INSTALMENT AGREEMENT: when a consumer borrows money to buy, possess and use goods while making payment towards the loan amount, together with interest and/or fees/charges. Ownership will transfer when the loan amount is paid off. For example, a motor vehicle.
A credit agreement is entered into when a person (“consumer”) buys goods or services on credit or borrows money from another (“credit provider”) in return for the payment of interest and/or fees/charges. Read more about credit agreements.
