Answer:
One type of credit is revolving credit. It is a type of credit that allows you to borrow money up to a certain limit, and you can use it as needed. You can borrow as much or as little as you want, up to your credit limit, and you only pay interest on the amount you borrow. A situation where you might use revolving credit is when you have an unexpected expense, such as a car repair or medical bill, and you don’t have enough cash on hand to cover it. You can use your revolving credit to pay for the expense and then pay it back over time with interest .
Step-by-step explanation: