Quick answer
When a fridge or washer dies, appliance financing usually means a store card promo, a lease-to-own plan or a small personal loan. Store promos are often deferred interest. Lease-to-own can cost far more than the sticker price over time. Compare the total you will pay, not the weekly or monthly payment.
Appliances tend to fail at the worst time. That urgency is what makes high-cost financing look reasonable at the checkout. Here is how to compare quickly.
Know the real total
For any offer, ask one question: what will I have paid in total when I own this? Then compare that with the cash price.
Options compared
| Option | How it works | Watch out for |
|---|---|---|
| Store card promo | Deferred or 0% interest for a period | Back-charged interest, high regular APR |
| Buy now, pay later | A few installments, sometimes interest-free | Late fees, stacking several plans |
| Lease-to-own | Weekly or monthly rental until you own it | Total cost often far above the cash price |
| Small personal loan | Fixed payment and APR | APR depends on credit |
| Used or open-box appliance | Lower price | Shorter warranty |
What a small appliance loan costs
Here is what borrowing $2,500 over 24 months costs at three APRs across the 5.99% to 35.99% range offered on our network.
| APR | Monthly payment | Total interest | Total repaid |
|---|---|---|---|
| 5.99% | $110.79 | about $159 | about $2,659 |
| 15.99% | $122.40 | about $438 | about $2,938 |
| 35.99% | $147.61 | about $1,043 | about $3,543 |
Tips
- Check whether a repair makes more sense for newer appliances.
- Ask about delivery, installation and haul-away fees before you compare.
- If you take a deferred-interest promo, divide the price by the promo months and pay at least that much each month.
For bigger projects, see home improvement loans. For smaller amounts, see $1,000 loans.
If a fixed-rate installment loan is the right tool, use the form on this page to see whether partner lenders may have an offer, or call (800) 236-7761. You can also compare costs first with the loan payment calculator.
Examples are illustrations, not offers. Approval, APR and terms depend on the lender, your state and your credit profile.
Frequently asked questions about appliance financing: store credit, lease-to-own or a loan?
Is lease-to-own a good way to buy appliances?
It is usually one of the most expensive ways. Ask for the total cost to own, including all payments and fees, and compare it with the cash price and with a small loan.
What is the catch with 'no interest' store financing?
Many store offers are deferred interest. The CFPB explains that if you do not pay the full balance by the deadline, you may owe interest back to the purchase date.
Can I finance an appliance with bad credit?
Some stores and lenders work with lower scores at higher costs. A credit union small loan or buying a reliable used or scratch-and-dent appliance may cost less.
Sources
- CFPB: I got a credit card promising no interest for a purchase if I pay in full within 12 months. How does this work? (accessed 2026-10-09)
- CFPB: What is the difference between a loan interest rate and the APR? (accessed 2026-10-09)
- CFPB: What is a Buy Now, Pay Later (BNPL) loan? (accessed 2026-10-09)
Last updated 2026-10-09. How we research and update pages.