What is a limit?
The word "limit" has Latin roots and in literal translation from Latin "limes" means "limit". The fact that such a limit in the modern concept, what values it has and in what areas of human life is used most often, and will be discussed further.
Below are the limit values in finance, mathematics and gambling.
What is a limit: the basic meanings of a word
In all its meanings, the concept of “limit” does not change the original meaning that it contains, and means the marginal rate of something. For example, most often it is used:
- In the sphere of finance and economics (for example: obligatory price limit, minimum and maximum limit, import limit, credit limit).
- In gambling. For example, a cardboard limit is the maximum amount of a bet that is set by agreement of the players.
- In math. In this science, the limit value is broken under the limit to which a mathematical expression tends as far as the known change in the quantities that it contains.
The credit limit is the final (marginal) amount that a lender (bank, company, car company, etc.) can issue to a borrower. The establishment of a credit limit may depend on a number of different factors, for example, on the borrower's credit rating and its credit history (or credit report). The latter contains information on how and in what volume and what payments were made by the borrower earlier.
What is a card limit
The limit of a credit card is the largest amount of money that can be withdrawn from it. The establishment of such a limit is determined differently, but more often by an overdraft, that is, the maximum amount in the current account that the client may owe to the bank. In addition, the credit card limit depends on the client’s salary (the higher it is, the higher the limit can be), the type of credit card, and whether the cardholder is a depositor or an old bank client (the bank can increase the loan amount).
If you try to withdraw money from a credit card, the inscription “limit is exceeded” appears, and you know that there is still money on it, this means that the card has a limit on withdrawing money at the cash machine per dayor per month. This is done for safety. In order to increase this limit, you must contact the bank office.