Advantages of Hire Purchase
- You can access newer, higher specification cars. …
- You can spread the cost over a fixed term. …
- The interest rate is fixed. …
- You’ll own the car at the end of the agreement. …
- Option to pay off the loan early. …
- There are fewer restrictions.
”Weigh up the Pro's and Con's to decide if HP is right for you when buying a car
EmanFounder OnestopSave
Disadvantages of Hire Purchase
- No ownership before the end of the contract term.
- More expensive than buying.
- Lower credit score = higher interest rates.
- Late payments = damage to the credit score.
- Impractical as a very short-term agreement.
This information is intended for editorial purposes only and not intended as a recommendation or financial advice