An installment payment is a method of paying for a product or service over time, rather than in a single lump sum. This approach allows consumers to break down the total cost into smaller, manageable payments, typically made on a monthly basis. It is commonly used for large purchases, such as cars or appliances, making them more affordable for buyers. Many businesses offer installment payment plans to attract customers who may not have the full amount available upfront. These plans often include interest or fees, depending on the terms set by the lender or retailer. Popular examples of installment payment options include credit cards, personal loans, and buy now, pay later services.