It is a truth universally acknowledged that modern homes cannot function without electric appliances. If you feel like one of your home electronic appliances is nearing the end of its lifespan and are worried about the cost of replacing it, this blog is for you. Keep reading to find out the various options you have to fund the purchase of home appliances.
Personal Loan
As we’ve already established, home appliances are a necessary part of modern life. But, you shouldn’t have to empty your pockets to upgrade your home. This is where personal home improvement loans come in. They allow you to borrow a set amount at a fixed rate, which you will repay through monthly payments over the period of your loan term. Most lenders prefer borrowers with a high credit score as they are more likely to be able to repay the loan. So, if you have a poor credit score, it might be harder to secure permanent loans. But, worry not—there are several other purchasing solutions you can use to buy electric appliances.
Home Equity Loan
If you have a low credit score, you can use your home equity to pay for electric appliances. You can typically borrow up to 80% of the value of your home with a home equity loan. This way, you will receive a significant amount of cash upfront, for which you pay a fixed rate every month until your loan term ends.
Home Equity Line of Credit
Similar to a home equity loan, this type of loan also allows you to tap into your home equity. But, with a line of credit, you can only borrow up to a specified amount of money. Once you pay back the line of credit, you can reuse it over and over again as and when you need it.
Credit Cards
Credit cards are a better option than debit cards and cash transactions for making major purchases. When you purchase big-ticket electronic items on a credit card, you can not only earn points, but many cards also provide insurance on these items when they’re purchased using the card. Some of these insurances come with an extended warranty, often doubling the length of time the manufacturer provides. And if you use your credit card responsibly, you won’t have to pay interest and will not get into debt.
Government Loans and Utility Rebates
There are various government loan programs, including the FHA’s Streamlined 203(k), where homeowners can finance up to $35,000 into their mortgage to repair or upgrade their homes. You can also lookup rebates on Energy Star appliances. Though a lot of them are mail-in rebates and involve an extra step, they are worth it as they can help you save more money.
Lease-Purchase Options
Okinus Credit Solutions’ flexible lease-purchase programs allow you to buy the appliances you need without using up all your savings. The best part is that you don’t even have to have a high credit score to qualify.
Once you find the home appliances you need, it is best to start looking into purchase solutions to help make the purchase more affordable. Reach out to Okinus Credit Solutions for a consultation today!
