Quote:
Originally Posted by Bob Burr
Have been aproaced by several credit companies at my shop and all wanted to charge me for having there service, why ? it would be them who made the money in interest.
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1. They are the ones who take the risk as you get paid up front
2. Any account that falls into arrears requires operational resource to chase the monies owed
3. Given the low transaction values, a high percentage of customers would pay their balance quickly hence reducing the customers paying interest
4. Some accounts will go bad and monies written off hence losses to the finance company
5. Credit may encourage higher spends in your shop hence improving your sales/profit
Need any more?
