Description of Product
A Corporate Hire Purchase is a convenient method to obtain immediate use of the vehicle you need. A Hire Purchase agreement is a contract for the hire of goods with an option to purchase at any time during the agreement. This type of financing is traditionally for business user and can be approved in the name of an individual or company
Features
• Terms range from 1 to 5 years
• Interest rate is fixed for the term of the hire purchase agreement as are your rentals
• You can pay your rental via the method of convenience to you
• Other costs associated with the purchase can be financed on the contract (like insurance & Rego)
• Finance 100% of the of the purchase subject to credit approval
• You can have a final balloon payment which will make your regular repayment smaller subject to credit approval
Benefits
• Payments can be structured to suit your individual needs, with your budget and cash flow taken in to consideration
• With a fixed interest rate you are protected against interest rate fluctuations
• By Financing other costs and insurance you can preserve your cash flow for other purposes
• Interest and depreciation is generally tax deductible (consult your accountant)
• A Balloon payment will lower your regular monthly rental and this not only improves your cash flow, but makes your vehicle more affordable
• Ownership automatically transfers to you with the final payment
GST and Stamp duty
Rentals on Hire Purchase agreements are not subject to GST nor is the balloon payment. GST may be payable on the purchase of the vehicle and other components of the transaction
(consult your accountant).