Credit purchases....meaning and importance.

[TOZZIBLINKZ]

Credit purchases by definition refers to the transfer of property in goods to a person known as the buyer from a person known as the seller with the intention to pay in future usually an agreeable date by the both parties . Credit purchases is very essential this is because sometimes in life we might lose money , forget to equip ourselves monetarily and in the course of this circumstances we have intentions to buy a particular item or product . That is where the act of credit purchase this enables the buyer to buy goods from the the cellar without payments initially made for the things being bought.
Although there has to be some sort of level of trust before the seller is willing to give his or her goods to a buyer . It is therefore essential for the buyer to consider some questions which include:

1. Do I actually need the product I'm about to collect on credit? Sometimes we decide to acquire a particular product just because we see some other person making use of the same product in situation like this it is important to think twice.

2. Secondly another thing to consider is will I be able to pay for this? The last thing you want to do is to buy beyond our budget so it is advisable to consider your financial standing compared to the cost of the product you are about to buy on credit.

 

[funmi]

In business there are somethings that are inevitable, one of such is the issue of credit purchase. As we all know all fingers are not equal. There will certainly be a time when some certain customers will be faced with some sought of financial constraints, and when such should happen, as a good business man or woman you will not want to deprive your long standing customer the opportunity for them to.purchase the goods or service for them to pay at a later date. This is just how it is in business, credit facilities should be made available mostly for customers that has a very good standing credit wise with your business organization. Although sometimes before your show such as a very nice gesture you have to ascertain that the customer is been honest about the situation they are been faced with and you will also try to find out if the customer will be able to payback on the date they have promised to.payback. this should be done to ensure they don't suddenly become a bad debt or irrecoverable debtor that will spell doom for your business.

It is sometimes good to sale on credit as this helps you to move stock out of your shop or warehouse.

 

[Jasz]

Credit purchases have a long history, but today's consumers have more options than ever before.

Purchases made on credit are simply transactions that are not paid for immediately. In other words, a credit purchase is any purchase that's paid off later, typically via an agreement with the lender to pay back the amount borrowed (along with interest) over a period of time.

Most people who use credit cards make several credit purchases every month. Payments are then made to the bank or lender at the end of each month, with interest added to the amount owed (unless the balance is paid in full). Credit purchases can also be made using store cards or lines of credit offered by banks and lenders.

It's important to understand how much you can afford to spend when making credit purchases, because it may impact your ability to make future purchases—especially if payments are missed and the account begins accruing interest at a high rate.