Credit balance

A credit balance is the ending total in an account, which implies either a positive or negative amount, depending on the situation. A credit balance applies to the following situations:

  • A positive balance in a bank account
  • The total amount owed on a credit card
  • A negative balance in an asset account
  • A positive balance in a liability, equity, revenue, or gain account
  • The remaining balance in a cash account with a broker after securities have been bought