A central controller receives from a POS terminal a purchase price and a
financial account identifier. The financial account identifier specifies a
financial account, such as a credit card account. The central controller,
in turn, generates one or more installment plan identifiers defining
installment plans for payment of the purchase price. The installment plan
identifiers are based on the purchase price and/or the financial account
identifier. For example, certain accounts or certain high purchase prices
may merit preferred installment plans. The installment plan identifiers
are transmitted to the POS terminal. A purchaser at the POS terminal
selects whether he would like to pay for his purchase in installments and,
if so, using which installment plan. The POS terminal generates a
selection signal indicative of whether to accept any of the installment
plans, and transmits the selection signal to the central controller. The
central controller receives the selection signal. If the selection signal
indicates acceptance of any installment plan, use of the accepted
installment plan for the financial account is authorized. Thereafter,
bills are generated which reflect installment charges to be paid.