Renting an appliance: what to check before you sign
Renting or subscribing to an appliance can mean no up-front cost and included servicing, but over the full term you may pay far more than the purchase price. Work out the total first.
Total rental cost
Total rental cost = monthly fee x number of months + set-up and other fees
$40 a month for 60 months is $2,400. Compare that with the purchase price plus five years of consumables and likely repairs. The difference is what you pay for convenience and servicing.
Contract checklist
- Who owns the product at the end, or must you return it or renew
- Early termination fees and how they are calculated
- What happens if you move, and whether there is a transfer fee
- How often consumables are replaced and whether visits are included
- What is covered if it breaks, and who pays
- Price increase clauses and payment terms
When renting can make sense
- You value hands-off servicing
- You move often and do not want to own bulky equipment
- Up-front cash is tight, accepting that total cost is higher
When buying usually wins
If you can change consumables yourself and will keep the product for years, buying is often cheaper in total. See water filter cost per gallon for a worked comparison method.