A credit limit is an amount, It determines how much money due a customer can keep.
Suppose I give a credit limit of 100 for a customer. This means that the customer cannot owe more than 100 money while selling the product to that customer.
Credit limit example snapshot. In this snapshot you will be see a Notification "You cannot keep more than 100.0 dues for this customer, Because credit limit is 100.0"

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