Definition of Charge account:
An account to which goods and services may be charged on credit.
Trade credit facility under which goods are delivered or services are provided to creditworthy customers, who agree to pay for them a certain period (commonly 30 days) after the date of invoice. Each customer normally has a credit limit beyond which goods or services are provided only on cash basis. Tardy customers may have to pay a certain rate of interest on the outstanding amount as a penalty. Also called credit account. See also open account.
How to use Charge account in a sentence?
- Maria was running low on money three days before payday, so she decided to pay for her groceries on her charge account .
- In order to facilitate the transaction we used our charge account to house the funds, this allowed for prompt delivery.
- Most high school students open a charge account at a local retail store when heading to college in order to establish some credit.
- Leff also offers his clients a credit card, which looks like a charge account from the customers point of view.
Meaning of Charge account & Charge account Definition