Define: Credit Purchase

UK Accounting Glossary

Definition: Credit Purchase


Quick Summary of Credit Purchase


A business entity takes delivery of goods or services and is allowed to make payment at a later date.



What is the dictionary definition of Credit Purchase?

Dictionary Definition


To purchase something with the promise that you will pay in the future. When buying something on credit, you acquire the item immediately, but you pay for it at a later date.


Full Definition of Credit Purchase




Examples of Credit Purchase in a sentence


That section provides an detailed analysis of the process that market participants must undertake to enter into a Credit purchase or sales contract with Microsoft.
Payable is a liability that requires the purchaser to make a future payment on credit purchase.


Credit Purchase FAQ's


What is the difference between cash purchase and credit purchase?

The only difference between a cash purchase and a credit purchase is the timing of the payment. A cash purchase is a transaction whereby the payment is settled immediately whereas a payment for a credit purchase is settled at a later date.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/credit-purchase/
Modern Language Association (MLA):
Credit Purchase. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. July 22, 2019 https://payrollheaven.com/define/credit-purchase/.
Chicago Manual of Style (CMS):
Credit Purchase. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/credit-purchase/ (accessed: July 22, 2019).
American Psychological Association (APA):
Credit Purchase. PayrollHeaven.com. Retrieved July 22, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/credit-purchase/

Definition Sources


Definitions for Credit Purchase are sourced/syndicated from:

  • Oxford Dictionary Of Economics
  • BusinessDictionary.com
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 23rd December 2018.