what is the term used for describing when a customer doesn't have the money to pay for a service/product but acquires it and pays later ?

Question

for instance, I tend to go and do grocery shopping 2/3 into a month and the store owner will write down what it is owed in a diary, my name along with the outstanding amount.

If there was an amount already outstanding ,  he simply will put down amount + amount

so he adds up whatever my balance is end of the month and that is what I will pay off.

In business world, what is the correct term for this practice which my store owner does ?

Answer 1

That he left his wallet at home on that first day. 

Answer 2

Credit.

You've heard of credit cards, which allow you to borrow from a bank and pay later. They're based on this older concept of buying from a store "on credit."

Answer 3

It’s buy now pay later but no one uses that system unless it’s a really small store like a private store.

Answer 4

You're buying on credit. Many grocery stores used to have this service although it is not common today. When I had a neighborhood grocery store, back in the 80s, I allowed a few customers to do this although I ended up discontinuing it after a couple of them stiffed me when they moved out of state. 

Answer 5

You are describing buying on credit.

Answer 6

credit, on account, running a tab. pick one.

Answer 7

A credit arrangement. Or in the UK 'on the slate'.

Answer 8

Buying on account.

Answer 9

I don't think your process is a normal convention.  

He is letting you pay as if you had a credit card 

without you having one..

So maybe, "giving you a line of credit" , "buying on credit" or 

"Running a tab" .  

or even "that you are giving him an IOU(s)"  (I Owe You) 

"Paying on installments or an installment plan"   is one term.     

Answer 10

That's called 'credit'.  It's also called 'running a tab' (when you buy the groceries you say 'Put them on my tab.')  It's called 'buying on account'.  Or 'Buy now, pay later'.