Rent-A-Center digitally extends lease-to-own purchase power
Rent-A-Center Inc. is launching a new app and platform that enable consumers to lease products to own at retailers of their choice.
The lease-to-own retailer is providing these digital tools via its Preferred Dynamix fintech company. Rent-A-Center is starting with a mobile app, known as Preferred Digital, facilitating lease-to-own (LTO) transactions on a broad scale across participating retailers.
Consumers can get approved in as little as 30 seconds to receive access to up to $4,000 in shopping power that Preferred Dynamix will apply toward purchasing eligible consumer goods from a variety of retailers. Preferred Dynamix will then lease the selected goods to the consumers under a flexible LTO transaction.
Rent-A-Center also plans to provide an e-commerce platform called Preferred Marketplace, which will enable consumers to select the items they want from any U.S. retailers – beyond Preferred Dynamix’s eligible retail partners - and lease them from Preferred Dynamix without needing to complete the transaction on the individual retailer’s website.
Preferred Dynamix has launched an innovation partner program to pilot the digital platform and begin collaborating to develop additional proprietary capabilities to create a more frictionless end-to-end transaction experience across channels. Pilot retailers include Ashley HomeStore, American Tire Distributors, Value City Furniture, Bob’s Discount Furniture, Conn’s HomePlus, Rooms To Go, and Electronic Express.
“Throughout 2020, we have seen dramatic increases in consumer demand for frictionless, virtual retail shopping experiences,” said Mitch Fadel, CEO, Rent-A-Center. “The new Preferred Dynamix business is uniquely positioned to connect a significant market of potential shoppers to the retail opportunities they desire through our proprietary mobile and online LTO solutions.”
“We want to eliminate the hurdles and level the playing field for unbanked and underbanked consumers and change the relationship they have with the household, electronic, and everyday items they want most,” said Jason Hogg, executive VP, Preferred Dynamix. “This large segment of our society has long desired more flexibility and options when they shop but haven’t had the right digital solutions, decisioning technology, and level of shopping power that match their needs and circumstances.”