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card credit

Definition of credit limit

What is a credit limit? The term credit limit refers to the maximum amount of credit that a financial institution gives to a customer. A lending institution extends a credit limit on a credit card or line of credit. Lenders…

What is a credit limit?

One of those things that can be a bit confusing is your credit limit. Even if you know the amount, you may not know how it is determined or how it affects other areas of your credit life, such as your credit score. But you can relax…