Revolving credit facility: Difference between revisions

From The Jolly Contrarian
Jump to navigation Jump to search
No edit summary
No edit summary
 
(One intermediate revision by the same user not shown)
Line 1: Line 1:
{{a|g|[[File:Trigger.jpg|450px|thumb|center]]}}A fancy expression for an [[overdraft]]. Those with an appetite for financial slang call these “[[revolver]]s”.  
{{a|banking|[[File:Trigger.jpg|450px|thumb|center]]}}A fancy expression for an [[overdraft]]. Those with an appetite for financial slang call these “[[revolver]]s”.  


Why “[[revolving credit facility]]”? Well, a “credit facility” means an arranged [[loan]]; if it “revolves” that means the amount you can borrow under it [[from time to time]] can wax and wane. If you pay it down, you can withdraw again later.  
Why “[[revolving credit facility]]”? Well, a “[[credit facility]]” means an arranged [[loan]]; if it “revolves” that means the amount you can borrow under it [[from time to time]] can wax and wane. If you pay it down, you can withdraw again later.  


In other words, an [[overdraft]].
In other words, an [[overdraft]].

Latest revision as of 21:10, 19 January 2021

Banking basics
A recap of a few things you’d think financial professionals ought to know
Index: Click to expand:
Tell me more
Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

A fancy expression for an overdraft. Those with an appetite for financial slang call these “revolvers”.

Why “revolving credit facility”? Well, a “credit facility” means an arranged loan; if it “revolves” that means the amount you can borrow under it from time to time can wax and wane. If you pay it down, you can withdraw again later.

In other words, an overdraft.