(also known as Hire Purchase or Offer To Hire, often abbreviated as CHP or HP)

A Commercial Hire Purchase (CHP) is a commercial finance product where the customer hires the asset from the financier for a fixed monthly repayment over a set period.

How does a Commercial Hire Purchase (CHP) work?
Under a Commercial Hire Purchase arrangement the financier agrees to purchase the asset on behalf of the customer, and then hire it back to them over a set period.

The customer has the use of the asset for the term of the contract but is not the owner of the asset.
At the end of the contract term when the total price of the asset and the interest charges have been paid in full, the customer takes ownership of the car.