Form of payment (FOP)

Form of Payment (FOP) is a method used to complete a financial transaction. It represents the means by which money is exchanged for a product or service, whether in physical or electronic form.

Offering multiple FOP options (such as cash, credit cards, or digital wallets) caters to varied customer preferences. 

Companies may accept multiple FOPs for a single purchase, allowing customers to combine different payment methods to cover the total cost. The total of all FOPs must always equal the final purchase amount, ensuring a complete and accurate transaction. 

For example, a traveler books a flight for $500. They can use $300 in loyalty points or travel credits from a canceled flight and pay the remaining $200 with a credit card. The airline records both FOPs in the booking system, ensuring that the total amount ($500) matches the ticket price.