---
title: "Vendor debit balance"
description: "Vendor debit balance — A vendor whose account stands in our favor — a prepayment, an overpayment or a credit not yet used. It is presented as an asset (a vendor receivable or prepaid), not netted against other vendors' payables."
canonical: "https://lopifi.com/glossary/vendor-debit-balance"
---

# Vendor debit balance

> Vendor debit balance — A vendor whose account stands in our favor — a prepayment, an overpayment or a credit not yet used. It is presented as an asset (a vendor receivable or prepaid), not netted against other vendors' payables.

Source: https://lopifi.com/glossary/vendor-debit-balance
Part of: Lopifi — Planned: US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

---

**What is vendor debit balance?** In accounting, vendor debit balance means a vendor whose account stands in our favor — a prepayment, an overpayment or a credit not yet used. It is presented as an asset (a vendor receivable or prepaid), not netted against other vendors' payables.

## Words this system refuses for it

- negative AP

- **Category:** Payables
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/lexicon)
- **Related:** prepaid-expense, account, credit, vendor, asset, debit