I
Loans
Instalment Sale Agreement
A credit agreement where you pay for goods in regular instalments over a set period, with ownership transferring to you only once the final payment is made. Common for vehicle finance and furniture purchases in South Africa. The goods serve as security for the loan.
Usage Examples
"She bought her car through an instalment sale agreement with 60 monthly payments of R4,500."
"Under an instalment sale agreement, the bank can repossess the vehicle if you default on payments."
"The total cost of an instalment sale is always higher than the cash price because of interest and fees."