Which Stores That Do Layaway Can Help Your Holiday Shopping Strategy

When browsing Black Friday offers, you’ve likely encountered stores that do layaway—a payment approach that lets you spread purchases across multiple payments rather than paying upfront. This traditional financing method can ease budget strain during peak shopping seasons, though it comes with specific conditions and potential costs to consider. Understanding how this option works at different retailers helps you make informed purchasing decisions.

Understanding Layaway as a Payment Method

Layaway operates on a straightforward principle: you reserve an item by making an initial payment (either a fixed amount or percentage of the total price), then complete the purchase through subsequent installments or a final lump sum. The retailer secures the product while you finish paying, and ownership transfers only after full payment. As consumer finance experts note, this represents an older purchasing approach that predates widespread credit card availability—a method many shoppers still find valuable when managing limited budgets.

How Layaway Stacks Up Against Buy Now, Pay Later Options

Both layaway and BNPL services from companies like Afterpay and Klarna enable shoppers to divide purchase costs, but they operate quite differently. The most significant distinction involves possession: you receive merchandise immediately with BNPL but must wait until completion of payments for layaway purchases. Timeline expectations also vary—layaway typically spans weeks to months, while BNPL arrangements generally conclude within four to eight weeks.

Payment methods differ as well. Layaway accepts cash, checks, or credit cards depending on retailer policies, whereas BNPL generally requires credit cards, debit cards, or bank account authorization. Credit reporting practices create another key difference: layaway payment history—whether on-time or late—remains unreported to credit bureaus, protecting users from credit damage if circumstances change. BNPL functions as actual debt reporting to credit agencies, meaning late payments risk collection accounts and credit score damage.

Retailers Offering Layaway: Where to Find These Payment Plans

The landscape of stores that do layaway has shifted considerably. Major department store chains including Walmart and Amazon have discontinued these programs, with Amazon ending its service in October 2024. However, certain retailers continue providing this option, particularly smaller specialty businesses.

Current retailers accepting layaway include:

• Burlington: Offering layaway on selected merchandise
• Hallmark Gold Crown locations: Available at participating stores
• Shane Co.: Jewelry-focused layaway options

Selection policies vary by location and season, so verifying specific store terms proves essential before committing to any arrangement. Some retailers restrict layaway to particular items or seasonal inventory.

Making Your Layaway Decision: Pros, Cons, and Alternatives

For consumers without credit access or those with limited credit history, layaway eliminates debt accumulation while securing sought-after merchandise before inventory sells out—a genuine advantage during competitive holiday shopping periods. However, this payment method carries legitimate drawbacks.

Nonrefundable deposits and additional fees—including potential storage and cancellation charges—can increase total purchase costs beyond what you’d pay outright. If circumstances prevent completing payments, forfeited funds represent lost money without merchandise. Additionally, extended payment schedules may mean delayed receipt of holiday gifts, and the temptation to overextend spending across multiple layaway commitments creates budget management challenges.

Alternative approaches deserve consideration. Exploring secondhand options from retailers like Best Buy, Wayfair, and GoodBuy Gear provides discounted items without payment delays. Direct savings into dedicated accounts lets you accumulate funds and purchase items without fee complications.

Before selecting stores that do layaway for holiday purchases, scrutinize payment terms, fee schedules, and timeline requirements carefully. Evaluate whether your financial situation comfortably supports scheduled payments despite unexpected expenses. Consider whether immediate item possession or alternative purchasing methods better serve your actual needs and budget constraints.