1. A contractual agreement in which a borrower receives something of value now and agrees to repay the lender at some later date. When a consumer purchases something using a credit card, they are buying on credit (receiving the item at that time, and paying back the credit card company month by month). Any time when an individual finances something with a loan (such as an automobile or a house), they are using credit in that situation as well.
2. The borrowing capacity of an individual or company.
3. A journal entry recording an increase in assets. With cash basis accounting, credits are recorded when income is received. With accrual basis accounting, credits are recorded and recognized when income is earned. Compare to Debit.
Related information about credit:
- Credit.com
Credit.com is making credit ridiculously simple...and truly free! Get your Free Credit Score and find your best Credit Card and Loan options BEFORE you apply !
- Credit (finance) - Wikipedia, the free encyclopedia
Credit is the trust which allows one party to provide resources to another party where that second party does not reimburse the first party immediately (thereby ...
- Free Credit Score & Credit Report Data. No Credit Card Needed
Instantly receive your free credit score and free credit report data online. Free credit tools to track and optimize your credit score. No credit card needed & no ...
- Credit Report and Credit Score with Toll-Free Support from Experian
Check your credit report and credit score with toll-free support, business credit reports, identity theft protection, and marketing solutions - Experian Official Site.
- The Federal Trade Commission's Information on Free Annual Credit ...
AnnualCreditReport.com is the ONLY authorized source for the free annual credit report that's yours by law. The Fair Credit Reporting Act guarantees you ...
- Credit & Loans - Federal Trade Commission
Apr 14, 2010 ... Features an assortment of helpful articles related to credit issues.
- Credit Reports, Credit Scores, Identity Theft Protection from Equifax
Get your credit report and credit score from Equifax. Monitor your credit and help protect your identity with identity theft protection from Equifax.
- Credit Report, Credit Scores & Credit Checks | TransUnion
Check your credit report and credit score online at TransUnion.com. Credit is as important as ever, visit TransUnion-The Source for your credit needs.