Most people, when it’s time to replace their air conditioner or furnace, think about whether they can afford to do so. Any HVAC appliance is an investment. And if your goal is comfort and quality, and to have a long-lasting system, you’re going to have to spend. At Sky Heating & Air Conditioning, we offer financing options to help you afford the system you need. If you’re looking for HVAC financing for bad credit near you, here’s a look at how the process works.

How to Find The Best HVAC Financing for Bad Credit Near You

1. Select an HVAC Unit

You first must know what you need and choose properly sized equipment. The more efficient the appliance, the more it will cost. Variable-speed systems are also more expensive than single- or two-stage units. Your initial investment will be higher if you need to replace your AC and furnace at the same time, or install a dehumidifier or other indoor air quality system (although it can save you in the long run).

2. Know Your Financing Options

Most HVAC contractors that offer financing do so through partnerships with banks and other providers. A lease-to-own contract is a common option. It is suited for borrowers with poor credit or little or no credit history. Your income level is prioritized over your credit report.

At the end of your lease, you may have the option to purchase the HVAC unit. Typically, monthly payments are credited toward the price of the system, so you’ll pay less than the original sale price if you buy the appliance when the lease ends.

However, you must estimate the cost of paying back an HVAC loan. To do so, add the total cost of the unit, the interest rate for the loan, and other requirements the lender stipulates. In general, payments are lower for longer-term loans. Also, check with the lender and dealer if there are any incentives for paying off the loan early.

3. How to Apply for an HVAC Lease

Most lenders use an online application process. To find a lender, check with your HVAC equipment dealer; options should be listed on their website. For example, Sky Heating & Air Conditioning works with GreenSky, a consumer loan provider, and Microf, a relationship-based company with a rent-to-own program.

To complete an application, you first need to meet all listed qualifications. Usually, you need to prove you’re the homeowner and that you’ve been employed at your current job for a specified period of time. The lender will also check the status and activity of your checking account. A negative balance and non-sufficient funds are red flags that can get your application denied. 

But if you qualify, applying for lease is as simple as providing all the information asked for on the form.

Other Ways to Save on HVAC Appliances

Financing is the most direct way to set up an affordable payment plan. However, there are other options that can help you save after you’ve financed your HVAC system. These include:

• Federal Tax Credits: Are often available for high-efficiency systems, especially those rated by Energy Star.
• Rebates/Special Offers: Local utilities and manufacturers offer HVAC rebates, which can vary from one location to another and with who installs the equipment.
• Discounts: Depending on the HVAC contractor, jurisdictional rebates, veteran discounts, and seasonal rebates (usually from manufacturers) may be available.
• Loans: The Federal Housing Administration runs a program that lets you borrow money, if you have home equity and meet credit score requirements, without using your house as collateral. 

Contact Sky Heating & Air Conditioning

You can get HVAC financing with bad credit near you by finding the right options. We offer flexible payment plans that include options such as low or no interest, lower payments, or no payments for a period of time. Our team can help find a solution that works with your budget. To learn more or receive assistance, call (541) 275-2918 today.