Disadvantages of overdraft finance, Finance Basics

Disadvantages of Overdraft Finance

A. It is expensive as the interest rates of overdrafts are much higher than bank rates.

B. The employ of this finance is an indication of poor financial management principle.

C. It may be misused via management because it does not carry pre-conditions

D. To be short-term financial managements, it can be recalled at short notice leaving the company in financial crisis.

 

Posted Date: 1/29/2013 5:08:47 AM | Location : United States







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