What means debit balance?
Similarly one may ask, is a debit balance positive or negative?
Accounts that normally maintain a positive balance typically receive debits. And they are called positive accounts or Debit accounts. Likewise, a Loan account and other liability accounts normally maintain a negative balance. Accounts that normally maintain a negative balance usually receive just credits.
Subsequently, question is, does debit balance mean I owe money? CR (credit) means you've paid for more energy than you've actually used, while DR (debit) means you owe money as you haven't paid enough. If a debit balance keeps growing, your supplier may suggest raising your Direct Debit payment to catch up. The cost of the gas and electricity you've used.
In this way, what is the difference between credit balance and debit balance?
Debits are when they give money to you, they debit your account (decrease a liability) and credit their cash balance (decrease an asset) . If at the end of the period, you have a credit balance then they owe money to you, a debit balance means you owe money to them.
What is debit balance and credit balance in tally?
General Ledger Balance For example, if you pay a $10,000 invoice, you credit cash $10,000 and debit accounts payable $10,000. If, after a transaction, one of your accounts, such as cash, has a greater amount of debits than credits, you have a debit balance.