THE EVILS OF THE HIRE PURCHASE SYSTEM.

Manawatu Herald, Volume LI, Issue 4474, 5 July 1930, Page 2

THE EVILS OF THE HIRE PURCHASE SYSTEM.

PROPOSED AMENDMENT TO ACT.

FOXTON CHAMBER SUPPORTS MARTON REMIT. The Foxton Chamber of Commerce, at its meeting on Thursday evening, was asked by the Marten Chamber to support the following resolutions, relative to the Hire Purchase system:—

That owing to the undue preference given to certain traders under Section 57 of The Chattels Transfer Act, 1924, representations be made to the Government .as follows: — (1) To amend the Chattels Transfer Act, 1924. thereby making it compulsory for all hire purchase agreements to he registered. (2) That Section 57 Sub-clause (0) of The Chattels Transfer Act, 1924, whereby the Governor-General by Order-in-Council may add to the class of Chattels defined in the seventh schedule to the Act be repealed. (3) That the Seventh schedule to The Chattels Transfer Act, 1924, he purged of items of luxury. It was pointed out that since the passing of the Chattels Transfer Act, 1924, the Hire Purchase system has groAvn to such an extent that it has become alarming and has had more far reaching effects than was contemplated at the time 'the measure Avas introduced into Parliament that the Marten Chamber considered that some action by the business people was iioav Avari anted. In soliciting the support of the Chambers of Commerce in New Zealand in the direction of making representations to Parliament on the lines of the aboA’e resolution the Chamber earnestly believed that the present unsatisfactory financial position of the Dominion is to a large extent due to the extensive operations of the Hire Purchase system. Mr. D. Christie said that, the Hire Purchase system and tinie payment were the curse of this country. It meant that all necessary commodities had to he handled without protection as the systems referred to catered practically solely for the luxuries of this life.

Mr. G. IF. Smith : And they are mostly of foreign origin too. Mr. Christie thought that legislation should be brought down to make it impossible l to recover debts by law. 'Credit would by that means be stopped. It. was decided to support the resolution.