It seems that there either a function call not working or missing a css. Here's the rendered source of what I see.
<table cellspacing="0" class="variations"> <tbody> <tr> <td class="label"><label for="payment-option">Payment Option</label></td> <td class="value"><fieldset> <strong>Choose An Option...</strong><br> <input type="radio" name="attribute_payment-option" id="payment-option" value="deposit">Deposit<br><input type="radio" name="attribute_payment-option" id="payment-option" checked="checked" value="full-price">Full Price<br><input type="radio" name="attribute_payment-option" id="payment-option" value="price-without-deposit">Price without Deposit<br> </fieldset> </td> </tr> </tbody> </table>
The part shown in bold is what causing the extra white space between the image and radio buttons. You might check to see if there is a language settings via WooCommerce to see if Payment Option can be edited. If so, empty that field or disable it. If not, then the alternate is to use some css.
.variations td.label label {display: none;}
That will make the label tag to not display.
If you find that the radio buttons is not far enough over to the left then remove the last 'label' from the css.
.variations td.label {display: none;}