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line of credit

noun phrase

: the maximum credit allowed a buyer or borrower
also : an agreement providing credit up to a certain amount

Examples of line of credit in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Both come with the same tax advantages, giving you flexibility to choose either a loan or a line of credit. Matt Richardson, CBS News, 21 Nov. 2025 Management’s thoughts on the interest rate environment for 2026 and its implications for new home construction (linked to mortgage rates) and home renovation activity (linked to shorter-term HELOC, or home equity line of credit, rates) will be important to investors. Matthew J. Belvedere,zev Fima, CNBC, 16 Nov. 2025 Critics see gleaming towers rising from desert sand and detect not ambition but emptiness — a city with an unlimited line of credit, but without a soul. Bobby Ghosh, Time, 29 Oct. 2025 As of last week, the average rate on a home equity loan was 8.11% and the variable rate on home equity line of credit (HELOC) was 7.85%, according to Bankrate. Jeanne Sahadi, CNN Money, 29 Oct. 2025 See All Example Sentences for line of credit

Word History

First Known Use

1917, in the meaning defined above

Time Traveler
The first known use of line of credit was in 1917

Browse Nearby Words

Cite this Entry

“Line of credit.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/line%20of%20credit. Accessed 1 Dec. 2025.

Legal Definition

line of credit

: an agreement specifying the maximum amount of credit allowed a borrower

More from Merriam-Webster on line of credit

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