Word: Installment Buying
Definition:
Installment buying is a way of purchasing items by paying for them in smaller amounts over time, instead of paying the full price all at once. This means you can get the item right away, but you will need to make regular payments until the total cost is paid off.
Usage Instructions:
When you want to buy something expensive, like a car or a television, and you don’t have enough money to pay for it all at once, you can use installment buying. You agree with the seller on how much you will pay each month and for how long.
Example:
- "I bought my new laptop through installment buying. I pay $50 every month for a year until it is fully paid."
Advanced Usage:
Installment buying is often used for larger purchases. It can also involve interest, which means you might end up paying more than the original price if you take a long time to pay it off.
Word Variants:
- Installment (noun): A part of a payment that is paid at a certain time. - Buyer (noun): Someone who purchases something.
Different Meanings:
- In finance, "installment" can refer to any divided payment, not just for buying goods. For example, you might pay your rent in installments.
Synonyms:
- Payment plan - Hire purchase (in some countries)
Idioms/Phrasal Verbs:
- There are no specific idioms directly related to "installment buying," but you might hear the phrase "Pay as you go," which means paying for something over time as you use it, similar to installment buying.
Summary:
Installment buying is a practical way to manage larger purchases by spreading the cost over several months or years.