Does Home Depot Have Layaway In 2026? (Try This Instead)
No, Home Depot does not offer traditional layaway programs in its stores or online in 2024. If you‘re looking to spread out payments for major home projects, appliances or furniture, read on to learn about financing alternatives available through Home Depot.
Layaway allows shoppers to pay for items over time while the retailer holds the merchandise. For big-ticket purchases, layaway seems appealing since you can take home the product after making small incremental payments.
However, layaway has been declining in popularity among major retailers in recent years. Administrative costs and tied-up inventory have led stores like Home Depot to promote alternative financing options instead.
Why Home Depot Doesn‘t Offer Layaway
Home Depot discontinued its layaway program back in 2006 due to the rising costs and complications involved. Here‘s a closer look at the reasons why layaway doesn‘t fit Home Depot‘s business model:
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Staffing Requirements – Layaway requires additional employees to manage the program and assist customers. With thin profit margins, these extra payroll costs hurt stores‘ bottom lines.
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Lost Sales – When inventory is held for a layaway customer, Home Depot misses out on sales opportunities to other shoppers. This is especially problematic during peak sales seasons.
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Cancellations – If a layaway agreement falls through, Home Depot has to absorb losses from holding the merchandise and missing other sales. Industry data shows cancellation rates of 20% or higher.
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Administrative Burden – Tracking layaway payments and inventory is a complex administrative process requiring systems maintenance and oversight.
Given these drawbacks, Home Depot determined that layaway was not the optimal financing solution for its customers or business.
Home Depot Financing Alternatives
Instead of old-fashioned layaway, Home Depot provides you with two great financing options to make large purchases more affordable.
Home Depot Credit Cards
Home Depot offers two credit cards with flexible financing promotions:
- Consumer Credit Card – Regular financing up to 24 months on purchases $299+
- Project Loan Card – Ideal for major home projects, borrow up to $55,000
Based on your project timeline and budget, you can take advantage of 6, 12, 18 or 24 month promotional financing. Here are some examples of current offers:
- 6 months interest-free financing on patio furniture $299+
- 12 months interest-free on appliances $299+
- Special 18 month financing on kitchen cabinet packages
- 24 month financing on roofing, siding, fencing projects
Rates and terms depend on the type of purchase, but with a Home Depot card you‘ll pay no interest as long as you pay off the promotional balance during the promo period.
Buy Now, Pay Later Services
At checkout on HomeDepot.com, you can also split your purchase into 4 interest-free payments over 6 weeks using partners Klarna and Quadpay. It‘s like layaway but you get to take the items home immediately!
With BNPL services, you‘ll need to be approved based on a soft credit check. Approval amounts vary by provider up to around $10,000. There are no fees to use these services at Home Depot currently.
Layaway vs. Home Depot Financing
How does old-fashioned layaway stack up against modern Home Depot financing? Here‘s a helpful comparison:
| Layaway | Home Depot Financing | |
|---|---|---|
| Ownership | You don‘t own the item until fully paid | Own the item immediately |
| Payments | Fixed weekly/monthly payments | Flexible monthly payments |
| Credit check | Usually none | Soft credit check required |
| Inventory | Store holds item until paid off | Take home purchase immediately |
| Cancellation | Modest restocking fee | Interest backdated to purchase date |
As you can see, Home Depot‘s financing options provide greater flexibility, credit access, and convenience compared to traditional layaway.
Layaway Options at Other Retailers
If you have your heart set on layaway, below are a few major retailers that still offer programs:
Walmart Layaway
- Available for holiday shopping from September to mid-December
- $10 open fee, $5 cancellation fee
- Weekly payments required
- Layaway purchases above $50
Kmart Layaway
- Offered year-round on electronics, apparel, jewelry
- No credit check or opening fee
- 10% down payment required
- $10 cancellation fee
Sears Layaway
- Typically available September through mid-December
- $5 service fee and down payment of 15%
- Payments every 2 weeks
- $20 cancellation fee
Be sure to read all layaway terms carefully, as policies can change annually.
Conclusion
While old-fashioned layaway plans are hard to find, savvy shoppers have better options. Home Depot‘s credit cards and buy now, pay later financing provide affordable flexibility for your home improvement projects. Consider applying for a Home Depot card to finance your next appliance or furniture purchase over 6 to 24 months interest-free.