b5media.com

Advertise with us

Enjoying this blog? Check out the rest of the Business Channel Subscribe to this Feed

Accounting Solver

INTEREST-FREE LOAN AT YOUR FINGER TIPS

by ren on June 12th, 2008

Cash Flow ManagementYour credit card is a source of interest-free loan. But, this will work, if and only if you think of your credit card as a tool for personal cash flow management –rather than additional cash in your wallet.

It often happens that a purchase has to be made before your expected cash has become available. If you know that your cash will come in before the bill from the credit card falls due, make the purchase with your credit card –but pay off the whole purchase when your cash comes in and save yourself the interest cost. In this way, you will in effect have availed of an interest-free loan.

In today’s credit crunch and rising prices for oil & almost all commodities, you do not want to add interest & penalties to your expenses. Moneypenny offers some survival strategies in Digital Money World.

images from Microsoft Clipart, reconstructed by Ren Garcia

Tags: , , , , , , , , , , ,

POSTED IN: Accounting Concepts, Accounting for NonAccountants, Best Business Practices, Cash Flow Statements, Credit Standing, Liabilities, Personal / Household Finance, Success Accounting

3 opinions for INTEREST-FREE LOAN AT YOUR FINGER TIPS

  • » INTEREST-FREE LOAN AT YOUR FINGER TIPS
    Jun 12, 2008 at 12:34 am

    […] Kiwi Ephemera wrote an interesting post today onHere’s a quick excerpt Your credit card is a source of interest-free loan. But, this will work, if and only if you think of your credit card as a tool for personal cash flow management –rather than additional cash in your wallet. It often happens that a purchase has to be made before your expected cash has become available. If you know that your cash will come in before the bill from the credit card falls due, make the purchase with your credit card –but pay off the whole purchase when your cash comes in and save yo […]

  • Credit Crunch » INTEREST-FREE LOAN AT YOUR FINGER TIPS
    Jun 12, 2008 at 12:54 am

    […] LIFESALARY.COM - REPRINT ARTICLES FOR YOUR BLOG OR WEBSITE wrote an interesting post today onHere’s a quick excerpt Your credit card is a source of interest-free loan. But, this will work, if and only if you think of your credit card as a tool for personal cash flow management –rather than additional cash in your wallet. It often happens that a purchase has to be made before your expected cash has become available. If you know that your cash will come in before the bill from the credit card falls due, make the purchase with your credit card –but pay off the whole purchase when your cash comes in and save yo […]

  • Donna
    Jun 12, 2008 at 10:21 am

    Really useful post. I enjoyed reading it, we need these tips to survive. Thanks

Have an opinion? Leave a comment: