While the explosion of the buy-now-pay-later industry has been credited with granting financial access to a wider audience, many consumers are still being left behind. That’s where the growing lease-to-own industry comes in, serving sub- and non-prime customers with credit scores below 650–or even no credit scores.
The lease to own paradigm has shifted dramatically in recent years, aided by technology. In the past, brick-and-mortar companies such as Rent-A-Center would buy items wholesale and then lease them to consumers from their stores. Today, eCommerce and brick-and-mortar retailers can easily accept lease-to-own payments at the point of sale. The premise and promise of lease to own has been transformed, and its reach expands every year.