Question

A drawback to an installment plan is that

it takes longer to buy a product.
a large down payment is required.
interest rates are generally very high.
interest rates are generally very low.

Answer 1

Answer: Interest rates are generally very high.

Explanation: Installment plans are usually for large purchases that a lot of retail stores have. Which makes interest rates very high. And I got the answer right, if that means anything.

Answer 2

Interest rates are generally very high

Step-by-step explanation:

Installment plans consist in paying small amount of money over regular intervals of time (the most common is monthly payments) to cover the total amount of debt, this payments are usually charged with interest rates (percentages of the cost of borrowing money), this is how the lender make a profit.

Because interest rates are generally very high, people end up paying much more than what they borrowed or as double of the original cost of what they bought.