Ratenkauf#

Instalment Buying (hire purchase): The purchase of (consumer) goods on credit under conditional sales contracts that provide for regular periodic payments after an initial down payment. Regulated in Austria by the Ratengesetz (Instalment Buying Act) up to 1979, since then by the Konsumentenschutzgesetz (Consumer Protection Act) (Sections 16ff.). The contract total (purchase price, interest, charges) must not exceed ATS 150,000 and has to be paid within five years in at least three instalments; the minimum down payment is 10% for a total price up to ATS 3,000 and 20% for larger amounts. The transaction has to be evidenced in a document stipulating the conditions of sale. The residual amount outstanding falls due by acceleration if the purchaser is in default on an instalment for more than six weeks and the seller has given notice, allowing purchaser a two-week grace period.

Literature#