The rights of hirer under the Hire-Purchase Act 1967

Hire-purchase agreement is one of the most commonly used agreement to buy car in Malaysia. The relevant act that regulates the hire-purchase transaction in Malaysia is the Hire-Purchase Act 1967 (HPA). Section 2(1) of the HPA defines hire-purchase agreement as letting of goods by the owner to the hirer with an option to purchase is given to the hirer. It may also include an agreement for the hirer to purchase the goods by way of installments. The type of goods that fall within the scope of the HPA are all consumer goods and motor vehicles.