An Agreement To Make Monthly Payments is a legally-binding document that outlines the regular payments of money from one party (the debtor) to another (the creditor). It’s typically used to make larger purchases or repay debt in manageable installments. Unlike a loan agreement, an Agreement To Make Monthly Payments does not incur interest and may or may not include late fees. This type of contract should be used for both short-term and long-term commitments, as it provides a consistent record of payments and an enforceable means of collecting the funds due.