About Lender
Purchasing Power was founded in 2001 and is headquartered in Atlanta, Georgia. They offer an employee purchasing program that allows employees to buy products and services through payroll deduction. The program helps employees make big purchases they can’t afford upfront – like home appliances, furniture, electronics and even vacations – by spreading payments over 12 months (although typically 6 weeks).
They partner with employers to offer this benefit and there are no fees to the employer and no credit checks or deposits required for the employee. That’s why over 11 million employees in the US can access the program through their employer.
Key Features
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Payroll deduction. Purchasing Power allows employees to buy through payroll deduction. Payments are automatically deducted from the employee’s paycheck over 12 months so they can afford bigger purchases.
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No credit check. Purchasing Power doesn’t require a credit check like traditional financing options. That means more employees can use it – even those with poor credit or no credit history.
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No deposit required. Employees don’t need to put down a deposit to use Purchasing Power. They can buy without having to save up first.
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Wide range of products and services. Purchasing Power offers a wide range of products and services – home appliances, furniture, electronics and even vacations. It’s a flexible benefit that can be used for many needs.
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Easy to use. Purchasing Power is easy to use – a simple online platform to browse products, buy and track payments.
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No cost to employer. Employers don’t pay any fees to offer Purchasing Power to their employees. It’s a low risk benefit to add to their overall compensation package.
Pros and Cons
Pros
Easy. Convenient. Employees can buy bigger purchases without having to pay upfront.
No credit check. No credit check required.
No deposit. No deposit required.
Wide range of products and services. Home appliances, furniture, electronics and vacations. etc. etc. etc.
No cost to employer. Employers can offer Purchasing Power to their employees at no cost to them.
Cons
Higher prices. Some users have reported that the prices are higher than if you bought elsewhere.
Limited selection. While Purchasing Power offers a wide range of products and services, the selection may be limited compared to other retailers.
Debt. Because employees can buy without paying upfront, there’s a risk they may take on debt they can’t afford to pay back.
Not available to all. Purchasing Power is only available to employees of companies that offer the program as a benefit.
Reliability
Long standing. Purchasing Power has been around since 2001 so they have a proven track record in the industry.
A+ BBB Rating. They have an A+ rating from the Better Business Bureau which means they are committed to customer satisfaction and ethical business practices.
Award winning innovation. Purchasing Power has won several awards for their innovative approach to employee benefits which further proves their credibility and leadership in the industry.
Privacy and security. They have industry standard encryption and strict access controls to protect user data so you can have trust and confidence in them.
How to Apply for a Purchasing Power Loan?
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Visit website. Start by visiting the Purchasing Power website to learn about the program and how it works. This program allows you to shop for brand-new products and pay over time directly from your paycheck, without the need for a credit check, hidden fees, or varying payments.
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Sign Up for Free. If your employer or organization offers Purchasing Power, you can sign up for free at any time. The sign-up process is simple and straightforward, allowing you to access the program without upfront costs.
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Unlock Your Spending Limit. After signing up, you will need to provide some personal information to determine your eligibility and unlock your spending limit. This step ensures you can shop within your budget and manage payments effectively.
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Start Shopping. Once your spending limit is determined, you can start shopping immediately. Purchasing Power offers a wide range of brand-name products, allowing you to receive your order upfront and pay for it over time through payroll deduction.
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Manage Payments. With fixed, easy payments deducted directly from your paycheck, you can manage your budget without the stress associated with high-interest credit cards or layaway plans. Purchasing Power provides a reliable and straightforward way to pay over time.
Conditions and Requirements
Conditions
Loan term. Borrowers have up to 12 months to repay.
APR. 0% APR. No interest charges.
Loan amount. Amounts go over $1,000.
Requirements
Minimum annual income. $16,000 per year. You must have a stable income to repay the loan.
Bank account or credit card. You must have a bank account or credit card. This will be used in case of non-payment via payroll deduction.
Paycheck stub. You must upload a copy of your paycheck stub. This is to verify your employment and income.
Minimum age. 18 years old. You must be at least 18 years old to apply.
Ways to Receive the Money
Purchasing Power partners with third-party financing companies to make it easy and convenient for employees to get the money they need for their purchases. When an employee buys something through Purchasing Power, the financing company pays the upfront cost so the employee can get what they want without having to pay upfront. Then through payroll deduction, the employee repays the financing company over time in installments. With their large customer base, Purchasing Power negotiates better terms and rates with their financing partners so employees get better deals than they could on their own.
Products
Home appliances. Refrigerators, stoves, dishwashers, washing machines.
Furniture. Sofas, beds, dining sets, office furniture.
Electronics. Laptops, televisions, smartphones, gaming consoles.
Home improvement. Power tools, lawn and garden equipment, HVAC systems.
Health and wellness. Fitness equipment, supplements, personal care items.
Travel. Vacation packages and travel services. Book flights, hotels, rental cars.
Other Personal Loans
Reasons for Loan Refusal
Reasons for denial can vary. Direct reasons for denial with Purchasing Power may not be the same as typical loan denial reasons such as low credit score, high debt-to-income ratio, insufficient or unstable income, too much loan amount, unmet basic application requirements, incorrect or incomplete application, loan purpose not matching lender criteria. For specific information on denials or eligibility criteria in the Purchasing Power program, contact their customer support.
How to Repay a Purchasing Power Loan?
Repaying a purchase through Purchasing Power is easy and hassle free, that’s what the program is all about. When you buy something through Purchasing Power, the repayment process is usually automatic payroll deductions over a set period of time, like 12 months. So the agreed upon amount is deducted from your paycheck in equal installments until the full amount of the purchase is paid. No credit checks, no interest rates, no missed payments. The repayment plan is tied to your payroll system.
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Editorial Opinion
Important
How to Choose a Lender
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Make sure to confirm whether the lender is licensed to operate in your state. You can verify this information with your state regulator or attorney general.
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Check if the lender is a member of a reputable association, such as the Community Financial Services Association of America. Membership in such organizations may provide an extra level of reliability.
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Carefully review all the terms and conditions of your payday loan contract.
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Thoroughly examine the interest rates on payday loans and ensure that your contract includes a detailed breakdown of the total cost of the loan.
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Take advantage of your right of rescission. Usually, you can rescind the loan within three days after signing the agreement. Alternatively, there is typically a "cooling-off" period, which allows you several days to thoroughly review the contract before making an informed decision to enter into a consumer loan agreement based on the terms specified by the lender.
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Choosing a payday lender is a significant decision that demands careful consideration and a good understanding of how such organizations operate.
Additional Resources
- Full Purchasing Power Account Review
- How to Apply for a Purchasing Power Loan
- How to Repay a Purchasing Power Loan
- Purchasing Power Mobile App
- Purchasing Power Customer Reviews
- All Purchasing Power Coupons and Promo for December 2024
- Purchasing Power Loans for December 2024
