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Seasonal Credit

Seasonal Credit Definition

A type of credit that permits companies to pay their expenses despite seasonal swings in their cash flow. This allows borrowers to continue their operations smoothly during months when little or no income is generated.

Seasonal credit can also mean a type of credit granted by the FED discount window lasting for up to 90 days. This program provides depository institutions with credit to meet peak seasonal funding requirements. Smaller banks that experience fluctuations in deposits and loans can participate in the credit program.








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