revolving credit

credit automatically available up to a predetermined limit while payments are periodically made. Cf. credit line (def. 2).
[1915-20]

* * *

      system of retail credit in which the buyer makes periodic payments to an account to which his purchases and service charges have been debited. The service charge is based on the outstanding balance; if the buyer pays his entire balance, no service charge accrues. The total credit allowed the customer may be some multiple of a fixed monthly payment, or there may be no credit limit—the monthly payment varying with the outstanding balance. Revolving-credit plans are provided by many department stores and are an important feature of bank credit-card systems (see credit card).

* * *


Universalium. 2010.

Look at other dictionaries:

  • revolving credit — re·volv·ing credit n: a credit which may be used repeatedly up to the limit specified after partial or total repayments have been made Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. revolving credit …   Law dictionary

  • revolving credit — ➔ credit1 * * * revolving credit UK US noun [C or U] ► FINANCE, BANKING REVOLVING LINE OF CREDIT(Cf. ↑revolving line of credit): »The recent sharp increase in bankruptcy filings has been primarily caused by revolving credit …   Financial and business terms

  • Revolving credit — is a type of credit that does not have a fixed number of payments, in contrast to installment credit. Examples of revolving credits used by consumers include credit cards. Corporate revolving credit facilities are typically used to provide… …   Wikipedia

  • revolving credit — A bank credit that is negotiated for a specified period; it allows for drawdown and repayment within that period. Repaid amounts can be redrawn up to the agreed limit of the credit. At the end of the loan period there is a bullet repayment of the …   Big dictionary of business and management

  • Revolving Credit — Bei einem Revolvingkonto (oder Revolving Credit) handelt es sich um ein Konto, das ausschließlich im Minus (Soll) geführt wird. Es wird häufig kombiniert mit einer Zahlungskarte (z. B. einer Kreditkarte). Nach Einrichtung des Kontos werden die in …   Deutsch Wikipedia

  • revolving credit — atnaujinamasis kreditas statusas T sritis Gynyba apibrėžtis Kreditas, kuris gali būti išnaudojamas iki nustatytos ribos, o pasiskolinta suma kompensuojama arba sumažinama grąžinant. atitikmenys: angl. revolving credit šaltinis NATO mokymų ir… …   Lithuanian dictionary (lietuvių žodynas)

  • Revolving Credit — A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customer s current cash flow needs. Often… …   Investment dictionary

  • revolving credit — noun a consumer credit line that can be used up to a certain limit or paid down at any time • Syn: ↑open end credit, ↑charge account credit • Hypernyms: ↑consumer credit • Hyponyms: ↑credit account, ↑ …   Useful english dictionary

  • revolving credit — Type of consumer credit arrangement which permits a buyer or a borrower to purchase goods or secure loans on a continuing basis so long as the outstanding balance of the account does not exceed a certain limit. Loans are repaid and new loans… …   Black's law dictionary

  • revolving credit — Fin a credit facility which allows the borrower, within an overall credit limit and for a set period, to borrow or repay debt as required …   The ultimate business dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.