What is revolving credit?

Revolving credit is a type of credit account that allows you to repeatedly receive cash, goods, or services usually up to an agreed credit limit. As you borrow and make repayments, the available credit renews and can be used continuously, for example a credit card.

Some revolving credit accounts, such as a charge card, work in a similar way but without a fixed credit limit. Some retail accounts can also be considered as revolving credit, for example where you pay for a large purchase over monthly instalments.