Credit and Installment Buying Before the war credit was used only by the rich to make large purchases. At the end of the war the economic boom made a huge supply of goods available to many of the American people. As a result the amount people wanted increased and people spent more money. A new way of paying for things was established in order to make large payments possible. This new way of paying for things was credit and installment buying.
Written By: Nathaniel Nyberg
Credit and installment buying enabled you to easily buy what you wanted for a low monthly payment. This method allowed for ownership of expensive items while being able to pay a small amount each month. Only three months after credit cards were created, over 500,000 people owned one. Consumers changed their spending habits as it became easier to pay for things. People soon wanted to get everything new in the latest fashions. Companies started to bring their products to advertising especially in television to help make their products more popular. Average Americans soon joined the rich in trying to show their social status through what they have. Everyone tried to keep up with the new thing that helped the economy through increased spending.