From WRAL : http://www.wral.com/rtg/15607656/
The customers purchased furniture and financed it through a company – Acceptance Now. After missing the payoff date, the contract reverted to Rent-to-Own and considerably more than the purchase price.
The furniture company’s attorney;
” the company is “in the business of selling furniture, not financing….they want “all customers to leave … with a complete and clear understanding of the terms of their purchase.”
While the company’s attorney is correct to a point….their ads always emphasize “no interest – 60 months”. It’s easy for customers to get mislead on the financing of any large item purchase.
In our business….we had some accounts receivable….and sometimes they were written off….we took a chance. For most large purchase we generally used the bank or GE Credit. Certainly no rent-to-own clauses in the contracts.
A primary rule of retailing – do not take advantage of the customer.