HVAC Financing: Reducing the Turmoil of Emergency Repairs
In the HVAC field, we see A LOT of stressed out homeowners facing significant and unexpected expenses during emergency situations. Many then overspend, barely meeting excessive financing terms agreed upon during the equipment replacement process.
For example, it’s a cold snap and a customer’s boiler cracks and begins leaking water into their basement. The boiler will need to be isolated and turned off to stop the leaking (and to keep the basement from flooding), but it will also need to be replaced promptly out of concern for freezing water pipes and freezing cold occupants.
This circumstance, depending on the size of the boiler system, will cost the average consumer anywhere from $7,000 to $15,000. Similarly, full A/C system replacements can happen unexpectedly in the summer, and usually total significant amounts of money. In either situation, homeowners are inconvenienced and financially burdened, without an easy and affordable alternative to paying out of pocket or swiping a high-interest credit card.
Most of us tend to put any extra money we have, towards FUN things like toys, vacations, or new patios; understandably, very few of us set aside funds that leave us able to pay out of pocket for steep and significant house repairs, as mentioned above. There is no reason to be embarrassed. Big-ticket items around the home can set anyone back, oftentimes when we are least prepared.
To compound an already-stressful situation, homeowners often panic and feel pressured or forced to make rash purchasing decisions, based on what they “can afford.” Frequently, some sort of concession is made either in the quality / efficiency of equipment purchased, or the quality of the outfit installing it! Another pitfall in these circumstances is the use of standard consumer credit cards, which can potentially rack up high interest and finance charges.
This doesn’t need to be the case.
Once comfortable with the process, we quickly realized that it’s a helpful and powerful option for customers of ALL income levels and financial standing. It alleviates in-the-moment turmoil, unlocking funds at a reasonable rate and advancing the good practice of entirely planned HVAC improvements, replacements, and/or brand new installations.
Now, rather than rushing a repair and incurring an average of *19.21% interest for a new credit card or **15.09% APR for an existing account (the highest average credit card APR in US history since 1994!), our customers can easily and drastically cut down on dilemma-induced gloom and debilitating debt.
Here are a couple rule-of-thumb calculations that prove the value of using HVAC Financing through Synchrony Financial:
- A homeowner facing an $8,500 boiler or air conditioning system replacement project could choose to finance over five years, for around $170/month @ 7.99% interest. Or, if they wanted to pay the same project off with zero interest, they could do so for $475/month.
- A homeowner opting to install a ductless cooling or heat pump system could purchase an entry-level single head system for around $100/month @ 7.99% interest. Or, if they wanted to pay the project off with zero interest, they could do so for around $275/month.
These examples are significantly more attractive to most consumers. In each, the homeowner will avoid paying for the entire project cost at the outset, their interest rates will be on average 50% cheaper than the national standard, and they won’t face any early payment penalties. This establishes all-around payment flexibility and fairness, protecting our customers and their wallets.
HVAC Financing through Synchrony Financial has already given countless East Coast HVAC clients more financial freedom than conventional credit card alternatives, allowing them to invest in better systems, live more comfortably, drive up home value, and reduce financial obligations over time.
If you’re interested in learning more, please give us a call. The application/approval process is extremely simple and we’re excited to discuss how proper financing will improve your home, your life, and your future.