Dmitriy Fomichenko, President, Sense Financial
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It is a loan that comes with a set number of planned payments. The installments are fixed or variable, depending upon the interest rates. For an instance, a mortgage loan can be categorized as an installment loan.
It benefits all the parties involved in a transaction, including the consumer, who can afford big-ticket items; seller can increase sales volume, and the creditor can charge higher interest rate against these loans.
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