The credit line is … Types and characteristics of credit lines

To be competitive, organizations need long-term investment. Additional resources can be obtained through an overdraft, targeted loan or credit line. You can learn about the nature and terms of this service from this article.

The credit line is provided to the organization. The right to use the borrowed funds of the bank within the agreed time period and in the set amount. Specific conditions are specified in the contract. This service allows you to close financial gaps without having to withdraw capital from circulation. The client can independently choose when and how much money to use.



The non-circulating credit line is provided in tranches within a certain period and limit of funds. The borrower decides when to use the money. The repayment of part of the debt does not increase this limit.

A Revolutionary Credit Line is a loan that is provided in parts within the time limit specified in the contract. Timely debt increases the limit of available funds. The client pays only for the actual amount of capital used.

In the first case, the borrower returns the body to the bank credit and interest, after which the line closes. And in the second – after repaying the first tranche, the limit of available funds increases and you can use the borrowed money again. There is only one limitation – the debt must be repaid within a certain period. Most often it is 3 months.

If the client needs borrowed funds for a certain period, a revolving credit limit with a payout limit is used. However, the exact start date of the expenditure is not known.

A framework credit line is opened for payments for supplies made at regular intervals over a specified period of time.

There is a separate program under which a New Tranche can only be obtained after full payment of the previous Tranche several times over a specified period of time. This is called a revolutionary credit line.

There are several more specific types:

  • on-demand (repayment of part of the funds will allow you to obtain a future loan for that amount);
  • contractual account (the loan is issued automatically upon payment of the previous one);
  • multiple currencies (short-term financing of foreign economic operations);
  • on request (loan is provided on request) and more.



  • The borrowing company has an open non-renewable credit line of 1 million rubles. Three tranches were received: 500, 200 and 300 thousand rubles. The limit has been reached after receiving the last part. Now the client has to repay the loan in full. It can no longer use the funds even in partial repayment of debt.
  • The credit limit of the organization is 1 million rubles. The borrower took a tranche – 700 thousand rubles. After this operation, the limit was reduced to 300 thousand rubles. The following month, part of the debt was repaid – 500 thousand rubles. Now the amount of funds available: 500 + 300 = 800 thousand rubles. This means that the client can withdraw funds several times and repay them on time. That the amount does not exceed the amount for which the credit limit was granted. This is a revolving loan.

Sometimes the bank charges a fee for the unused part of the funds. In the above example, this figure is 300 thousand rubles. There is also a deadline for the return of each tranche for the renewables regime. The contract may be drawn up for one year. However, each individual part of the funds used must be repaid within 2-3 months.


  • Under the terms of the turret program was set a limit of 1 million rubles. for 1 year. The client can borrow unlimited amount of money within 12 months.

The difference of the credit line from the target loan


  • Convenience and business advantage. The date the money is needed is not known in advance. A payout credit limit allows you to get a loan on time and payback when an opportunity arises.
  • Attracting funding takes less time.
  • Although this service is available to almost all customers in banks, the limits and terms of service depend on the size of the organization.
    In some cases, a backup will be required. These may be raw materials that the company derives from borrowed funds or other assets. If collateral exists, the rate is reduced and the transaction processing process is accelerated.
  • A targeted loan can be obtained from Sberbank. Conditions of use will be less favorable to the debtor. Credit lines usually have a lower interest rate.

Provision of services by Russian banks


The loan can be obtained in rubles, dollars or euros. The amount depends on the legal entity’s solvency, its credit history and its turnover. Data varies from 3 months to 5 years. If a “long” credit line with a debt limit of more than 1,000,000 rubles is opened, the bank may require adequate security: real estate, land, transport, equipment. The company can get a loan:

  • fixed-rate floating rate;
  • The commission percentage is calculated separately for each tranche.

Bank remuneration is always determined individually, depending on the amount, currency, conditions, debtor’s financial situation, organization’s reputation and level of risk. The commission ranges from 10 to 20% per year. Opening a credit limit will cost the borrower 2% of the limit. The renewable energy scheme may include a monthly maintenance fee. It is also possible to set a limit on one tranche.

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