Introduction
Hire purchase is simply
a loan agreement to hire with the option to purchase.
You enjoy all the benefits of using the car, whilst
the finance company retains an interest in the
vehicle until the last payment is made.
How it works
A deposit is paid on delivery
of the vehicle, leaving the balance plus interest
paid over an agreed period by equal monthly installments.
Full title passes to you upon final payment.
Benefits
• Fixed rate
of interest means easy budgeting
• Low initial capital outlay
• Releases savings for other uses
• Repayments are tailored to suit your budget
• Ownership at the end of the agreement
• Keeps important bank credit line intact
• Allows interest to be earned on savings
• Convenient, with quick decision and simple
application
• Covered under the “Consumer Credit
Act”
