Installment payment is the process of dividing the price of a product into a certain number of equal amounts and paying it in parts. For example, when a 100 TL product is purchased in 5 installments, the cardholder pays 20 TL each month, totaling 100 TL over 5 months.
Can every transaction made through a POS be paid in installments?
Credit card transactions can only be split into installments when the card-issuing bank and the POS bank are the same.
Is meeting the above condition alone enough for installments?
It is not enough. In addition, the merchant's sector code (MCC) must be one that allows installment transactions (for example, installment transactions cannot be made at restaurants), and the merchant's installment sales authorization must be enabled.
So can merchants ask for an extra commission on installment transactions?
Since banks charge merchants higher commissions on installment transactions, merchants may reflect this difference in the sale price. However, they must state the cash (single payment) price and the installment price separately to customers.
