Rent To Own - Rent to Own 1/2 Directions Visit the...

Rent to Own
(1
/2)
Directions
Visit the website of a rent-to-own company. Based on the information you gather, complete the form below to
compare the price of purchasing from a rent-to-own store rather than a traditional vendor.
Item Name Cost Per
Week
Number of
Weeks to
Pay Off
Total Cost
of Item
(Cost Per Week
* Weeks)
Interest
Rate Being
Charged *
Another
Store
Carrying
Item
Cost at
Other
Store
$$ Savings
Laptop
Computer
$15.00 78 $1,170 88.7% HP $619.99 $550.01
Dryer $18.99 91 $1,728.09 204.2% Home
Depot
$568.00 $1,160.09
Big Screen
TV
24.99 91 2274.09 89.5% Dell 749.99 1524.10
Gaming
System
$24.99 52 $1,299.48 334.6% Walmart $299 $1,000.48
Refrigerato
r
$32.99 104 $3,430.96 212.5% Home
Depot
$1,098 $2,332.96
Sectional
Sofa
$34.99 78 $2,729 203.6% Overstock $899 $1,830
*To calculate the interest rate calculate the total interest charged (Total Cost – Suggested Retail Price) and then
divide the interest by the retail price. Finally, move the decimal place two spots to the right to get the interest rate as
a percentage.
Foundations in Personal Finance High School Edition

Rent To Own
(2
/2)
1 Why would one want to use a rent-to-own store for merchandise? Think of at least three reasons and record them
below.
2 Why should one not use a rent-to-own store for merchandise? Think of at least three reasons and record them
below.
3 After completing this activity, would you use a rent-to-own store? Why or why not?
Foundations in Personal Finance High School Edition