High interest rates at Ikea
This extra service turned out to be an expensive service because customers paid an interest for this payment in installments of 13%. A high interest rate if you compare it with our interest rates from 3.5% for a personal loan or revolving credit. Ikea has stopped offering spread and post-payment for its products.
Taking out a loan: cheaper alternative
Installment buying is an expensive form of financing. Taking out a loan is a cheaper alternative. A new kitchen or new furniture are expensive purchases that often cannot be financed through your checking account. Taking out a personal loan at a fixed interest and term or a revolving credit with a flexible interest rate are suitable forms of financing for these loan purposes.