PARTIAL PAYMENTS Meaning and
Definition
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Partial payments refer to the act of making payments toward a debt or any financial obligation in smaller increments or portions, rather than paying the full amount in one transaction. It is a payment arrangement where the debtor pays only a fraction or a portion of the total amount owed at a given time.
The concept of partial payments is commonly employed when an individual or organization is unable to remit the entire amount due in one go, but still wishes to make progress in reducing their outstanding balance. It can be an agreed-upon arrangement between the debtor and the creditor, whether formal or informal, to allow the debtor to gradually fulfill their financial obligation over a period of time.
When partial payments are accepted by creditors, it indicates their willingness to receive smaller installments instead of the full sum. Depending on the terms and conditions agreed upon, interest or other fees may still accrue on the remaining balance until fully paid. Partial payments can be used for various types of debts, such as loans, credit card payments, utility bills, or even rental payments.
While partial payments can provide some relief to debtors facing financial constraints, it is important to note that it may result in a longer repayment period and potentially higher overall costs due to accrued interest. It is advisable for both debtors and creditors to clearly outline the terms and conditions of the partial payment agreement to avoid any confusion or disputes in the future.
Common Misspellings for PARTIAL PAYMENTS
Etymology of PARTIAL PAYMENTS
The etymology of the word "partial" dates back to the late 14th century, derived from the Old French word "parcial", meaning "biased" or "singular". It further traces its roots to the Latin word "partialis", meaning "pertaining to a part". By the mid-15th century, "partial" had developed multiple meanings, including "incomplete" or "not total".
The word "payment" has an etymology rooted in the Middle English word "payment" or "paymente", derived from the Old French word "paiement". This Old French term comes from the Latin word "pacare", which means "to satisfy" or "to pay". The Latin word "pacare" originally meant "to pacify" or "to make peaceful" and subsequently also took on the sense of settling debts or obligations, leading to its meaning of payment.
