Paying in Installments?

legyield

legyield

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What are the pros and cons of paying in installments?
If a horse was for sale for say, £1300 and the ad said they were happy to be paid in installments, how long would the installments normally last/how big would each installments be?

It's an option for me but nothing i've ever thought about before.
 
I've paid in installments, I knew the seller and told them how much I could pay. The downside you would be minus that much spending money each month.

How much the installments would be for that horse would be down how much you can afford and how much the seller is willing to accept per month. Say you pay £100 a month that would take 13 months.
 
Hi

Id assume that it would be down to the individual situation between seller and buyer

The only con I could think of would be with the seller that they take a risk in letting someone have the horse without fully paying for it, and hope that the buyer pays in full without any hassles

Didnt really answer your question - sorry!
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I've sold a horse and they are paying in installmants - they did have him on loan for nearly a year first though, so I knew I could trust them etc. We agreed a price, and they are paying me in ten installments, one per month. I got a contract drawn up by a solicitor to cover all the grey areas, ie, who owns the horse if only half the amount gets repaid etc.
 
When I was selling a horse a couple of years ago I was asked by a potential buyer if I would accept instalments. I said that I would but only three or four as I would not be prepared to let the arrangement go on too long. I would be afraid of the purchaser not coming up with the rest of the money if the horse was injured or worse.
 
When I brought my girl I paid half up front and the other half in monthly installments, but I was buying from my YO and the agreement was that the horse couldn't be moved off the yard until the full payment was made-fine by me as I had no intention of moving yards!
 
I've sold two this way without any problems.
The first paid half, then 3 monthly payments but the horse had to stay here until paid for in full. I continued to pay the insurance, if anything had happened, I would have claimed and just given her the money back. If she changed her mind after first instalment had been paid, I kept that but returned her deposit.
Second was a mare last year which needed to be covered before she was paid for; as it was a friend, I didn't mind her going to the stud. She was returned before weaning so I have kept the foal and she went to her new home; she was paid up before they returned here for weaning.
Just be very clear what happens if the worst happens or if somebody changes their mind. I would strongly advise the seller to keep up the insurance just in case and also not let horse off the yard before it's paid for in full. Also make sure you both sign carbon copies of every bit of paper work and you get receipts for each instalment. Although I didn't charge livery while horse was in between, I did bill them for any expenses such as farrier and jabs as horse would have not been my problem if they had paid in full, neither objected to that.
 
I sold a gelding to a family i knew well , this way.

They paid 200 pounds a month, the gelding was 1500, and they paid a deposit of 100.

I had an agreement that if they failed to make the payments i would take the horse back and they would forfit any money already paid.

As it was they paid every month no problem, and the horse had a fantastic home
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I had never heard of this, but my sister in the USA sold her two to the same home and was (supposed) to be paid in installments.

Needless to say, with the economic climate in the US the purchaser keeps making excuses for not having the money. My sister isn't too bothered though, as they were sold together and the owner owns a feed store, so at least they are fed, and she has got rid of the expense of keeping them. They belonged to her daughters who hadn't done much with them for years as they were at uni, but didn't want to sell them, so they weren't worth very much.

I think my sister put her foot down about them being sold after last winter when they had lots and lots of snow and it was costing a fortune to keep buying hay and the girls didn't contribute. But they were quite nice horses that with a bit of regular work would have been nice.

completely off topic, but I rode one in the forest and we were stalked by a coyote - horse didn't like that AT ALL.
 
There is an ad in Horse and hound from a dealer that gives the option for paying in installments. Don't have with me, but provides an example. It seems that there is some sort of APR on it and over 60 months!!!! Paying off over that length of time would be a very scarey option methinks!
 
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