Akademik

Credit

Money loaned. The New York Times Financial Glossary

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▪ I. credit cred‧it ¹ [ˈkredt] noun

1. [uncountable] COMMERCE an arrangement with a shop, supplier etc to buy something now and pay for it later:

• They are saving for new furniture - instead of buying on credit.

• Sales were helped by the introduction of interest-free credit.

ˈtrade ˌcredit [uncountable] COMMERCE

when a supplier allows a business customer to pay for goods or services after they are delivered, usually 30, 60, or 90 days later:

• Half of those giving trade credit said that payment was not received on time.

2. [countable, uncountable] an amount by which a payment is reduced, relating for example to goods you have returned:

• You can return the product within 30 days and get full credit toward the purchase of another.
— see also letter of credit

3. the credit side [uncountable] ACCOUNTING the right-hand side of each account in Double-Entry Bookkeeping, the side used for increases in Liabilities (= the amount of debt that must be paid) or revenue S:

• Every time an entry is made on the debit side, another entry of equal value must be made on the credit side somewhere in the books.

4. in credit BANKING if you are in credit, you have money in your bank account; be in the black:

• There are no bank charges if you stay in credit.

5. [uncountable] BANKING another name for credit history:

• If your credit is good and you drive less than 15,000 miles a year, you should consider leasing your car rather than buying one.

6. also bank credit [countable, uncountable] BANKING an arrangement with a bank for a loan, or bank lending in general:

• The company is to get an additional $225 million in credit with no strings attached.

• In the economic recovery, bank credit is absolutely critical, particularly for small businesses.

• The bank said it would continue to extend credit (= make loans available ) to the publishing group to keep it in business.

ˌbank ˈgiro ˌcredit [countable, uncountable] BANKING

a way of paying bills in which you use a printed form to tell a bank to put a particular amount of money into a particular bank account, or the form used to do this :

• You can pay by cheque, using a bank giro credit slip and sending it to the above address.

conˌfirmed irˌrevocable ˈcredit [uncountable]

BANKING in foreign trade, a document in which a bank promises to pay an exporter when it receives proof that the goods have been sent

conˌsumer ˈcredit also ˌpersonal ˈcredit BANKING

[uncountable] lending to members of the public, rather than to businesses:

• Declines in consumer credit usually occur during recessions and indicate that consumers don't want to commit themselves to long-term payments.

dˌocumentary ˈcredit

[uncountable] BANKING COMMERCE a method of financing international trade where a bank agrees to pay the exporter when it receives the related trade documents; = LETTER OF CREDIT:

• The importer can be sure that no payment will be made until the exporter has provided evidence that the goods have been shipped in accordance with the terms of the documentary credit.

ˈexport ˌcredit

[countable, uncountable] BANKING COMMERCE money lent to an exporter to cover the period of time between producing and sending the goods to the country buying them and being paid:

• Governments subsidize export credit through official guarantees and below-market interest rates.

• Export credit agencies (= organizations that specialize in lending in this way ) provide insurance against damage during shipping.

exˌtended ˈcredit

[uncountable] BANKING COMMERCE when money is lent for longer than usual, or longer than was originally agreed:

• Extended credit often supports banks that should fail, increasing costs to the government when they do go under.

ˌlong-term ˈcredit

[countable, uncountable] BANKING COMMERCE loans for periods of between five to ten years or more:

• long-term credits to finance the construction of warehouses

ˌmedium-term ˈcredit

[countable, uncountable] BANKING COMMERCE loans for periods of between one and five years:

• The bank has started to concentrate its business on the low-risk area of medium-term credits.

ˌpersonal ˈcredit

[uncountable] BANKING another name for consumer credit:

• Mortgage loans are considered the safest form of personal credit.

reˌvolving ˈcredit

[countable, uncountable] BANKING COMMERCE an arrangement with a bank for borrowing up to an agreed limit; if the limit is reached and the loan is then partly repaid, the borrower can later borrow up to the limit again:

• The new eight-year debt package comprises a $20 million term loan and a $45 million revolving credit agreement.

seˌcured ˈcredit

[uncountable] BANKING COMMERCE loans where the lender has the right to claim some of the borrower's assets if they do not repay it:

• We offered to give our bondholders ownership of the company and convert our bank debt to a secured credit facility.

ˌshort-term ˈcredit

[countable, uncountable] BANKING COMMERCE loans for a year or less:

• They provided short-term credit to finance ongoing working capital and capital expenditure requirements.

ˌunsecured ˈcredit

[uncountable] BANKING COMMERCE a loan where the lender does not have the right to claim the borrower's assets if they do not repay it:

• In the majority of bankruptcies secured credit is repaid before unsecured credit.

7. [countable, uncountable] TAX an amount of money given to you by the authorities, or an amount that you do not have to pay, which normally you would have to pay:

• The couple may claim a credit of $800 for child care against their tax bill.

eˈmission ˌcredit

[countable, uncountable] TAX another name for pollution credit

inˌvestment ˈtax ˌcredit [countable, uncountable]

TAX in the US, a reduction in the tax that companies pay on their profits if they invest in certain types of equipment. This credit has been introduced and ended several times:

• An investment tax credit would encourage more investment, thereby creating more jobs.

polˈlution ˌcredit

[countable, uncountable] TAX a form of tax credit that a company which does not cause much pollution (= damage to the environment ) can sell to one that does. The system is intended to decrease the general level of pollution:

• Plants whose emissions are well below the permitted level can sell pollution credits to units which find cleaning up more difficult.

ˈtax ˌcredit

[countable] TAX an amount of money on which you do not have to pay tax. The amount is taken away from your total tax bill or, if you do not earn enough to pay tax, it may be given to you by the government:

• Under the financing program, tax credits are available to individuals who invest between $10,000 and $50,000 in a U.S. company.

• They proposed a $300 tax credit for each child.
— see also carbon credit

[m0] ▪ II. credit credit ² verb [transitive]

1. BANKING to add money to a bank account:

credit +to

• The interest credited to the income account will be taxable.
— opposite debit

2. ACCOUNTING to make an entry on the credit side of an account in Double-Entry Bookkeeping:

• On selling an asset, any profit is credited to capital reserve or a specific asset replacement account.
— opposite debit

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Ⅰ.

credit UK US /ˈkredɪt/ noun

► [U] COMMERCE, FINANCE a method of paying for goods or services at a later time, usually paying interest as well as the original amount: give/extend/offer credit to sb »U.S. banks are reluctant to extend credit to the troubled nation.
deny/refuse sb credit »Have you ever been refused credit?
on credit »They've purchased all sorts of leisure equipment on credit.
»The card has no annual fee and users get up to eight weeks' interest-free credit.

► [U] FINANCE the money lent by financial organizations to companies, governments, people, etc.: domestic/foreign/international credit »The central bank attributed the rise in domestic credit during the period to a rise in private sector credit.
cheap/affordable/easy credit »Rising house prices were fueled by easy credit.
»Agricultural borrowers are concerned about credit availability as the farm economy weakens.

► [U] FINANCE the amount of risk when lending money to a particular person or organization, based on how likely they are to pay it back: weak/poor/bad credit »Too many mortgages had been granted to home buyers with weak credit.
good credit »They will let you take the goods and pay later if your credit is good.

► [C] BANKING a payment of money into a bank account: »His bank statement shows two credits of $5000 each.

→ Compare DEBIT(Cf. ↑debit) noun

● in credit — Cf. in credit

► [C] (ABBREVIATION CR) ACCOUNTING an amount recorded on the right side of a company's financial accounts, which shows a decrease in assets or an increase in debt: »The accounting system automatically generates a credit to the account that was debited.

→ Compare DEBIT(Cf. ↑debit) verb

► [C or S] TAX an amount by which someone is allowed to reduce the amount of tax they pay, because they have spent money on a particular thing: »He introduced a new tax break in the form of a child-care credit.

→ See also TAX CREDIT(Cf. ↑tax credit)

► [C or U] ACCOUNTING, COMMERCE an amount of money that you have available to spend with a store or business, for example, because you returned a product or paid too much for it: »If you are dissatisfied with any item, it may be returned within 14 days for credit, refund, or exchange.

► [U] praise for doing something good: credit for sth »The whole team deserves credit for bringing the project in on time.
take (the) credit »She felt he had taken the credit for her idea.

→ See also BANK CREDIT(Cf. ↑bank credit), BANK GIRO CREDIT(Cf. ↑bank giro credit), BILATERAL CREDIT(Cf. ↑bilateral credit), CARBON CREDIT(Cf. ↑carbon credit), CONFIRMED LETTER OF CREDIT(Cf. ↑confirmed letter of credit), CONSUMER CREDIT(Cf. ↑consumer credit), DEFERRED CREDIT(Cf. ↑deferred credit), DOCUMENTARY CREDIT(Cf. ↑documentary credit), EMISSION CREDIT(Cf. ↑emission credit), EXPORT CREDIT(Cf. ↑export credit), EXTENDED CREDIT(Cf. ↑extended credit), LONG-TERM CREDIT(Cf. ↑long-term credit), MEDIUM-TERM CREDIT(Cf. ↑medium-term credit), POLLUTION CREDIT(Cf. ↑pollution credit), REVOLVING LINE OF CREDIT(Cf. ↑revolving line of credit), SECURED CREDIT(Cf. ↑secured credit), SHORT-TERM CREDIT(Cf. ↑short-term credit), TAX CREDIT(Cf. ↑tax credit), TRADE CREDIT(Cf. ↑trade credit), UNSECURED CREDIT(Cf. ↑unsecured credit)

Ⅱ.

credit UK US /ˈkredɪt/ verb [T]

► BANKING, FINANCE to show that money has been added to something such as an account: »When dividends are received the shareholder's account will be credited.
credit sth with €10/€1000, etc. »Within a week my card was credited with the $219 difference.
credit €10/€1000, etc. to sth »The bank mistakenly credited almost $1 million to his account.

► ACCOUNTING to record an amount on the right side of a company's financial accounts to show a decrease in assets or an increase in debt: credit sth to sth »A fair amount should be periodically credited to 'reserve' for depreciation.

Financial and business terms. 2012.