ColorTyme

ColorTyme is an American rent-to-own retail brand and a wholly owned subsidiary of Rent-A-Center. The brand operates independently within the Rent-A-Center corporate group, offering consumer goods through rental-purchase arrangements rather than conventional cash sales or standard installment financing. Its business model is designed for customers who may prefer recurring rental payments and the option to obtain ownership after completing the applicable agreement. Public reference material identifies ColorTyme primarily through its relationship with Rent-A-Center and through litigation concerning the legal and economic character of its lease agreements. In the early 1990s, consumer-protection authorities and courts challenged whether ColorTyme agreements were genuinely leases or instead functioned as credit sales. These proceedings focused on the effective cost of the arrangements, disclosure of interest and credit terms, and the application of state consumer-credit laws. In 1994, the Minnesota Supreme Court ruled in Miller v. ColorTyme that the company's agreements fell within Minnesota's Consumer Credit Sales Act. The court characterized the arrangements as sales on credit rather than simple leases and held that ColorTyme was charging usurious interest rates to customers. A separate action initiated by the Wisconsin attorney general's office in 1993 resulted in a $25,000 fine and requirements that the company disclose interest rates and other credit terms to consumers. ColorTyme later settled a class action brought by the Legal Aid Society of Milwaukee. The settlement reportedly totaled $2.9 million and included $675,000 in interest-free loans for low-income individuals and families. These cases are significant to ColorTyme's brand history because they illustrate the regulatory scrutiny directed at rent-to-own businesses and the importance of distinguishing rental-purchase contracts from consumer credit. The available reference material does not provide reliable details about ColorTyme's founding date, headquarters, product assortment, current store count, current executives, or present operating status. Accordingly, this dossier treats the brand's corporate ownership as established but leaves unsupported operational details unspecified.

ColorTyme is a United States rent-to-own retail brand that operates as a wholly owned subsidiary of Rent-A-Center. Reference material describes the brand as independently owned and operated within that corporate relationship. The available account does not establish a founding year, founder, headquarters, original store location, or a detailed chronology of its expansion. The most documented part of ColorTyme's history concerns legal challenges to its rental-purchase contracts. The cases arose from debate over whether the company's agreements were true leases or whether they functioned economically and legally as sales financed through credit. That distinction affected the applicability of state consumer-credit statutes, the calculation and disclosure of interest, and the limits imposed on charges to customers. In 1993, the office of Wisconsin Attorney General James E. Doyle filed an action concerning ColorTyme's practices. The matter resulted in a $25,000 fine and obligations to disclose interest rates and other credit terms to consumers. The proceeding illustrates the scrutiny faced by rent-to-own companies whose contracts may combine possession of merchandise, recurring payments, and an eventual ownership option. The following year, the Minnesota Supreme Court issued its decision in Miller v. ColorTyme. The court ruled that ColorTyme's agreements were covered by Minnesota's Consumer Credit Sales Act. It further determined that the agreements were not merely leases but sales on credit and held that the company was charging usurious interest rates. The decision became the central legal reference associated with ColorTyme in publicly available summaries. ColorTyme also later settled a class action brought by the Legal Aid Society of Milwaukee. The settlement was reported as $2.9 million and included $675,000 in interest-free loans to low-income individuals and families. The settlement added a consumer-relief dimension to the legal history surrounding the brand, while the Minnesota decision and Wisconsin action focused on classification, pricing, and disclosure of the contracts. Beyond these proceedings and its ownership by Rent-A-Center, the supplied reference material contains little verified information about ColorTyme's product categories, marketing campaigns, executive leadership, store network, financial performance, or current status. The brand's documented historical profile is therefore best understood through its role in the rent-to-own sector and the consumer-credit litigation that shaped public discussion of its agreements.

• 1994

  Minnesota Supreme Court decision

  [1]ColorTymeen.wikipedia.org

  In Miller v. ColorTyme, the Minnesota Supreme Court held that ColorTyme agreements were governed by the Consumer Credit Sales Act, constituted credit sales rather than simple leases, and involved usurious interest rates.

• 1993

  Wisconsin consumer-credit action

  [1]ColorTymeen.wikipedia.org

  An action filed by the Wisconsin attorney general's office led to a $25,000 fine and requirements for disclosure of interest rates and other credit terms.

• Milwaukee class-action settlement

  [1]ColorTymeen.wikipedia.org

  ColorTyme settled a class action brought by the Legal Aid Society of Milwaukee for a reported $2.9 million, including $675,000 in interest-free loans for low-income individuals and families.

Rent-to-own consumer retail offering recurring payments and a path to ownership, with the brand historically associated with lease-to-own agreements.

• 1994

  Miller v. ColorTyme

  The Minnesota Supreme Court found that ColorTyme's agreements were credit sales governed by the state's Consumer Credit Sales Act and held that the company charged usurious interest rates.

  Source

• 1993

  Wisconsin attorney general action

  A Wisconsin action concerning ColorTyme's consumer-credit practices resulted in a fine and mandated disclosure of interest rates and other credit terms.

  Source

• Legal Aid Society of Milwaukee class-action settlement

  ColorTyme resolved a class action through a reported $2.9 million settlement that included interest-free loans intended to benefit low-income individuals and families.

  Source

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• 1993

  Consumer-credit disclosures in WisconsinOther

  Background

  A Wisconsin attorney general action challenged aspects of ColorTyme's rental-purchase arrangements and their treatment of interest and credit terms.

  Action taken

  The matter ended with a $25,000 fine and requirements to disclose interest rates and other credit terms to consumers.

  Aftermath

  The proceeding increased disclosure obligations associated with the company's consumer agreements.

  Fine. $25,000 (1993)

  Source

• Milwaukee class-action settlementOther

  Background

  A class action brought by the Legal Aid Society of Milwaukee addressed consumer concerns relating to ColorTyme's agreements.

  Action taken

  ColorTyme agreed to a reported $2.9 million settlement, including $675,000 in interest-free loans for low-income individuals and families.

  Aftermath

  The settlement provided consumer relief and further associated the brand with scrutiny of rent-to-own contract costs and terms.

  Settlement value. $2.9 million

  Source

1. 1ColorTymeen.wikipedia.org