Reviewed September 2026.
Before you sign a sofa or mattress plan, ask for the credit terms in writing. Closed-end retail installment contracts often print cash price, amount financed, and total of payments. Revolving store-card applications show APR tables and promo rules instead of a fixed payoff schedule. This guide is a line-item walkthrough so you know which figures to demand either way. APR comparison and trap math: Comparing furniture financing APR. Category map: Furniture financing.
Line items that decide the deal
| Line / label | What it means | What to write down |
|---|---|---|
| Cash price | Price if you paid without this plan | Include tax + delivery |
| Down payment | Cash due at signing | $0 vs required deposit |
| Amount financed | Cash price − down payment + financed extras | Watch stain plans rolled in |
| APR / finance charge | Cost of credit as a rate and/or dollar finance charge | Promo APR vs go-to APR |
| Promo end date | Last day to satisfy the “no interest if paid” rule | Calendar with a 30-day buffer |
| Deferred vs waived | Whether interest accrues in the background | Ask explicitly if leftover triggers day-one interest |
| Payment schedule | Minimum or fixed payment × months | Minimum often under the payoff pace |
| Total of payments (closed-end RIC) | Dollar sum of all scheduled payments if printed | Compare to cash price |
| Your payoff-pace target (revolving promo) | Amount financed ÷ promo months (you calculate) | Often higher than the printed minimum |
| Late fee / penalty | Cost of a miss | Whether one late ends the promo |
Same-as-cash wording: Same as cash financing. Deferred mechanics: Deferred-interest promotions.
Worked sketch: disclosure vs sales pitch
Morgan’s desk quotes a living-room set at “$2,400, 0% for 18 months, only $80/month.”
| Disclosure line | Pitch said | Paper shows |
|---|---|---|
| Cash price | $2,400 | $2,400 before tax; $2,592 with tax/delivery |
| Amount financed | “Same” | $2,592 + $199 fabric protection = $2,791 |
| Promo | “0%” | “No interest if paid in full in 18 months” (deferred) |
| Minimum payment | $80 | ~$80 (would leave principal at month 18) |
| Go-to APR | Not mentioned | 29.99% |
| Reader payoff-pace target (not a printed “total of payments”) | Not mentioned | $156/mo × 18 clears $2,791 with a few dollars cushion (2,791 ÷ 18 ≈ 155.06; eighteen flat $155 payments leave about $1) |
| Printed total of payments (if this were a closed-end RIC) | Not mentioned | Would be a dollar total for the schedule, not a monthly figure |
Morgan declines the protector, keeps the cash price on debit, or sets autopay to the payoff pace, not the minimum. Off-desk paths: Finance furniture without store cards.
Reading order (five minutes)
- Circle cash price and amount financed; subtract any add-ons you can refuse.
- Find promo end date and whether interest is deferred or true waived 0%.
- Compare printed minimum to amount financed ÷ months.
- Note go-to APR and late-fee language.
- Photograph every page before you leave the desk: Comparing financing offers.
Checklist
- Refuse to sign until cash price and financed price sit side by side.
- Strike optional protection plans from the amount financed when you do not want them.
- Calendar promo end with a buffer; pay to $0 early if the schedule is tight.
- Confirm soft vs hard credit check on the application.
- Keep the disclosure PDF with the delivery receipt.
Educational only. Not credit advice or an offer of credit. Disclosure formats and promo rules vary by creditor and state; the signed agreement controls.