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hire purchase agreement

Spanish translation: contrato de locación-venta

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GLOSSARY ENTRY (DERIVED FROM QUESTION BELOW)
English term or phrase:hire purchase agreement
Spanish translation:contrato de locación-venta
Entered by: alicia
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02:22 Jun 25, 2001
English to Spanish translations [PRO]
Bus/Financial
English term or phrase: hire purchase agreement
It reads "Attached is the hire purchase agreement between XXXX and XXXXx...", and also "...the costs incurred by XXXX have been determined from the monthly hire purchase charges paid by XXXX for this equipment..."

Thanks a lot!
alicia
Local time: 07:07
contrato de locación-venta
Explanation:
Here's the definition, and a couple of references regarding the difference between "leasing" and "hire purchase", in case you need it.

A transaction in which the purchaser of goods pays an initial deposit and takes possession. Subsequent instalments are made over a specified time after which ownership passes to the purchaser
http://www.finance-glossary.com/terms/10685.htm


What are the differences between leasing and hire purchase?

VAT - With hire purchase (often referred to as lease purchase) you pay all of the VAT with your first instalment. Leasing spreads the cost of the VAT which is applied to each monthly or quarterly instalments. In both cases you recover the VAT but with hire purchase the initial VAT can be a sizeable amount of cash for you to find for a few months.

TAX - Both finance methods provide you with savings to offset against your year-end taxable profits. With HP, you can claim 25%, or possibly 40%, of the equipment cash price in the first year, then 25% of the balance in the second year and this continues on a reducing balance basis each year. With leasing, all the lease payments you make in the financial year can be offset against your taxable profits for that year.

Leasing can therefore be more tax efficient in the short term, if you buy something early in your financial year. On the other hand, if you make a sizeable purchase near your year-end, then hire purchase might be more tax efficient for you.


OWNERSHIP - At the end of the hire purchase agreement, title to the goods passes to you for a small transfer fee, usually £50 - £100.
At the end of a lease you generally have two options:-
To continue leasing, but on an annual basis and for an annual cost approximately 2% of the original price.
You can sell the goods on behalf of the lessor who lets you keep about 90% (it varies according to the lessor) of the sale proceeds. There is nothing to stop you selling to a friendly third party and then re-purchasing the equipment subsequently, giving you title to the goods at a token net cost to you
http://www.apt-finance.com/end-user_guide.html#hire_purchase...

Otra diferencia con la locación + venta, la vemos en el régimen de responsabilidad por reparaciones ordinarias y extraordinarias: el locatario s¢lo responde por arreglos menores, correspondiendo los restantes al locador (cfrme. arts.1515, 1516, 1573 y ccdtes.del C.Civil). Por contrario en el leasing es el tomador quien responde por los gastos ordinarios y extraordinarios de conservación y uso, salvo convención en contrario
http://www.cpacf.org.ar/barra/Leasing.htm

Regards,

Patricia
Selected response from:

Patricia Lutteral
Argentina
Local time: 09:07
Grading comment
4 KudoZ points were awarded for this answer

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Summary of answers provided
nacontrato de locación-venta
Patricia Lutteral
naAcuerdo de alquiler-ventaPilar T. Bayle


  

Answers


15 mins
Acuerdo de alquiler-venta


Explanation:
English Term hire purchase
Reference EP/IT
Spanish Term alquiler-venta

Hope it helps!



    Reference: http://europa.eu.int/eurodicautom/
Pilar T. Bayle
Local time: 13:07
Native speaker of: Native in SpanishSpanish
PRO pts in pair: 183
Login to enter a peer comment (or grade)

3 hrs
contrato de locación-venta


Explanation:
Here's the definition, and a couple of references regarding the difference between "leasing" and "hire purchase", in case you need it.

A transaction in which the purchaser of goods pays an initial deposit and takes possession. Subsequent instalments are made over a specified time after which ownership passes to the purchaser
http://www.finance-glossary.com/terms/10685.htm


What are the differences between leasing and hire purchase?

VAT - With hire purchase (often referred to as lease purchase) you pay all of the VAT with your first instalment. Leasing spreads the cost of the VAT which is applied to each monthly or quarterly instalments. In both cases you recover the VAT but with hire purchase the initial VAT can be a sizeable amount of cash for you to find for a few months.

TAX - Both finance methods provide you with savings to offset against your year-end taxable profits. With HP, you can claim 25%, or possibly 40%, of the equipment cash price in the first year, then 25% of the balance in the second year and this continues on a reducing balance basis each year. With leasing, all the lease payments you make in the financial year can be offset against your taxable profits for that year.

Leasing can therefore be more tax efficient in the short term, if you buy something early in your financial year. On the other hand, if you make a sizeable purchase near your year-end, then hire purchase might be more tax efficient for you.


OWNERSHIP - At the end of the hire purchase agreement, title to the goods passes to you for a small transfer fee, usually £50 - £100.
At the end of a lease you generally have two options:-
To continue leasing, but on an annual basis and for an annual cost approximately 2% of the original price.
You can sell the goods on behalf of the lessor who lets you keep about 90% (it varies according to the lessor) of the sale proceeds. There is nothing to stop you selling to a friendly third party and then re-purchasing the equipment subsequently, giving you title to the goods at a token net cost to you
http://www.apt-finance.com/end-user_guide.html#hire_purchase...

Otra diferencia con la locación + venta, la vemos en el régimen de responsabilidad por reparaciones ordinarias y extraordinarias: el locatario s¢lo responde por arreglos menores, correspondiendo los restantes al locador (cfrme. arts.1515, 1516, 1573 y ccdtes.del C.Civil). Por contrario en el leasing es el tomador quien responde por los gastos ordinarios y extraordinarios de conservación y uso, salvo convención en contrario
http://www.cpacf.org.ar/barra/Leasing.htm

Regards,

Patricia

Patricia Lutteral
Argentina
Local time: 09:07
Native speaker of: Spanish
PRO pts in pair: 1564
Login to enter a peer comment (or grade)




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