Pay by Instalments

Installment mostly used in some of the production cycle is long, the high cost of product transactions. Such as complete sets of equipment, large vehicles, heavy machinery and equipment exports. Installment of the practice is to import and export contract is signed, the first importer to deliver a small portion of the purchase price as a down payment to the exporter, most of the remaining money in the production of finished products, parts or all of the shipment delivered, or in goods to the installation , testing, and quality assurance into expiration amortization. Purchase of goods and services of a payment. When buyers and sellers enter into contracts in the transaction, the buyer of goods and services purchased by installments in a period of time to deliver payment to the seller. Each delivery date and amount of payment are stated in the contract in advance.
The installment plan is developed after World War II. Confined to the start of the general household goods or services purchased. Later, with the rapid development of productive forces, industrial and agricultural production increasing size, cost increases, coupled with the development of bank credit, installment extended to enterprises to purchase large areas of machinery and raw materials.
 Usually in installments installments by banks and suppliers jointly. Banks to provide consumers with the equivalent amount of goods purchased for personal consumption loans, consumer loans with payment to suppliers, while suppliers to provide consumers with guarantees, irrevocable commitment to joint and several liability of debt. Consumption of young people using the installment method is often referred to as "stage race."