"do you really think they'd accept the installment payments Frank was proposing?"
Gangsters were (apparently) more restrained back in those days (unlike now where most criminal rings are also into drugs and thus don't give a rat's butt about landing in jail), especially the ones running book (where you need brains and low key to pass undetected). Plus if they were Italians, chances are (back then) they wanted to keep up a pretence of being part of the community (like John Gotti with his Robin Hood antics) and thus would avoid going after innocent people whom also happen to be elder citizens (the cops usually don't turn a blind eye to such things).
Like loan sharks: back then they would break your thumb or an arm if you fell behind but leave you alive so you could keep paying (you know, not kill the golden goose). Today they just kill you outright (since people today are much more likely to snitch and most criminals no longer care about long game).
The fact that they dropped off Larry unharmed (even if they bounced him off the car while in motion) indicates they are not that really hardcore. Otherwise Larry would already be missing fingers or something (like Sean Penn in U-Turn, now THOSE were hardcore gangsters).
So in that time and setting, it made perfect sense.
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