Lesson Objective:
To investigate various methods of payment.

Cash is a popular form of payment with customers because:

What are the advantages of using cash

Disadvantages of cash

A paper ­based form of payment?

Effectively a promise to pay the amount stated

Must be presented to a bank in order toobtain the payment

It usually takes at least 3working days for a chequeto “clear” – i.e. payment to be received

Advantages of cheques

Disadvantages of cheques

A plastic card, issuedby the bank, which allows payment tobemade without writing a cheque or carrying cash

Advantages of Debit cards

Disadvantages of Debit cards

It looks just like a debit card –and is also issued by banks

It allows payment to be made without the needfor cashor cheques

The money does not come out of your bank account –you are borrowing it!

You have to pay some off each month

You pay interest onany amount left

Advantages of credit card

Disadvantages of credit cards

BACS

Advantages- Credit transfers

Disadvantages of Credit transfer

Direct Debit

Advantages : Direct debit

Disadvantages : Direct debit

Standing Orders

Standing Orders advantages

Disadvantages of standing orders