Big Lots Financing: 6 Ways to Pay for Your Purchase

Buying furniture can be expensive, but Big Lots offers two options to make shouldering the upfront cost easier. These include the Big Lots lease-to-own program and the Big Lots Credit Card. Keep reading to learn about Big Lots financing offers, plus some alternative options if neither one is right for you.

Big Lots lease-to-own program

Big Lots partners with Progressive Leasing to offer its lease-to-own furniture financing program.

This flexible financing option allows you to lease up to $3,000 in furniture, with no credit needed. Then, you pay off your purchase through a series of weekly, biweekly or monthly payments. The lease-to-own program comes with terms of up to 12 months.

*90-day and early purchase options may cost more than the retailer’s cash price.

Big Lots’ progressive lease-to-own financing is not available in Minnesota, New Jersey, Vermont, Wisconsin or Wyoming. In states where it is an option, Big Lots does not offer this program at every store location. You can enter your ZIP code into the Big Lots store locator to find a participating store.

Big Lots Credit Card

In addition to its lease-to-own financing, Big Lots also offers shoppers the opportunity to open up a store card with the chain. Issued by Comenity Capital Bank, this card gives borrowers a choice between earning cash back or taking advantage of deferred interest financing on qualifying purchases.

*Interest will be charged to your account from the purchase date if the balance is not paid in full during the promotional period. Additional charges, such as a minimum interest charge, may apply.

If you think opening up a Big Lots store card might be the right choice for you, all you need to do is apply online. While Big Lots has decided not to publish its exact eligibility criteria, store cards are generally easier to qualify for than other forms of credit.

That said, you may end up paying more in interest if you are unable to pay off your balance in full during the initial promotional period. Store cards often come with higher interest rates than other financial products, and Big Lots’ 29.99% variable annual percentage rate (APR) is no exception.

The information related to the Big Lots Credit Card has been independently collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication.

Big Lots financing alternatives

If you’re not sure that either of Big Lots’ financing arrangements is a good fit for you, don’t fret. There are plenty of other alternative financing options out there to choose from. Here are four of the most common ones.

Personal loans

If your goal is to pay off your purchase through a series of fixed monthly payments, taking out a personal loan may be a good option. Personal loans let you access funds in one lump sum and pay it back over time, plus interest. Although, notably, personal loan interest rates are typically much lower than credit cards.

Since personal loans traditionally do not require collateral, you’ll need a good credit score and decent debt-to-income ratio to access the lowest interest rates. However, bad credit loans are available if your credit score needs work. You’ll likely just have to plan to pay a bit more in interest charges.

Be sure to check each lender’s eligibility criteria before you apply for a personal loan. In some cases, you may be able to prequalify for a personal loan, which won’t harm your credit score. Still, you’ll likely have to submit to a hard credit check before the lender will issue a decision.

0% APR credit cards

Similarly to the Big Lots Credit Card, 0% APR credit cards offer you access to deferred interest financing on your purchases. However, the main difference is that these cards allow you to shop anywhere, rather than limiting you to one store.

When used correctly, 0% APR cards can be a savvy way to finance purchases without incurring any interest. Unfortunately, if you are unable to pay off your purchases in full before the promotional period expires, you’ll be stuck paying interest on the remaining balance.

While the interest rates on 0% APR cards can be higher than some other forms of lending, their rates are generally lower than those for store cards.

Buy now, pay later (BNPL) programs

Buy now, pay later (BNPL) programs give you the option to break up your payments for your purchase into segments, allowing you more time to pay it off in full. Affirm and Klarna are two of the major players in the BNPL industry, but there are plenty of options to choose from.

Each BNPL lender has its own payment structure. However, they tend to fall into one of a few distinct categories:

• Pay in 4: Your purchase price is split into four equal payments that you’ll pay off over six weeks. You’ll be responsible for making a payment every two weeks until the balance is paid off. Typically, this type of BNPL plan doesn’t come with interest, but make sure to read the fine print before signing on the dotted line.
• Pay in 30: As the name suggests, this payment model allows you 30 days to pay off your purchase in full.
• Monthly installments: Some BNPL programs offer installment loans, which work similarly to personal loans. They give you the opportunity to make regular monthly payments toward your purchase. These installment loans may come with interest.

Saving up over time

Saving up over time and paying for the item in full, can be a smart way to keep yourself from accumulating debt and adding to your stress. While it may take a little longer to bring your furniture home using this method, it can be a great step toward living a debt-free lifestyle and saying goodbye to debt once and for all.