Representing Koalafi and the Lease-to-own solution

To avoid confusion during advertising or a sale with Koalafi, it is important to ensure consumers are provided with an accurate and clear representation of Koalafi’s Lease-To-Own product.

It is important not to advertise or represent Koalafi’s lease product as a loan, credit card, or similar. This includes using banking-related terms such as interest, down payment, application fee, or buy now pay later. Koalafi may be referred to as Lease-To-Own (LTO), Rent-To-Own (RTO) or Rental Purchase.

Consumers should know that Koalafi purchases the items directly from the merchant, and ownership can be acquired by completing all scheduled payments in the Lease Term, or by taking advantage of an Early Purchase Option offered by Koalafi.

Koalafi advertises it does not need specific credit requirements to apply, but this could be misinterpreted if not communicated properly. The proper “No Credit Needed” disclosure is provided via the Merchant Portal where you can find Marketing Materials/Guidance.

Merchants should not advertise this as “No Credit Check”, “No Credit Impact”, or similar. Koalafi cannot promise any kind of impact towards a consumer’s credit profile.

Due to the nature of Lease-To-Own regulations and statutes, Koalafi’s offerings may differ by state, such as with the Initial Payment amount or Early Purchase Option timeframe. Merchants should confirm what terms they have at their location before advising specifics to customers and including them in marketing materials.

If you have any questions about Koalafi’s offerings for your location, feel free to contact Merchant Support at 844-238-6500