Whether it’s a new jacuzzi tub or an extensive bathroom overhaul, sometimes a plumbing project can leave you with a big bill. For many homeowners, it isn’t practical to keep a reserve fund for these types of issues. That’s why it is so important for plumbers to offer financing options for their services. Plumbing financing is a great way to boost service orders and attract more customers, especially in an industry where competition is high.
While paying cash is always the cheapest option, not everyone has that luxury. For people with less-than-stellar credit scores, there are a few ways to obtain plumbing financing for bad credit. Some options include home equity loans, HELOCs, and personal loans. Some large plumbing companies also offer integrated customer financing through a partnered company. In this article, we’ll explain what plumbing financing is, the different kinds of loans available, and the pros and cons of each.
What Is Plumbing Financing?
Plumbers are a highly skilled trade that are used to handling a lot of water. However, even expert plumbers can run into a problem with their work from time to time. These plumbing problems can range from clogged pipes to a burst pipe, and they can be expensive to fix. In some cases, it may be necessary to replace entire parts of a plumbing system. In these situations, it’s important for homeowners to understand their options for financing a plumbing repair or upgrade.
Financing options are available for most plumbing repairs, upgrades, and replacements. These options include home improvement loans, personal loans, and credit cards. Among these, home improvement loans are typically the best for plumbing projects. These loans are secured by the equity in a homeowner’s home, and the borrower is responsible for the interest on the loan. However, this type of loan can be difficult to qualify for if a person has a low credit score.
Personal loans or zero-equity home improvement loans are another popular method for financing plumbing projects. These unsecured loans are often approved within 24 hours and allow borrowers to access funds as soon as they are approved. Personal loan terms for plumbing projects range from 12 to 60 months, and most lenders don’t charge prepayment penalties.
One of the downsides to personal loans for plumbing is that they typically come with higher interest rates than other types of lending. Additionally, there are a number of restrictions and conditions that can apply to these loans. A personal loan isn’t the best choice for emergency plumbing repairs, but it can be useful for larger plumbing projects or renovations. For a faster, more convenient experience, some lenders have out-of-the-box online lending technology that offers same-day approval and money in just five days. Some of these lenders include Figure, PowerPay, and Paydivvy. These companies are a good option for borrowers who don’t want to put up their homes as collateral or are looking for more flexible loan repayment terms. To get started, visit a lender’s website to complete an online application.