Layby

A layby, primarily in the context of the United Kingdom and Australia, is a system of purchasing goods where a customer makes regular payments over a period of time and receives the item only after full payment has been made. It offers consumers an opportunity to acquire desired items without immediate lump-sum payment, facilitating budgeting and installment plans. This arrangement typically involves the retailer holding the goods until the final payment. While the practice has lessened with modern credit card and loan options, laybys remain a viable approach for those preferring this payment structure.

Layby meaning with examples

• Sarah was delighted when her favorite store had a layby option for the new kitchen appliance she wanted, as she could afford it over several months. This would save her from taking out a high-interest loan or delaying her purchase.
• Before the school term started, the mother placed her child’s uniform on layby. That meant she could avoid the financial stress of a large upfront cost and spread payments.
• John put the electronic game console on layby a few weeks before Christmas to ensure he secured it and distributed the cost ahead of time, lessening his festive spending stress.
• The car dealership offered a layby system for a used vehicle that was ideal for the budget constrained customer, allowing him to drive his dream car once payments were done.