← All tutorials

Set Up an Installment Agreement

Customer, guarantors, cheques, asset, schedule, documents — complete agreement in 15 minutes.

📊 intermediate⏱ 15 min
Published:

DigitalNation BMS — Set Up an Installment Agreement

Create a complete installment agreement in BMS — customer, guarantors, cheques, asset, schedule, and documents — all in one place. The system auto-generates the agreement PDF. This tutorial walks you through the legal and digital setup of installments.

Paper, pen, witnesses — and still doubt. “Is this agreement airtight?” Now everything lives in the system: every document, every guarantor, every installment — one place, secure.

When to Create an Installment Agreement

When a customer can’t pay the full amount upfront and you’re selling on installments — an agreement is mandatory.

Minimum requirements:

Item Why
CNIC Customer’s identity
Guarantor (1-2) Backs the payment
Cheque (optional) Extra security
Signatures Legal validity

Rule: No CNIC, no guarantor — no agreement.

Step 1: Start a New Agreement

📸 [SCREENSHOT 7.1: Installments List]
Location: /vendor/installments
Capture: Installment list + "New Agreement" button

Open Installments → click New Agreement.

Step 2: Customer Details

📸 [SCREENSHOT 7.2: Customer Details]
Location: /vendor/installments/new → Customer
Capture: Name + CNIC + address + photo upload
Field Required
Name + father’s name ✅
CNIC (front + back) ✅
Full address ✅
Customer photo ✅

Tip: Take the photo now. Don’t let “who was this customer?” become a future question.

Step 3: Add Guarantors

📸 [SCREENSHOT 7.3: Guarantor Form]
Location: /vendor/installments/new → Guarantors
Capture: Guarantor 1 + 2 with CNIC + phone + verification

For each guarantor:

  • Name and CNIC
  • Phone number — for verification call
  • Photo and CNIC copy
  • Relationship — father, brother, friend

Verify by phone call — talk to them, then tick the box. This protects you.

Step 4: Cheques (Security)

📸 [SCREENSHOT 7.4: Cheque Entry]
Location: /vendor/installments/new → Cheques
Capture: Cheque number + bank + amount + photo

For each cheque: number, bank, amount, date — and photo.

Cheques aren’t required — but if taken, they make the agreement legally stronger.

Step 5: Asset and Financials

📸 [SCREENSHOT 7.5: Product + Financials]
Location: /vendor/installments/new → Product
Capture: Product + cash price + markup + down payment + months
Field Example
Product Honda CD 70
Cash price 120,000
Markup (%) 30%
Down payment 20,000
Months 12
Monthly installment Auto-calculated

Down payment at least 15-20% — don’t go lower.

Step 6: Agreement PDF

📸 [SCREENSHOT 7.6: Print Agreement]
Location: Installment Detail → Print Agreement
Capture: Print button + PDF preview

Click Print Agreement — the system builds a complete PDF:

  • Customer details
  • Guarantor details
  • Asset and price
  • Installment schedule
  • Signature blocks

Get it signed, photograph it, upload it. Document preserved.

Frequently Asked Questions

How do I create a legal installment agreement with software in Pakistan?

In BMS, go to Installments → New Agreement — enter the customer’s CNIC, photo, and address. Add 1-2 guarantors (with CNIC, phone, photo), optional cheque, and the asset + financials (cash price, markup, down payment, months). On save, the complete agreement PDF is generated — get it signed and upload.

Is a guarantor mandatory on every agreement?

Yes — at least one. For larger amounts, two is better.

What if the customer stops paying?

Mark the agreement Defaulted — contact the guarantor, submit the cheque to the bank.

Where should I keep the paper originals?

A full digital copy lives in the system. Keep the physical papers in your own safe.

What's the minimum down payment?

In Pakistan, typically 15-20% down payment. It’s your first line of protection — if the customer has paid something, they’ll think twice before disappearing.

Flow

Customer ← Guarantor ← Cheque ← Asset ← Agreement ← Sign

Next: Collect Installment Payments →