Glossary
Trade credit,
in plain language.
Simple meanings for words you may see on Kredit. If we must use a finance word, we explain it here.
- AAgeing
- How late a payment is. For example: not yet due, 1–30 days late, or more than 30 days late.
- DDispute
- When a seller or customer reports a problem with the goods or amount owed. Automatic debit pauses for the amount being questioned.
- DDrawdown
- A new credit sale made from a credit limit the seller already gave the customer.
- GGrace period
- Extra time after the payment date. Reminders can continue, but automatic debit cannot start yet.
- MMandate
- Permission from the customer for an approved payment company to debit up to an agreed amount.
- OObligation
- A credit sale that has started. It shows the amount owed, payment dates and payment history.
- PPayment claim
- When a customer says they paid by transfer or cash. The seller must confirm it before the balance changes.
- PPrincipal
- The amount owed for goods sold on credit.
- PPublic receipt
- A shareable payment receipt that hides names, bank details and private records.
- TTrade credit
- When a seller gives goods now and lets the customer pay later. It is not a bank loan.