Lipia PolePole Layby aka Layaway
Layby aka layaway, aka lipia polepole (in Swahili), is a system of paying a deposit to secure an article or an item for later purchase. In other words, layby is a concept whereby a customer makes a deposit payment towards an item or a product, then the merchant or the seller uses this deposited amount to secure it for them by putting the product aside also know us the lay-it way. The customer makes incremental partial payments or installments to completion within a stipulated time frame. The customer picks up the product or enjoys the service when the purchase is paid in full.
Here are helpful tips on getting the best out of layby/layaway aka lipia polepole:
- Layby/Lipia polepole allows you to pay off an item in partial payments within a time frame until completion.
Layby allows you to select an item – a phone, a TV, or a piece of furniture for example – and make flexible partial payments till they are paid off in full, with no interest added. You can also book for service on layby –paying for an upcoming event ticket or settling maternity fees. Depending on the merchant and the customer agreement, a person can choose to make monthly installments or random small part payments. The main difference between purchasing on credit or hire-purchase and lipia polepole or layaway is that with layby, the goods or service remain the property of the merchant until the customer pays for them in full.
- You can cancel a layby plan any time and get your money refunded or change your purchase
You can cancel a layaway/lipia polepole plan at any time, and get refunded your payments you’ve made up to that point, minus just a small percentage, usually below 3% of the merchant’s price, as a cancellation penalty fee. You can also change your previous purchase into another item provided it’s from the same merchant and it’s in stock.
- The merchant MUST refund full paid amount in case of a stock out
If, after you’ve paid off that piece of furniture, and it’s out of stock, you must either be offered a piece of comparable or better furniture under the same budget or be refunded what you paid in full as compensation. Stores should not make a layaway refund conditional upon you spending on another item in their store on this case.
- No interest is charged, price is fixed and everyone qualifies
The key advantage of Lipia polepole layby is that no interest is charged. The customer pays the retail price and enjoys price protection. This can help the customer to smart plan their income while securing product they could otherwise not afford. Customers may also earn a habit of living within their means. Since there is no risk involved for the merchant, layby can be readily offered to those with bad or no credit scores.
So instead of going the credit way which may live you in debt, why don’t you wait for a little while, especially for the non-urgency items and try Lipia polepole layby?