When looking at your finance options, you might want to consider hire purchase. Hire purchase isn’t a lease, it’s a finance agreement.
But what is hire purchase?
In this article, we look at what hire purchase is, its pros and cons, and whether hire purchase is right for you. Hire purchase (HP) is essentially where you pay a fixed monthly payment for a certain period of time. Once that time is up, you own the car. The difference between a hire purchase and a lease agreement such as a contract hire, for example, is that you pay the monthlies with the outright intention of owning the car.
Essentially, it’s a loan that you are paying back, rather than renting the car. Some of the advantages of this option are...