credit account

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credit account

The customer uses her credit account to purchase a new laptop.

Definition
  1. Noun:
    • A commercial arrangement allowing deferred payment: A "credit account" is a formal agreement between a business and a customer where the customer can purchase goods or services immediately but pay for them at a later date, typically on a monthly billing cycle.
    • A record of such an arrangement: It also refers to the specific record or ledger entry maintained by the business to track the customer's purchases, payments, and outstanding balance under this agreement.
Usage Examples
  • Noun:
    • The store offered her a credit account, so she could buy the furniture now and pay over six months.
    • Please check your credit account statement for any discrepancies.
    • He settled his credit account in full before the due date.
Advanced Usage
  • "To have an account on credit": This is a more descriptive phrase meaning to possess a credit account with a seller.
    • We have an account on credit with our main supplier, which simplifies our procurement process.
Variants and Related Words
  • Charge account (n): A very similar type of account, often used interchangeably with "credit account," particularly in retail contexts.
  • Revolving credit account (n): A specific type of credit account where the customer has a credit limit and can carry a balance from month to month, paying interest on the outstanding amount.
  • Account (n): The broader term for a formal business relationship involving the recording of financial transactions.
Synonyms
  • Charge account: An account allowing purchases on credit.
  • Open account: A credit arrangement where payment is deferred.
Related Phrases
  • "On account": As a partial payment or using a credit account.
    • I put $50 down on account and will pay the rest next month.
  • "To open a credit account": To establish a new credit arrangement with a business.
    • You can apply to open a credit account online.
credit account

The customer uses her credit account to purchase a new laptop.

Noun
  1. credit extended by a business to a customer

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