Do you have any views on rent-to-buy stores such as Brighthouse?

Former_MSE_Wendy

A group of MPs are looking to do an inquiry into rent-to-buy stores later this year. They'd love to hear you thoughts on the areas below to help them decide what issues to look into:

• Have you used a rent-to-buy store (eg, Brighthouse, Perfect Home or Buy as You View)?
• Did you know what the total cost would be when you bought and what was the difference in price?
• Did you find the service of the store useful?
• Did you have to buy insurance cover or other services as part of the purchase?
• Did you struggle to keep up with payments and what did the store do to hinder or help?

See more info about the group of MPs (part of the All Party Parliamentary Group on Debt and Personal Finance) at www.appgdebt.org.

Share your thoughts below...

Thanks in advance

MSE Wendy

[Deleted User]

these people dont differ greatly from the stores of old that sold thru HP,although perhaps higher interest rates to reflect the fact that people are often more willing to stop paying today.

jules888

Rip off stores!Never used one and hope never will!

PinkPoppies

Morally questionable at best. Irresponsible lenders that prey on the very customers who can least afford their extortionate interest rates.

I have never used one and never would.

poppasmurf_bewdley

PinkPoppies wrote: »

Morally questionable at best. Irresponsible lenders that prey on the very customers who can least afford their extortionate interest rates.

I have never used one and never would.

You cannot say that. Where are people who cannot afford to pay cash, and cannot get a loan through their bank or via normal credit sources, supposed to buy something they may need?

Should a single mother go without a new washing machine she desperately needs because you disapprove of high interest rates?

This company provides a service to a certain sector of society. It may not be of use to you but it certainly is to many thousands of other people, or they wouldn't still be in business.

OK, some irresponsible people might spend £3k on a wide screen TV that is only worth £1k, but that is their decision.

I am old enough to remember a time when for my parents, the only way to buy anything for the house was either to buy secondhand or go to a shop which sold goods on the 'never-never' and you paid the debt off weekly. Even the TV was paid for weekly to Radio Rentals. I wonder how much my parents paid for a TV over about 15 years which must only have cost a few quid if bought for cash?

HappyMJ

poppasmurf_bewdley wrote: »

You cannot say that. Where are people who cannot afford to pay cash, and cannot get a loan through their bank or via normal credit sources, supposed to buy something they may need?

Should a single mother go without a new washing machine she desperately needs because you disapprove of high interest rates?

This company provides a service to a certain sector of society. It may not be of use to you but it certainly is to many thousands of other people, or they wouldn't still be in business.

OK, some irresponsible people might spend £3k on a wide screen TV that is only worth £1k, but that is their decision.

I am old enough to remember a time when for my parents, the only way to buy anything for the house was either to buy secondhand or go to a shop which sold goods on the 'never-never' and you paid the debt off weekly. Even the TV was paid for weekly to Radio Rentals. I wonder how much my parents paid for a TV over about 15 years which must only have cost a few quid if bought for cash?

You've answered the question further down in your post she should be getting second hand for the same monthly cost of the first month only (£50) of the new washing machine from these stores....many charities will have these for a token payment of £50 (especially around here) so what if it only lasts a year she's saved 11 months of payments and can buy a new one outright at the end. If she has the ability to spend £50 per month then if she has any sense she should be putting that £50 she's saved by buying second hand aside for the next 11 months and it'll be £550 and she can upgrade that cheap old second hand to brand new then she'll be saving £50 per month forever.

ChopinonaBudget

HappyMJ wrote: »

You've answered the question further down in your post she should be getting second hand for the same monthly cost of the first month only (£50) of the new washing machine from these stores....many charities will have these for a token payment of £50 (especially around here) .

Round here, you're lucky to find a second hand washing machine for under £100, plus £35 delivery, then you have to pay for fitting.
Or from gumtree maybe you can source one for £65, but then you have to find a way of transporting it (man and van, £35 minimum?) and fitting, plus disposal of the old one)

All up front.

[Deleted User]

poppasmurf_bewdley wrote: »

This company provides a service to a certain sector of society.

The same argument could be made in regard to PDL companies, and indeed Loan sharks.

[Deleted User]

ChopinonaBudget wrote: »

Round here, you're lucky to find a second hand washing machine for under £100, plus £35 delivery, then you have to pay for fitting.

You would pay someone to fit a washing machine :huh:

PinkPoppies

We shall have to agree to disagree poppasmurf.

Companies like these totally exploit financially vulnerable families.

Taking your washing machine example... a quick look on the Brighthouse website reveals that their cheapest washing machine costs a whopping £487 (when there are plenty of decent washing machines on the market for less than £200) and actually costs the customer an astronomical £936 at £64.7% APR :eek: (http://www.brighthouse.co.uk/washers-and-dryers/hotpoint-7kg-washing-machine/).

I am not criticising families who use these companies, that is their choice and their money- I do however have a real issue with the companies themselves.

Pleased to hear that a group of MPs are looking to make an inquiry.

ChopinonaBudget

Bedsit_Bob wrote: »

You would pay someone to fit a washing machine :huh:

Not all of us have a clue when it comes to plumbing stuff in. I've never had to, I've always been in rented with white goods included, but this house screwed up the info on the inventory before I moved in so I had to shop around for washing machines etc. before I found it was all included. So yes, I would have. I save where I can, and leave the risk of flooding my kitchen to someone else