Our purchase amount was 799.
I have been paying for 6 months and decided to try and find out my balance because it should be about paid off.
WRONG. My original starting total was somehow doubled to 1647 and even though I pay about34/35 a week, somehow my buyout option is still 640.
Sooo.. I have already paid $34x29weeks = 986 and they want another 640 to buy out early, so I am still paying $1629 for a $799 purchase. The $799 is already including tax, too.
The reason it is doubled, they say, is due to the "lease multiple" which doubles the price.
It is just a way to get around a high interest rate - they say it is the "cost of using their service."
We were never told this when making the initial purchase. We were never told anything about a "lease multiple" or anything else that would make our total double in price. We were only told of a 10% fee, plus $50, which would be added to the total.
This type of "leasing" and the so called "lease multiple" is no different than predatory lending.
I will be filing a complaint with the State Attorney General, in my state and theirs, as well as with the FTC and BBB. My complaint will be against both Big Lots and Progressive, as Big Lots never, ever, mentioned anything like this at all. All info must be disclosed at the time of entering into the contract and that was never done. We would have NEVER agreed to anything like this, ever.
We were never provided anything that showed a total price of $1600+ or any type of interest rate, or any type of fees, other than being verbally told about the 10% plus $50 charge.
This is an outrageous "cost of using service." Even predatory lenders weren't ripping off consumers THIS bad. It is absurd. This is the equivalent of a 100% interest rate. Unbelievable.
Product or Service Mentioned: Progressive Leasing Leasing.
Reason of review: Pricing issue.
Preferred solution: Price reduction.
I didn't like: Total purchase price is doubled.