Expense Accounts Are Increased By Credits is an accounting term used to describe a situation whereby debit entries for expenses recorded on the books are exceeded by credit entries for payments made with regard to those same expenses. In other words, when more money is credited towards those expenses than is debited from them, the expense accounts in question are “increased by credits”. This could occur, for example, when an invoice is paid in full plus additional credits that cover overpayments or discounts given by suppliers. As such, it is important to keep track of all credits applied to any specific expense account in order to maintain accurate financial records.