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Hire purcase is somthing to similar to instalment purcase through intermideary oa lender the ownershpi passes on it the byer no only after paying all the dues and installment but also when the lender agrees to sell.
In Practical
Hire Purchase, where only 2 parties are involved, the buyer and seller. Seller sells the goods with proper Invoice with Sales Tax, buyer ask him to charge some interest and give him facility to pay in installments. Property is of seller till contract is over.
Hire Purchase finance, where 3 parties are involved, the buyer, the seller and the financier. Seller sells the goods with proper Invoice with Sales Tax, buyer pays whatever possible by him, and ask its financier to pay the balance. The seller is out of picture now. Property is of financier now till the contract is over. The financier recieves its money in installments, and nothing to do with Sales Tax.
Hypothecation:
Hypothecation is a position where the owner assigns the right of ownership to the lender through still holding the possession.
In practical Hypothecation, where 3 parties are involved, the buyer, the seller and the financier. Seller sells the goods with proper Invoice with Sales Tax, buyer pays whatever possible by him, and ask its financier to pay the balance to be treated as "loan" against the property which he is about to acquire. The seller is out of picture now. Property is of buyer now. It is given as security against the loan which buyer has taken from financier.recieves its money in installments, and nothing to do with Sales Tax.
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What is the difference between hire purchase and installment sales?
Whd0
What are the differences between hire purchase transaction and deferred payment?
give three similarities and three difference between hire purchases and deferred payment
What is the difference between hire purchase and bank credit?
With bank credit, you are buying it - and making monthly payments to the bank which loaned you the money. With hire/purchase, you are buying it on a month-by-month basis, and paying the person who owns it once a month, until it is "paid off" and you then own it. Surprisingly, "hire/purchase" frequently turns out to be the more expensive of the two in the long run.
When was the Origin or development of hire purchase?
origin and development of hire purchase
What is the difference between hire purchase and credit sales?
1. hire purchase(HP) is an agreement of hire, whereas credit sales is an agreement of sale. 2. ownership of goods is transferred from hire vendor to hire purchaser only when the last installment is paid, but in sales, ownership is transferred immediately to the buyer. 3. price is paid by the hire purchaser through installment which is treated as hire, but in sales price is paid in lumpsum or according to the agreement of sale. 4. the hire vendor can repossess the goods on default. but in sales the seller cannot take back the goods, whatever is the case. 9634357689
What is the difference between hire purchase and installment sales?
Whd0
What are the differences between hire purchase transaction and deferred payment?
give three similarities and three difference between hire purchases and deferred payment
What is the difference between rent or hire?
You rent something out.You hire something in.
What is the difference between hire purchase and bank credit?
With bank credit, you are buying it - and making monthly payments to the bank which loaned you the money. With hire/purchase, you are buying it on a month-by-month basis, and paying the person who owns it once a month, until it is "paid off" and you then own it. Surprisingly, "hire/purchase" frequently turns out to be the more expensive of the two in the long run.
What are the similarities between sale of goods and hire purchase agreement?
i
What is the Difference between dry and wet car hiring?
dry hire is vehicle hire without fuel and wet hire is vehicle hire with fuel
When was the Origin or development of hire purchase?
origin and development of hire purchase
What is the difference between hire purchase and credit sales?
1. hire purchase(HP) is an agreement of hire, whereas credit sales is an agreement of sale. 2. ownership of goods is transferred from hire vendor to hire purchaser only when the last installment is paid, but in sales, ownership is transferred immediately to the buyer. 3. price is paid by the hire purchaser through installment which is treated as hire, but in sales price is paid in lumpsum or according to the agreement of sale. 4. the hire vendor can repossess the goods on default. but in sales the seller cannot take back the goods, whatever is the case. 9634357689
What are the advantages of hire purchase as a source of finance?
Hire purchase can give the good profit,
What are the features of a hire purchase system?
buyer and seller make written and legal agreement between them
Advantage of hire purchase?
One advantage of hire process is that it allows low-income individuals to purchase items that would otherwise be out of their budget. Hire purchase is also known as installment plan.
Why would a company use hire purchase?
The legal term for hire purchase is a contract. Companies may prefer using hire purchase because it spreads the costs of expensive items over a period of time.
