revolving debt
Reusable credit line
Revolving debt is credit that can be borrowed, repaid, and borrowed again up to a set limit.
Credit cards are the most common form: you charge purchases, pay some or all of the balance, and the available credit replenishes.
Unlike installment loans with fixed payments over a defined term, revolving debt has no set payoff date—you can carry a balance indefinitely, paying interest on what remains: She's trying to pay down her revolving debt before applying for a mortgage.
- credit cardBorrowed-funds payment tool
- credit linePre-approved borrowing limit
- balanceSteadiness or amount owed
- interestAttention, stake, or fee
- minimum paymentLowest acceptable installment amount
payment due · grace period · late payment · annual fee · APR · interest rate · swipe · plastic · credit utilization · statement · borrowing · outstanding · monthly · limit · finance charge · maxed out · spending · bills
- debtcreditor, owe, lender, unpaid, borrower
- debtscar loan, student loan, loans, bank loan, personal loan
revolving debtinstallment loan
Debt repaid in portions
term loan · installment credit · mortgage · auto loan · student loan
revolving debtsavings
Accumulated money kept
liquid assets · cash reserves · equity · net worth · credit balance
revolve, revolving, revolved, revolver, revolves, revolution, revolutionary, revolutionize, debt