Tread Carefully With Snap Finance
South Florida is an unbeatable destination for people watching and reptile watching, but while you eventually get desensitized to the sight of iguanas, Nile monitor lizards and video vixens, vehicle watching on Collins Avenue or Biscayne Boulevard will never get old. Florida’s vehicular traffic is poetry in motion. No matter its owners’ tax bracket, if a car has Florida license plates, you can bet that it is dressed to be seen. The pressure to keep your car looking snazzy even if you are broke is palpable. Even if you are so broke that borrowing money for dark window tints and a thunderous sound system is out of the question, South Florida’s public transportation offerings are as abysmal as its vehicle watching scene is exquisite and its parking spaces abundant, so if your car breaks down, borrowing to fix it is the only practical option. Many car repair shops in South Florida offer financing through Snap Finance. If you have financed purchases that you could not delay, and now you are struggling to keep up with the payments, contact a Miami debt lawyer.
Like BNPL, but Without the Interest-Free Financing
Snap Finance enables consumers to finance the purchase of items worth up to $5,000. Consumers enter into a financing agreement when they make a purchase from a business that participates with Snap Finance; many auto repair shops, furniture stores, and jewelers in South Florida offer financing through Snap Finance. Entering into a Snap Finance agreement is a lot like entering into a BNPL agreement, since neither financial product requires a credit check, but there are some differences. Snap Finance is only for large purchases (in the hundreds or thousands of dollars), and some of its participating retailers operate out of physical stores. Unlike most BNPL options, Snap Finance financing always charges interest.
Like Payday Loans, but Without the Modest Principal Balances
The good news is that Snap Finance is widely available in South Florida, and it does not have a minimum credit score requirement. The biggest risk associated with Snap Finance is the same risk that you assume whenever you borrow money without first undergoing a credit check. There is a high risk that you will not be able to pay back the loan as the lender would have it, so that the interest charges and fees will pile up. Some consumers have paid interest on Snap Finance purchases that was more than 150 percent of the principal amount. When you consider that Snap Finance consumers can finance up to $5,000, this is a lot of interest to pay. At worst, it is as bad as a payday loan, except that payday loans start out small, so it takes a while before you owe thousands of dollars in interest on them.
Work With a Debt Lawyer About Financing Vehicle-Related Expenses
A South Florida debt lawyer can help you pay off your car loan and other debts related to your car. Contact Nowack & Olson, PLLC in Miami, Florida to discuss your case.