||Cancellations of, and reductions in, previously approved credit limits
This is the value of cancellations or reductions in the previously approved limit of lending commitments, or firm offers, in the form of revolving credit loans provided by the reporting party which have been cancelled or reduced during the relevant period. This includes the actual value of credit limits cancelled and the value by which existing credit limits were reduced during the period.A commitment is a firm offer to provide finance which has been accepted by the client. A commitment exists once the loan application has been approved, and a loan contract or letter of offer has been issued to the borrower. Revolving credit facilities involve a commitment for a credit or borrowing limit and where the extent of the borrowings used at any one time may be for any amount up to the authorised limit. Repayments (other than of changes and interest) reduce the borrowings thereby increasing the amount of unused credit available.