JAMB - Commerce (2014 - No. 43)
Hire purchase is advantageous to the seller in that
it elevates his living standard
his turnover will increase
people pay on installment
it enhances high level of patronage
Paliwanag
Advantages of hire purchase to seller.
- Increases sales and thus profits.
- It encourages impulse buying.
- They get commission from Finance Houses.
- Insurers good during the Hire Purchase period.
- The seller has the right to repossess the goods if the buyer defaults on payment.