LEASE TO OWN

LEASE TO OWN VS FINANCING

Lease agreement between a business (lessor)and customer (lessee). The customer makes rental payments on merchandise for an agreed-upon period of time, after which the lease ends and the ownership of the merchandise transfers to the consumer

Financing means a financial institution provides the customer with the funds needed for them to purchase an item. In this scenario the items belong to the customer therefore they are obligated to pay back the funds to the finance company.

WHAT IS LEASE TO OWN

A contract where a customer has the option to purchase/own the items before the end of the lease agreement
Uown purchases the merchandise by paying the merchant up front and then lease the items to the customer over a fixed period of time
The customer gets to use the item but does not own it until they payoff the account
Instead of an APR (Interest rate) the customer agrees to a total amount split over 13 months
Each installment payment renews the lease to own contract
Customers can payoff at anytime
Customers can end their lease by returning the merchandise at any time

THINGS TO REMEMBER

Uown is a Leasing company
We do not charge interest; we charge a leasing fee- flat price
Do not imply in any way they are financing
Be clear they can payoff at any time
If asked, we have to inform they can return the merchandise
- - If so, at this point refer to the merchandise recovery process MERCHANDISE RECOVERY PROCESS

Use key words like “Up to 13 months”

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