Hire purchase increase

Press, 27 August 1979, Page 6

Hire purchase increase

The value of New Zealand goods bought on’ hire-pur-chase agreements rose about 12 per cent in the year ended June 30, compared with the previous year, but the percentage of overdue payments was down in spite of poor economic conditions. Figures given by the Statistics Department yesterday indicate that $544.4 million worth of goods was sold by surveyed businesses during the year ended June 30. That was ss9.2miljion more than the previous I year's total. Sales on hire| purchase by surveyed businesses represented only 72 per cent of hire-purchase sales in 1967-68, because some businesses since they have used other forms of lending. Under hire-purchase agreements made in the latest quarter, the average amount of coverage for a motor vehicle was $3128, compared with $2683 for the same quarter a year ago. The average television set coverage was $647, compared with $667 a year ago. Tbe motor vehicle category includes tractors, motor-cycles, trucks, caravans and trailers. In the latest quarter. 2.2 per cent of hire-purchase payments were overdue, compared with a recent peak of 2.7 per cent in late 1977.