Research Assignment Example | Topics and Well Written Essays - 750 words

Research - Assignment Examplebad credit history, the count charged may be higher. It is however, mostly based upon how a company view and post its customer and subsequently decide what rate to be offered to a customer. Even the interest rates charged on different cards issued by same company differ from each otherwise depending upon the way a customer is rated by the company.Companies bring in customers in different manner and according to their target market. Once the target market is identified, there atomic number 18 different means through which companies peck attract their target market. One important method for attracting the customers is the rate of interest charged on the credit cards- i.e. if companys target market is to secure outpouring customers, they will offer cards at lower rates to attract their desired customers. Further, balance conveyancing facilities at lower rates are also an important way through which companies attract their customers.When a person appl ies for any type of loan facility including credit cards and personal loans, financial institutions engender a copy of credit report of the customer. A credit report is basically just a report which mentions all the obligations of a customer that he or she has to pay off to the financial and other institutions from where borrowing has been made. It not only provides the credit history of the borrower but also give a lawful picture of the total monthly debt obligations, total debts to be paid by the borrower and any defaults made in the past. (AIE, 2010)In a sense, credit report is the most essential document which encounters whether a person can obtain the credit or not. This is so because companies, based on the credit report, not only determine how much loan to be given but also get a clear taste into the probability that whether the customer will pay off the debt or not. Most financial institutions do not extend loans to customers with poor