Layaway Makes a Comeback
(Daily Finance) — Last week,Wal-Mart (WMT) announced that it would bring backlayaway for the holiday season, joining other large retailers, including Sears(SHLD),TJ Maxx(TJX), and Toys “R” Us, in allowing customers to pay for expensive items over time. Unlike the popular “no interest for six months” approach to consumer financing, where buyers can take their purchase home immediately and pay for it over time, layaway plans require you to leave the item at the store until you pay for it in full. There often is a one-time service charge as well. Layaway plans have been around since the 1800s and became popular during the Great Depression. But once credit cards took over, fewer people used layaway, and many retailers did away with it altogether.