Does Amazon have installment payments? (Updated in 2022!)
If you’ve heard of installment payments, you know it’s a popular payment method that allows shoppers to put down a down payment and the vendor to keep an item until you’ve made all payments.
As you browse the various products on Amazon, you may ask yourself if Amazon has installment payments. Read on to get the answer to this question and discover more about several options available.
Does Amazon have installment payments?
Unfortunately, as of 2022, Amazon doesn’t have a dedicated installment plan. Instead, it offers monthly payment plans for certain items, such as Fire tablets, Alexa-enabled smart home devices, and Kindle e-readers.
However, if you’re an Amazon cardholder, you may receive special financing or monthly payment offers on specific orders.
Why doesn’t Amazon have Lalayaway?
One of the main reasons Amazon doesn’t stock up is that it doesn’t have enough warehouse capacity. While its fulfillment centers are large, they are designed and managed to maximize space.
Unlike brick-and-mortar stores with designated sorting counters, Amazon’s inventory levels are constantly fluctuating, and the sorting program can disrupt that.
The great thing about shopping on Amazon is that they have a much higher inventory. So while it might make a lot of sense to have a limited stock of products at a department store near you, through this online retail store, items are replenished on a regular basis. Say you see an item on Amazon during the holidays, but you don’t have the money to buy it yet, chances are you’ll still find it there a few weeks later.
Of course, Amazon does not guarantee inventory availability or pricing. Still, it goes without saying that it offers a wide range of products to choose from compared to other retailers with limited in-store options. Target, Best Buy and Costco are other major retailers that don’t have exclusive installment plans.
You may be interested in: How to Ship to Amazon Locker
Has Amazon cancelled payment plans?
If you’re looking for a traditional branch approach, you might want to check out other stores like Kmart or TJ Maxx, which are known for their extensive branch approach.
However, it’s important to remember that while Amazon doesn’t have installments, there are thousands of products in every category. That way, if you can wait a little while, you’re likely to find the item of your choice.
To answer the question, no, Amazon isn’t canceling its monthly payment plans. You can get a selection of monthly payment plans on Amazon.
They include Amazon devices such as Kindle e-readers, Fire tablets, Amazon Fire TV, and Alexa-enabled devices such as the Echo Dot and Amazon Echo. You’ll usually find these monthly payment options on product detail pages.
How to make installment payments on Amazon
If you choose the monthly payment option for eligible items, you’ll find that it works similarly to installment payments, where you’ll have to make five payments. After choosing a payment plan, you will be required to pay the down payment on the shipping date prior to shipping.
Once this is done, you will receive four equal monthly payments, usually spread over 30, 60, 90 and 120 days from the date of shipment. By agreeing to a monthly payment plan, you allow Amazon to bill your chosen payment method each month.
It helps to remember that you don’t have to stick to a set payment date, as you can prepay your next payment or pay the full balance at any time. Additionally, Amazon doesn’t pay monthly finance or interest charges on its own devices, like the Amazon Echo smart speaker or e-reader.
Register for an Amazon Store Card
Another genius solution to the lack of installment options in this internet marketplace is to apply for a store card. When you use your Amazon credit card, you can get promotional financing for eligible purchases.
The application process is done online and takes a few minutes. Once approved, you can link your store card to your account and enjoy additional benefits.
Assuming your item eligibility or cart total is eligible for a special promotional offer. In this case, Amazon will display payment options and you can choose how many times you want to pay each month. After confirming your order, you will see a reminder of the payment schedule and the amount you need to pay each month.
Are there any hidden fees for the installment option?
Although installment payment may seem like a very simple process, it involves a series of complex fees. Different stores have different policies, but your local store may charge the following:
- Service Fee: This fee is used to cover store fees associated with payment processing and to ensure items are not removed from stock. Typically, it ranges from $5 to $10.
- Cancellation fees: Some stores will charge you a fee if you choose to drop your plan or fail to pay the amount due.
- Restocking Fee: This fee will be charged by the retail store if you are late or not paid by the required date.
What are the advantages of Lalayaway?
Compared to some other financing methods, layaway ranks best for the following reasons:
- Interest-free purchases: While you may incur some fees with this financing method, your purchases will not generate interest.
- Other purchasing options: layaway is a great alternative to paying with a credit card. If you don’t have a credit card and don’t want to get a store card, it offers an alternative way to pay over time.
- Availability of high-demand products: Layaway will prove helpful, especially during the holiday season when popular toys, decorations, and electronics are selling out fast. Putting such an item in storage before the holiday will ensure you get it during the holiday.
- Online Availability: Most retail stores offer installments if you buy through their online store. Online installments go a long way in saving you the frustration of dealing with holiday crowds, having to wait in long lines, and having to move from store to store in search of items.
- Ease of Acceptance: Unlike credit cards, installment plans don’t run a credit or income check until you’re approved. To qualify for these programs, all you need is a down payment and identification to prove you are of legal age.
Want to learn more about Amazon? Check out these articles to find out if you can use Google Pay on Amazon, what to do if your Amazon order shows delivered but you haven’t received it, and can you return an open item to Amazon?
Unlike Kmart, Walmart, and TJ Maxx, Amazon lacks traditional installment plans. However, that shouldn’t worry you, as you can get monthly payment plans on select smart home devices and Kindle e-readers.
Additionally, signing up for an Amazon Store Card gives you access to special financing and monthly equal payment options for certain orders.