Hire Purchase vs Leasing

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  1. #1

    Join Date
    Jul 2010
    Location
    Hong Kong
    Posts
    5

    Hire Purchase vs Leasing

    To all car owners, could you please share your thoughts whether it's better to buy a new car using Hire Purchase (HP) or Leasing?
    I've read in some really old posts that most people prefer HP here in HK. But few (new car) dealers are saying that leasing is now more popular. Is that true?

    I understand that since the rate on HP is higher, you incur higher total interest, hence your total cash outlay will be more but your monthly bill is lower vs. leasing. Any other pros & cons between the two? Appreciate any one's comment.


  2. #2

    Join Date
    May 2006
    Location
    Pampanga, Philippines
    Posts
    29,769

  3. #3

    Join Date
    Jul 2010
    Location
    Hong Kong
    Posts
    5

    Thanks for the link. However, the leasing mentioned is not the same as the ones in HK.

    Wonder any other car owners may share their experience? Thanks.


  4. #4

    Join Date
    Nov 2014
    Posts
    11

    Why dont you consider to buy a second hand car and sell it when you dont need it?
    It properly cost less