Furnishing your home with your dream electronics tends to feel like a grand task. Most times, people feel that they have to have all the money required to make the purchase in order to own these items.
Different retailers have now come up with payment options that support payments over a period of time. Whereas some add interest depending on the payment period, there is an on the option of LayBy where you get to pay a fixed price and you are given a specific period of time during which you should have completed the payment.
Layby as a service enables you to pay for items in installments and get the item once it’s paid off. It provides customers with an opportunity to pay for their purchases gradually, instead of paying the full amount upfront.
How Layby Works
When a customer chooses to use layby, they typically make a small deposit and then pay the remaining balance over an agreed-upon period of time. The length of the layby period can vary depending on the retailer, but it is typically between 4 to 12 weeks. During this time, the item is set aside for the customer and cannot be sold to anyone else. Once the customer has paid off the entire balance, they can take the item home.
So, if you want a fridge, washing machine, cooker, and more, layby makes it easy for you to make payments in manageable amounts.
Difference between Layby and Hire purchase
When you buy on layby, the goods are kept at the shop while you pay fully for them and no interest is charged. With hire purchase, you get the goods straight away, but you still owe money to the shop, and there is an interest charged on the payment.
Advantages of Layby
Budgeting: Layby allows customers to purchase items they want without putting a strain on their budget. The customer can make payments over time, making it easier for them to manage their finances.
No Interest or Credit Checks: Layby does not require a credit check or come with interest charges like traditional credit options. This makes it a more accessible option for people.
Security: When a customer uses layby, the item they want is put aside for them. This means that it cannot be sold to anyone else, ensuring that the customer gets what they want.
Despite its advantages, many retailers in Uganda do not offer the layby service yet it is a useful option for customers who want to purchase items without putting a strain on their budget. Next time you are out and about doing your shopping, ask your retailer if they offer the service, it may change your entire shopping experience.
Which shopping stores offer layby?
At the moment Carrefour uganda offers Layby on items which cost UGX 200,000 and above, and you are given upto 3 months to pay for the item.
As more supermarkets adopt the service, we will update this list.