Progressive Leasing is a real lease-to-own company, founded in 1999 and part of PROG Holdings, which is listed on the NYSE. Its own site says leasing costs more than the retailer's cash price, and the FTC charged it with misleading consumers about the true price, a case where it agreed to pay 175 million dollars.
Progressive Leasing turns up at the checkout of mattress stores, jewellers and electronics shops, usually with a very low first payment. It's easy to say yes in the moment, so I understand why people stop to ask whether it's legit. It is a real company, but the thing you need to understand is what a lease is, and what the FTC said about how it was explained. This isn't financial advice, just what its pages and the regulator say.
Who is behind Progressive Leasing
PROG Holdings' website describes the group as a fintech holding company headquartered in Salt Lake City, with the ticker NYSE:PRG. It calls Progressive Leasing a leading provider of e-commerce, app-based and in-store lease-to-own solutions, and says the company was founded in 1999. A listed parent, a long track record and a regulator that has looked closely at it make this a very different proposition from an unknown app.
A lease is not a loan
Progressive Leasing's site is plain about this: ownership by rental or lease agreement costs more than the retailer's cash price. You're not borrowing money to buy the item outright. You're leasing it, and ownership comes through the lease terms, including an early purchase option.
That's why the price you see on the shelf and the total you'd pay through a lease can be far apart. Before you sign, ask for the total cost to own, in writing, and compare it with the cash price.
How the payments and approval work
- Credit: the site says it obtains information from credit bureaus, but a credit history is not required, and that not all applicants are approved.
- First payment: the initial payment (plus tax) is charged when you sign the lease.
- The rest: remaining lease payments are determined when you select the item.
- Promotions: a reduced initial payment promotion doesn't lower the total cost, according to the site.
- Flexibility: it says you can purchase early or return items and cancel the lease at any time.
That last point deserves a careful read in the actual agreement: cancelling a lease is not the same as owning the item, and what you've paid already is the cost of having used it. The site also says the offer isn't available in MN, NJ or WI, so check your state.
What the FTC said about Progressive Leasing
This is the part that explains why so many people search for it. According to the Federal Trade Commission, Progressive Leasing misled consumers about the true price of items purchased through its plans. The FTC's case page says the company agreed to pay 175 million dollars, that the complaint was filed on April 20, 2020, and that the court entered the order two days later.
The trade publication JCK reported what the FTC alleged: that some customers were left thinking they'd pay no more than the sticker price, that some paid up to twice the sticker price even when they paid on time, and that the full cost appeared under a tab labelled "Additional Lease Details". JCK also reported that the order requires clear disclosure of the total cost, express and informed consent before billing, and monitoring of retailers' own marketing. Progressive stated that the settlement involved no admission of wrongdoing.
| What I checked | What the sources say |
|---|---|
| Lease or loan? | A rental/lease agreement that costs more than the retailer's cash price, per Progressive's site |
| Credit history needed? | Not required, but not all applicants are approved |
| Early purchase or return? | The site says you can purchase early or return items and cancel the lease at any time |
| Regulator action | FTC case: agreed to pay 175 million dollars; no admission of wrongdoing, per JCK |
| Parent company | PROG Holdings, listed as NYSE:PRG |
How to use a lease-to-own offer carefully
None of this means you shouldn't use it. It means the sticker price isn't the number to judge. Ask the cashier for the total of every payment, not the first one. Check what the early purchase option costs and by when. Screenshot or save the agreement. If a shop says "same as cash" or "no interest", ask them to show you that wording in the paperwork.
If you're weighing several routes for short-term money, my guides on getting a good deal on a payday loan and whether a car title loan is worth considering explain how those products compare with their own risks.
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Scams that use the Progressive Leasing name
- A text or call saying you owe money and must pay by gift card or a payment app.
- Anyone asking for an upfront fee to approve or release a lease.
- A link to a lookalike payment page.
Pay only through the portal you reached by typing the address yourself, and use the contact details on the official site. If something goes wrong, you can report it to the Consumer Financial Protection Bureau or the FTC.
So, is Progressive Leasing legit?
It's a real, listed company that sells leases, and it has told shoppers plainly on its own site that leasing costs more than the cash price. It's also been through an FTC case over how its pricing was described. Check the terms for your situation, compare the total with the cash price, and only sign what you've read.
Frequently asked questions
Is Progressive Leasing legit?
Yes, it's a real lease-to-own company that is part of PROG Holdings. The FTC also took action over how prices were explained, and Progressive stated there was no admission of wrongdoing.
Is Progressive Leasing a loan?
Its site describes ownership by rental/lease agreement. That means you're leasing the item, and it says this costs more than the retailer's cash price.
Do I need good credit?
Its site says a credit history is not required, but it obtains information from credit bureaus and not all applicants are approved.
What did the FTC say about Progressive Leasing?
The FTC charged that it misled consumers about the true price of items, and the company agreed to pay 175 million dollars.
Can I return the item or buy it early?
The site says you can purchase early or return items and cancel the lease at any time. Check your agreement for the details.
