In an installment contract, what is a key feature of payment?

In an installment contract, a key feature of payment is that payments are made in periodic installments. This structure allows a buyer to pay for goods or services over an agreed-upon period rather than paying the full amount upfront. Such arrangements are particularly beneficial when the total price is substantial, enabling buyers to manage their cash flow while receiving the benefits of the purchased items as they are delivered over time.

This approach contrasts with other contracts where payment might be demanded at the moment of delivery, in one lump sum, or dependent on certain conditions being met. In installment contracts, the ability to spread payments across multiple periods is fundamental to their design, facilitating more manageable financial commitments for buyers while ensuring sellers receive the value over time as the goods are delivered.