Direct Debit Payment and Credit Cards
When people use a credit card for their business or personal use, they aren’t using money from their own account but they are technically borrowing money from a bank. At the end of the month, if the person hasn’t paid all the money they borrowed, then the credit card company will charge them interests. The main advantage to using a credit card is that they generally make greater protection when making large purchases. If your good purchased for your business don’t arrive or get damage, you’ll be able to have your money back.
Paying bills is a very important part of the business. Because people have often lots of bills to pay, it’s easy to lose track and may result to late payment charges. However, people can arrange for this payments to be automatically come out from their current account each month by setting up direct debits. This means they do not have to remember. It can save the business money because companies often give discounts to people paying through direct debit rather than paying by credit cards.