What are Credit Accounts?

by Mathew Sakala
(Harare, Zimbabwe)

Q: What are credit accounts and could you show me a sample?

A: Credit accounts are any accounts that normally occur on the right side, as credit means right side.

Examples of credit accounts:

• Capital (owner's equity)


• Bank loan (liability)


• Creditors (liability)


• Bank overdraft (liability - you owe the bank)

See the lesson on T-accounts for more information.