Hire Purchase - For Businesses and Private Individuals
The oldest and most traditional method of acquiring a vehicle, other than outright purchase, where you repay the capital cost of the vehicle plus interest over a set period.
Benefits for Private Individuals/Business Users
- No huge deposit required
- Fixed monthly repayments
- Fixed interest rate
- Keeps savings intact
- Outright ownership
Disadvantages
- Monthly repayments are higher than other finance packages
- Can Limit your choice of vehicle
- Depreciating asset