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Credit Finance

Credit finance involves the provision of resources. An example of this is the granting of a loan. A key part of credit is that the party receiving these resources does not reimburse those resources immediately.

This means that credit finance deals with the generation of debt. The party who receives the resources arranges to return or to repay them at a later date. They may also work with alternate materials of an equal value as well.

Credit finance involves any form of deferred payment. The party who provides resources is called the creditor. They may also be referred to as the lender. The other party is known as the debtor. They may also be called a borrower.

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