Business Insider

There are over 80,000 videos on YouTube dedicated to showing people the process of assembling furniture from Ikea, and those aren't even the funny ones.

The Swedish retailer is notoriously known for its cost-effective products that appeal to Millennials and people living on tight budgets alike, as well as the grueling task of figuring out how to put the furniture together that always accompanies a purchase. As much as the retailer's products are chic and economical, they're also admittedly kind of a pain. With their latest business decision, the company hopes to combat this issue.

Last month, Ikea announced that they would be purchasing the startup company TaskRabbit and hopes that by the time the merger is complete, Ikea customers would directly be able to hire "Taskers" when they purchase their furniture.

IKEA

The deal is one of mutual benefits for both companies.In a statement released by the company, President and CEO of IKEA Group, Jesper Brodin said, "We will be able to learn from TaskRabbit's digital expertise, while also providing IKEA customers additional ways to access flexible and affordable service solutions to meet the needs of today's customer." Stacey Brown-Philpot, CEO of TaskRabbit agreed, saying "With IKEA Group ownership, TaskRabbit could realize even greater opportunities; increasing earning potential of Taskers and connecting consumers to a wide range of affordable services."

TaskRabbit began 2008 as "an innovative sharing-economy on-demand platform," where users are connected with "Taskers" to help them complete a wide array of projects, from home improvement to housekeeping to yes, moving and putting together your furniture, which is a highly-demanded task in New York City. The service was grossed around $50 million since its inception.

TaskRabbit services have already been implemented in Ikea branches in the United Kingdom, where customers are able to book the services at fixed prices in locations surrounding the London area. The hope is that the success of this program will play out similarly when it comes stateside.

The deal, which was made at an amount left undisclosed by the companies, was done in hopes of Ikea expanding its outreach to online consumers (a market Amazon currently dominates), as well as an attempt to better utilize the "gig-economy" that is quite popular among the top purchasers of Ikea's products.

However, there are some downfalls in signing up with the service, such as the requirement that the furniture must be anchored to the wall as Ikea suggests in its retail package. If this is not done, the Tasker will not complete the assembly. The safety reasons behind the decision are quite logical after the scandals of dressers falling over and injuring people (particularly children), but it's fairly impractical to expect customers likely living in rented units to create more damage to their homes simply to purchase what they originally thought was cost effective furniture.

Task Rabbit

It will have to be seen whether or not the pros of having someone assemble your furniture make it a better buy than investing in a sturdier piece. At the very least, it's something worth experimenting with when the service is fully rolled out in shops throughout the end of the year.

Perhaps the next time you head to Ikea for a home purchase, the only thing you'll have to stress out about is how many meatballs you should order.

Subscribe to PayPath Newsletter
PayPath
Follow Us on

It's easy to forget that the presidency of the United States is a government job just like any other–in that it comes with a stipulated salary and benefits.

But regardless of their bombastic rhetoric or self-serious public image, politicians are like all other government employees. The president, vice president, and legislators earn an annual income from the government in exchange for their duties, which include: executing/circumventing the law, upholding/withholding the civil liberties of American citizens, and legislating/sabotaging how societal institutions meet the needs of citizens, from healthcare to education.

If you've ever wondered what American politicians earn for all their hard work arguing across the aisle and starting Twitter feuds, look no further:

Keep reading Show less

Maybe you've had a high stress occupation before, like social work or stock trading, and fell victim to the high burnout rate of these kinds of jobs.

Or maybe you're just starting your career, and looking for something that won't take over your life but will still provide you with a good living. Whatever reason you have for looking for a high paying, low-stress job, you've come to the right place. We've compiled a list of the top 5 jobs that promise a solid paycheck without taking too much out of you.

Keep reading Show less

What do you do when financial hardship hits and you can't make your monthly mortgage payments? This is a question on many homeowner's minds as nearly 17.8 million Americans are reportedly unemployed during the coronavirus pandemic.

When homeowners face financial hardship, such as the loss of a job, they often look to obtain a forbearance agreement from their lender. A forbearance happens when your lender grants you a temporary pause or reduction in monthly payments on your mortgage. Forbearance is not the same as payment forgiveness, in that you still have to pay the entire amount back by an agreed-upon time.

Mortgage lending institutions differ on their mortgage relief policies and qualifications; however, the Coronavirus Aid, Relief, and Economic Security (CARES) Act were signed into law in late March of this year to protect government-backed mortgages.

Federally backed mortgages include:

  • Fannie Mae
  • Freddie Mac
  • The Federal Housing Administration (FHA)
  • The US Department of Veteran Affairs (VA)
  • The US Department of Agriculture (USDA)

Under the CARES Act, homeowners with a federally backed loan who either directly or indirectly suffer financial hardship due to coronavirus automatically qualify for mortgage forbearance.

Even if your mortgage is not secured by one of these agencies, you still can call and see if you qualify, as many lenders will still offer the option in order to avoid foreclosures.

Under the CARES act, homeowners can claim mortgage forbearance due to financial hardship from COVID-19 for up to 12 months without requiring any documentation or verification. During the forbearance period, mortgage lenders cannot charge late fees or penalties.

Additionally, as long as your mortgage is current at the time you claim forbearance, the lender is required to keep reporting your mortgage as paid current throughout the entire period.

At the end of the forbearance, the CARES act protects consumers from having to make a lump sum payment. Instead, you will be given a repayment plan from your provider. Since repayment options vary, it's important you ask your provider about all of your repayment options.

Possible Repayment Options:

You may be eligible for a loan modification at the end of your forbearance. With modification, the mortgage terms are changed in order to add payments that were missed during the forbearance onto the end of the loan, extending the term.

Another option that may work for some is a reduced payment option. This allows you to keep paying monthly payments at a reduced amount. The amount missed is usually added back into the monthly payments at the end of the forbearance.

For example:

Regular payment: $1000 per month

Reduced payment: $500 per month

Payment after forbearance period: $1500 (until caught up)

Balloon payments, or lump sum payments at the end of the forbearance, are prohibited under the CARES Act. However, mortgage lenders may require homeowners who are not protected under the CARES Act to make a balloon payment at the end, so again it is best to check first with your provider.

Mortgage forbearance should only be considered in true financial hardship. In other words, just because of the pandemic, you should not take a forbearance on your mortgage if you can still afford your payments. Likewise, if you are able to start making payments before the forbearance period is up, it's best to do so as soon as possible.

The Next Steps:

Before you get in touch with your mortgage servicer, save time by gathering as much documentation about the mortgage as you can. Also, be ready to list your income and monthly expenses. Due to an influx in calls, financial institutions are experiencing extremely long wait times right now, and having your information at the ready will help.

Have questions ready to ask. Here are some questions you should be asking:

  • What fees are associated with the forbearance?
  • What are all the repayment options available to you at the end of the forbearance?
  • Will you be charged interest during the forbearance period?

If your forbearance is approved, make sure to keep all documentation pertaining to it. Make sure to cancel any automatic payments to the mortgage during the forbearance period, and keep tabs on your credit report to make sure your lender doesn't report the loan as unpaid.


For more information on forbearance, contact your lender and discuss your options. If you need more assistance with understanding your options, you can contact a local agent for the housing counseling agency, or call their hotline at 1-800-569-4287.