Layaway Plans

Sears, Roebuck and Co., which owns Kmart, also offers layaway at its stores, promoting the plan as “Shop Now, Pay Later.”

The company announced that starting Nov. 14, 2008, it would be bringing back its layaway program due to customer demand and the current economic climate, as well as the “tremendous” response to Kmart’s layaway plan. The down payment at Sears is $15 or 20 percent of the purchase price, whichever is greater.

The return of layaway was initially promoted for Christmas shopping, but on Jan. 15, 2009, Sears announced that due to the popularity of layaway during the 2008 holiday season (customers told them the program “saved Christmas”), it would be reinstating its layaway program year-round. Items must be picked up within 90 days.

Excluded are: home electronics, home appliances, cell phones, personal computers, gift cards, magazines, live plants, photo studio portraits, “Doorbuster” and early-open sale items, chemicals and anything flammable. During the holiday season, items must be picked up by Dec. 23. There’s a cancellation fee of $10. The nonrefundable service fee is $5, except in Maryland, where it’s $1.

A press release stated: “Merchandise from a wide selection of Craftsman tools and storage, lawn & garden equipment, and patio furniture for spring and summer, as well as the well-respected Lands’ End and Ty Pennington lines, along with jewelry and fitness equipment to fit every need are eligible for layaway.”

The program is available in Sears Full Line, Sears Hardware, Sears Grands and Sears Essential Stores, but not Automotive, Dealer, Outlet Stores, or on Sears.com.

Since 1989, only a few Sears stores had accepted items for layaway, and only on fine jewelry, reported the Associated Press. The existing fine jewelry layaway program, which has terms of six to 12 months, will remain in place.