Revolving line of credit
Revolving line of credit
Revolving line of credit is a debt instrument that allows the borrower to re-borrow amounts after they've been repaid. The lender approves the borrower for a certain debt limit, then allows the borrower to borrow (up to the limit), pay down, and borrow again until maturity. At maturity, the outstanding balance must be repaid, or the line of credit must be renewed.
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