One of the most found explanations of the acronym or abbreviation LOC is “Line of Credit” while in the medical environment it usually is an abbreviation of “Loss of Consciousness” or “Level of Consciousness”. But, as usual, there are numerous other meanings to be found, just check out the list below.
“Line of Credit” is the financial definition of LOC. This is a standing amount of credit that the customer of a bank may have available at any given time. A financial LOC (Line of Credit) may be called a revolving credit as well. So a line of credit (LOC) is a set amount of money, like a loan, that the bank is extending to the customer. The following video explains a lot:
The bank’s customer may draw upon the line of credit, provided the amount doesn’t exceed the LOC’s limit. The customer needs to pay back the borrowed amount on the LOC within a specific timeframe and at a specific interest rate. Unlike loans, only the actual money drawn on the LOC is charged with interest. To give you an example, if a customer has a $30k LOC but draws just $10k, he is charged interest only on the $10k.