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What is the method to determine / set the credit limit for
the customer ?
- 3 Answers
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Answer / manish.panchal
You can determine credit limit of customer depending upon
previous transaction you had with. Need to consider two
factors. your Payment terms and the day you received your
payment.
If you are dealing for the first time you need to check
market reputation or goodwill of customer. If possible get
MCDB ( Master of Customer's Data Base ) from marketing people.
This are the factors through which you could surely derive
limit for customer.
| Is This Answer Correct ? | 35 Yes | 3 No |
Answer / jaydee banerjee
Credit limit will be based on the customer agreed volume in
a year
| Is This Answer Correct ? | 7 Yes | 6 No |
Answer / rocky
Credit limit depends upon the previous spending pattern and salary withdrawn by an individual.In case of big firms who gives corporate cards to there employees reputation and previous defaults is the key for determining the limit.
| Is This Answer Correct ? | 1 Yes | 0 No |
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