Closing the credit gap: Major purchase study
What businesses need to know about shoppers with low or subprime credit.
Key insights from new Snap Finance research
Among consumers with credit scores below 670:
37%
could not have paid for a major purchase or service without financing
65%
say financing makes major purchases more affordable
37%
say their financial situation has worsened in the past three months
Takeaways for your business
Credit shapes purchasing behaviors
Credit-challenged consumers are looking for efficiency and value when choosing where to shop – most said price was a deciding factor, followed by ease of making the purchase.
65% of consumers with lower credit scores said financing availability was important when choosing where to buy.
Financing unlocks buying power
When shoppers can’t pay upfront and don’t qualify for traditional financing, lease-to-own financing and installment loans can bridge the credit gap.
48% spent more because financing was available, among those with lower credit scores who used lease-to-own or an installment loan.
Economic concerns drive purchasing decisions
Consumers with lower credit scores often delay major purchases and services and settle for lower quality items due to the economy – but sales and promotions can motivate them to buy sooner.
38% of consumers with lower credit scores delayed a major purchase or service due to economic concerns.
More time to pay means more business for you
Increased revenue
Reach more customers and close more sales with our strong approval rates1
Supercharged sales
58% of credit-challenged consumers spent more because financing was available2
Expanded reach
Target new and repeat business and generate revenue with our preapproved leads
Fast funding
Enjoy expedited payments, typically within two business days of merchandise delivery or completed invoice
Disclosures
Snap-branded product offering includes retail installment contracts, bank installment loans, and lease-to-own financing. For more detailed information, please visit snapfinance.com/legal/products
Findings based on proprietary research conducted through Accelerant Research’s Agora panel with 2,736 household are financial decision makers who made a $300+ purchase in the prior 6 months across 14 product categories. Snap Finance, August 2025.
1Not all applicants are approved. Approvals subject to underwriting qualification criteria.
2Merchant Pulse Study. Snap Finance, 2023.