| Pros and
Cons of Hire Purchase |
|
A Hire
Purchase agreement is a conditional sale and legitimate title
doesn't change hands until the final monthly repayment has
been paid.
The
consumer has possession of the goods, but they cannot be sold
until the item has been fully paid-off. Hire purchase (better
known as HP) is regularly offered by merchants to enable
consumers to buy cars and a variety of white goods, including
dish washers, laptop computers and fridge freezers. Whilst
some merchants offer interest-free credit, others charge a
high interest rate when a consumer has a bad credit rating.
|
