How to Finance a Water Softener

When water is hard it has an excessive amount of minerals, such as calcium and magnesium, which keep soap and detergent from dissolving in the water. Hard water also clogs up pipes and drains. When you purchase a water softener there are several methods you can use to finance it. Water softeners can cost as little as $100 or more than $3,000. The price you pay can be determined by variables such as the brand, type, size and number of features offered.

Difficulty: Moderately Easy

Instructions

Things You'll Need:

• Credit card
• Home equity line of credit

1. Call your credit card company and have money transferred to your checking account. You can have the company representative transfer the money into your checking account, which takes three to five days. There will be a transfer fee of 3 percent of the amount of the transfer. You can then write a personal check to make the purchase. Another option is to use the convenience checks that credit card companies issue. They look similar to your own personal checks but are drawn against your credit card credit limit. There is a fee to use these checks as well. Call your credit card company if you need checks.

2. Ask whether the retailer provides financing. Some places that sell water softeners have financing available. The terms and conditions vary from place to place. The terms and conditions you receive may not be as favorable as the terms you receive when you use your own methods of financing. You have to determine whether this method is cost-effective.

3. Access your home equity line of credit. If you have a line of credit you can receive a cash advance by going to the bank. They also issue convenience checks that are drawn against the credit limit. With a line of credit your home is pledged as collateral. Check with you bank to see whether any fees are associated with your cash advance.

4. Pay cash for your water softener. When you have the money in a bank account, financing becomes very easy. Just take the money out of your account and make your purchase. Using cash saves you from paying interest and fees. You also avoid unfavorable terms and conditions. Paying cash is the easiest method of financing a water softener.

5. Get the cash from a certificate of deposit (CD). Be aware that if you take the money out of a CD before the maturity date there will be a substantial penalty, depending on the amount of the CD and the term. The best scenario is taking the money out right when the CD matures. Once the CD matures you can take out the money you need and leave the remainder. The CD can then be rolled over again.

Tips & Warnings

• Compare all methods of financing to see which is most cost-effective.
• If you don't already have a home equity line of credit, you may not want to open one just to purchase a water softener. This is not the most cost-effective method. You will incur some fees.

References

• zero percent balance transfer offers
• home equity line of credit
• water softener FAQ