SAN ANTONIO – As the holidays approach, retailers are ringing up a revival of the layaway.
It's an old-fashioned alternative to the credit card, and it's becoming increasingly popular with retailers and consumers.
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"I did (layaway) in the olden days," said shopper Dyke Mathis.
"It helps especially during the holidays," said shopper David Robinson. "Everybody wants to do something for their families, and that's the only way a lot of people can do it. They can't come up with $600, $700 at once, but can come up with it over a few months, though."
With family budgets pinched by the economy, retailers including Toys 'R' Us, Best Buy, Sears, Walmart, Marshalls and more, are offering layaway plans to make it easier for their customers to buy for the holidays.
Toys 'R' Us is now allowing most toy purchases for layaway, rather than just big-ticket items as in years past. After a five-year hiatus, Walmart brought back layaway for toys, electronics and fine jewelry.
But, while layaway may be interest-free, it is not totally free.
Albert Guadiano, director with Consumer Credit Counseling Service of Greater San Antonio, said shoppers should be aware of the pitfalls.
"Some stores may charge a fee for layaways. If the items are not redeemed within a certain time, there may be a fee in that, possibly making it as expensive or more expensive as using a credit card," Guadiano said.
Typical holiday layaways involve fees, rules and restrictions.
ToysRus requires a $5 fee, 20 percent down and 45 days to pay half. The layaway must be paid in full by Dec. 4 to guarantee Christmas availability. Cancelations cost $10.
Walmart also requires a $5 fee and has a $10 cancelation fee. Each items must cost at least $15 and there is a total $50 minimum purchase.
Rules vary among retailers, so Guardiano advised shoppers read the fine print.
"Know the store policy," he said. "There may be fees they don't tell you about, so make sure you ask the right questions."