaway was not required or compensated). Of course, if you were putting $500 of items on layaway, then you’d only be talking 1%. . . and the comments made me curious, so I did some checking around on the layaway programs of some other major retailers. The $5 seems pretty standard.
So when do I think layaway makes the most sense?
#1-If you can’t get credit.
Yes, there is a sizable portion of the population out there who may not qualify for credit, or who have cut up their credit cards to try to take control of their finances. Layaway offers those folks a way to purchase items for the holidays.
#2-If you don’t trust yourself to save
Some folks just don’t have the ability to save up. Or have a spouse who doesn’t-you know the folks I’m talking about, if there is money in the wallet or the bank account they will spend it. Not judging here! Just saying if you know you have issues with saving up larger chunks of money, layaway allows you to pay a bit at a time.
#3-If you can’t store/hide a big item.
Maybe you live in an apartment and want to give the kiddos a new bike for Christmas. Where the heck are you going to put it? If it’s on layaway then the store is hiding it for you! Granted, you have to pick it up by December 16th-but that means you only have to keep it hidden for about 9 days 
Just sayin.
#4-If you are afraid that a “hot” item will sell out, but don’t have the money to pay for it in full right now.
So what are your thoughts on layaway? Do you use it? Under what circumstances do you think layaway makes the most sense.
****This is a sponsored post****
Disclosure: This is a sponsored review I am participating in with the Walmart Moms. Walmart has provided me with compensation for this post. My participation is voluntary and opinions, as always are my own.
{ 3 comments… read them below or add one }
I did the layaway thing today, I saw the doll my daughter wanted (only one on shelf) and the MP3 player my son would like to have (only one on the peg hook) so why not stick it on layaway I thought to myself, then I know it is safely hidden, I did not have to pony up a lot of cash (no credit cards for X-Mas shopping this year’s rule) and I can easily pick it up when I pull the cash out of savings to finish the Christmas shopping in another couple of weeks. The one thing I had to remember nothing under fifteen bucks could go on layaway. We are doing three gifts per child and a sock full of goodies. Trying to focus on the reason for the seson and not give me, give me, give me I want to be the theme. My kids are getting older, a few nicely picked gifts will be cherished =) Plus we have one with a birthday in January (Clearnce Item she picks ot usually) and the next is in February. If they don’t get it on the X-Mas list and they don’t complain about it, funny how it works out to have that gift come at their birthdays!
:lol : about saving money but really if you don’t have a lot of money saving it could be hard. I bought a coach on layaway once, and I really think it was a smart move for me. Thing is I probably could have saved up and paid for coach but money was tight and it was easier to just spend the money in a I’m hungry buy a burger kind of way. Putting my couch on lay away allowed me to break the payments in two, but also once I had my couch I had my couch, no payments, no debt. I also had a picture in my mind of what I was working towards. my couch!
Becca-it seems like layaway was a really good option for you! Knowing you already had the item there waiting for you, having something to work for and envision as you saved can really help some folks. It also occurs to me that in some households there may be an individual who, oh, shall we say, has trouble saving. . . so if one partner really wants to save up for something and the other has a tendency to spend. . . well, having something on layaway that has a payment due might make sure the item actually gets purchased. . .