Finance Agreements sometimes have a reputation of being troublesome, but with the cost of living climbing all the time setting up a financial plan to pay off items such as a flat screen TV or washing machine can make sense. It is possible to arrange a finance agreement using an online shop but the deals and availability are somewhat limited compared to the high street. So if you’re thinking of applying for finance soon take notes as it may save you much needed cash in the future.
Inside the Shop
When entering any shop you will either know exactly what you want or you will need some time to evaluate the products on offer. Either way if the shop is any good a sales advisor will start helping you, they are paid to gain your trust so you buy lots and with them. It’s best to tread carefully, listen to any information they give you and don’t be afraid to ask questions this is your money after all.
Make sure you have literature
Most people tend to overlook this, possibly because they now completely trust the sales advisor or perhaps you’re just excited about the product you are buying. Either way there should be a leaflet or similar explaining the basics of how the finance agreement works, read the small print to check there are no hidden charges and if there are, that they are fair. The loan you are asking for is usually supplied by a separate finance company as they will be loaning you the money and not the retail shop. By doing this you will be in the know with the type of agreement you will soon be entering into.
Qualifying for finance
This is the most crucial part; finance agreements are always processed on a computer. Therefore make sure you can see the information that is being placed on your behalf (even the best sales advisor in the world can still make mistakes). Question what information is being asked of you and do tell the truth, because in order to get financing your credit history is checked via third parties such as councils, mobile phone operators, utility bills and anything that has your name on it. At the end you’ll either be accepted or declined, if you’re declined it will have an impact on your credit rating so bear that in mind, finally make sure your personal details are erased from their computer before you leave.
Signing your life away
Take your time reading the details of the printed finance agreement, even if the sales advisor starts to give the impression he’s interested in commission from the next customer. Make sure you are able to cancel the contract as well as how much time you will have to do that, the contract must reflect what you have read and been told so far and finally ensure everything is signed and dated otherwise you could end up wasting your time coming back just to sign a piece of paper. Don’t forget to get a complete copy of the agreement.
After Leaving the Shop
Well done! If you’ve followed the previous steps then you shouldn’t encounter any problems in the future with your agreement. More documentation will follow so check the information given and above all remember to keep up your payments and correspondence – if your finance agreement is paid off with zero snags after the given term it will improve your credit rating.
Whilst it may seem less people are shopping in the high street they won’t be disappearing anytime soon. So don’t forget to shop around and make sure you get the best deal from as there can be some excellent finance plans out there, just make sure you don’t get bitten by the nasty ones!