Business hire-purchase or conditional-sale debt

​You can buy goods on all sorts of different credit agreements. With most credit, you own the goods straight away and only owe the money to the creditor.

Information:

your rights

If you or your creditor wants to end your agreement, your rights will depend on:

  • what business status you are;
  • what name is on the agreement; and
  • how the agreement is regulated.

Contact us for advice.

Hire-purchase or conditional-sale agreements are different to ordinary loans from a bank or a finance company.

  • You don’t own the goods until you make the final payment.
  • Also, the creditor could take the goods back if you fall behind on payments.

If you want to keep the goods, hire-purchase or conditional-sale debt must be treated as a priority debt. Cars are one of the most common items bought on hire purchase, but some finance companies also sell business equipment using hire-purchase or conditional-sale agreements.

Dealing with your priority debts and Business hire purchase or conditional sale