A credit line is a predetermined amount of money that a lender, such as a bank or credit union, allows a borrower to access. This can be used for various purposes, such as making purchases or covering unexpected expenses. Borrowers can withdraw funds up to the limit set by the lender and are only charged interest on the amount they actually use. There are different types of credit lines, including personal lines of credit and business lines of credit. These lines can provide flexibility and financial support, helping individuals and businesses manage cash flow and expenses more effectively.