ECONOMICS
CREDIT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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the use of goods while paying for them
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the forced savings feature of credit
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impulse buying by credit users
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building a credit reputation
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Detailed explanation-1: -Using credit also has some disadvantages. Credit almost always costs money. You have to decide if the item is worth the extra expense of interest paid, the rate of interest and possible fees. It can become a habit and encourages overspending.
Detailed explanation-2: -Here’s a real shocker: Giving in to an impulse buy won’t help you achieve your financial goals-whether that’s getting out of debt, paying off your mortgage, or investing for your future. Buying on impulse and overspending will eat up any extra money you were saving to put toward those awesome goals.
Detailed explanation-3: -Minimum due trap. The biggest con of a credit card is the minimum due amount that is displayed at the top of a bill statement. Hidden costs. Easy to overuse. High interest rate. Credit card fraud.
Detailed explanation-4: -To be successful in a credit control programme, you must have complete control over the money market, however, this is not always achievable. Credit control methods can only affect a short-term loan due to the various terms of the loan period. More items