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What is Hire Purchase vs Leasing Explained about?

Hire purchase and leasing are financing arrangements where goods are obtained without upfront payment. [1] Under hire purchase, ownership remains with the seller until final payment but possession transfers immediately to the buyer. [2] Leasing allows use of an asset through rental payments without requiring purchase; the lessee gains use of the asset while ownership remains with the lessor. [3] Both provide alternatives to purchasing goods with cash.

Author

Hari Sankar

Language

EN