Layaway plans have always been popular in times of financial difficulty. But you don't need to be strapped for cash in order to benefit from an installment plan. Here, test your knowledge of the Web-based resurrection of a once-ubiquitous payment option.
Online layaway differs from standard online purchasing in that:
The transaction is more secure and requires no personal information.
You receive your item via expedited shipping and can't return your purchase.
You provide only a down payment to start and then receive your item after completing installment payments.
Online layaway is offered by:
Stores that are only Web-based
Stores that have both brick-and-mortar locations and Web sites
All of the above
Many people use layaway as:
A money-management tool
An interest-bearing savings account
A way to hide their spending
A typical down payment in an online layaway plan might be:
Layaway plans often offer flexibility in which of the following features:
Length of time and installment amount
Length of time and interest rate
Interest rate and installment amount
To use a layaway program, you usually have to pay:
The cost of the item plus 10 percent
A service fee
You can only use online layaway if:
You can get online.
You have a high credit score.
You have a credit card.
Which of the following types of products are available for layaway?
All of the above
What happens after you make your final payment?
You enter a lottery to win the item.
You pick up your item or arrange for delivery.
You're refunded the layaway service fee.
If you cancel a layaway contract before the final payment, you may need to:
Pay a cancellation fee.
You can't cancel an online layaway contract before completing payment.