Credit limit
The maximum amount a lender agrees a borrower may owe under a credit facility at a particular time.
Related terms
-
Available credit
The amount of an agreed credit limit that remains unused and can still be drawn, subject to the lender’s terms.
-
Credit facility
An agreed source of borrowing that can be drawn subject to set limits and conditions, such as an overdraft or revolving loan.
-
Overdraft
A credit facility allowing an account balance to fall below zero up to an agreed or authorised limit.
What’s your next step?
Get in touch with us at Bell & Company today to see how we can help