Nov. 23--The credit crunch is reviving an old payment strategy for the holidays in Northeast Pennsylvania: layaway.

"It's a good purchasing tool in these uncertain economic times," said Ludwig Bstieler, an associate professor of marketing at the University of New Hampshire's Whittemore School of Business and Economics. "It's a very buyer-friendly strategy. There's not much risk for the consumer."

Layaway offers those of a lesser income an opportunity to make a purchase they would not normally be able to make, he explained.

"One can plan out his or her purchases, and how they are going to pay for them, on an item that is not needed right away," Mr. Bstieler said. "You can lock a product in at a certain price, and pay on installments."

Retailers also reap the benefits of the return of layaway programs.

"It does not affect the corporate line," he said. "And, it does not reflect on credit at all, and can actually help build someone's credit rating."

The practice dates back to the early 1920s, before the Great Depression, when weekly purchase plans were offered.

In Northeast Pennsylvania, retailers such as Boscov's, Kmart, Sears and TJ Maxx offer layaway. Boscov's has had the popular program for decades.

"It has increased in some of our stores recently," said Bonnie Katzaman, Boscov's policies and procedures director. "And, there are other retailers who are advertising as much as we are."

Boscov's layaway program does not carry a fee. Clothes can be placed in layaway for 30 days, and most other merchandise for up to 60 days. Toys and trim-a-tree merchandise has to be out of layaway by Dec. 20.

"The customer has to put 10 percent or $5 down, whichever is greater," Ms. Katzaman said. "Every two weeks, the customer makes a payment of 10 percent or $5, whichever is greater, and repeats the action until the merchandise is paid off. There is a $5 cancellation fee."

Layaway is better than credit, she said, because there are no credit checks.

"It's kinda like cash and carry," she said. "But you can use a credit card to pick it up."

For those who can't get a credit card -- especially in this current credit crunch -- or who may have maxed out their cards, layaway may be the only alternative available to a holiday shopper aside from using cash.

Kmart and Sears, now under the same ownership, are actively advertising their layaway programs. Sears terminated its program in 1989, and recently brought it back, but just for the holidays. Sears' layaway program will end Dec. 23; Kmarts' will remain in place yearlong.