finance house

finance house
An organization, many of which are owned by commercial banks, that provides finance for hire-purchase or leasing agreements. A consumer, who buys an expensive item (such as a car) from a trader and does not wish to pay cash, enters into a hire-purchase contract with the finance house, who collects the deposit and instalments. The finance house pays the trader the cash price in full, borrowing from the commercial banks in order to do so. The finance house's profit is the difference between the low rate of interest it pays to the commercial banks to borrow and the high rate it charges the consumer. Most finance houses are members of the Finance Houses Association.

Accounting dictionary. 2014.

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  • finance house — ➔ house * * * finance house UK US noun [C] UK FINANCE ► a company that provides loans and other types of credit, especially to buy goods: »The corporate finance house has raised more than £120 million for various clients in the past 12 months …   Financial and business terms

  • finance house — finance company or finance house noun A company specializing in lending money against collateral, esp to finance hire purchase agreements • • • Main Entry: ↑finance * * * ˈfinance company [finance company] (BrE also …   Useful english dictionary

  • finance house — a financial institution that is not a bank or building society and that provides credit to finance personal or corporate acquisitions of property. Many finance houses specialise in the financing of purchases of consumer goods on hire purchase;… …   Law dictionary

  • finance house — An organization, many of which are owned by commercial banks, that provides finance for hire purchase or leasing agreements. A consumer, who buys an expensive item (such as a car) from a trader and does not wish to pay cash, enters into a hire… …   Big dictionary of business and management

  • finance house deposits — /ˌfaɪnæns haυs dɪˌpɒzɪts/ plural noun amounts of money deposited by banks with finance houses and used by them to provide hire purchase loans to clients …   Dictionary of banking and finance

  • Kuwait Finance House — (KFH) was established in the State of Kuwait in 1977, as the first bank operating in accordance with the Islamic Shari a.* www.kfh.com Kuwait Finance House Kuwait Finance House (KFH) was established in the State of Kuwait in 1977, as the first… …   Wikipedia

  • Gulf Finance House — est une banque d investissement islamique bahreïnienne, et faisant partie de l indice S P/IFCG Extended Frontier 150, représentant la performance de 150 des principales capitalisations boursières des marchés frontières. Sommaire 1 Historique 2… …   Wikipédia en Français

  • Finance Islamique — La finance islamique, en accord avec le droit musulman, est basée sur deux principes : l interdiction de l intérêt, aussi appelé usure et la responsabilité sociale de l investissement. Elle lie plus étroitement la rentabilité financière d un …   Wikipédia en Français

  • finance lease — see lease Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. finance lease …   Law dictionary

  • finance company — finance .company AmE [ US .ˈ. ˌ...] n finance .house [.ˈ. .] BrE a company that lends money, especially to businesses …   Dictionary of contemporary English

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