Accounts Payable Credit, or AP Credit, is a financial accounting term used to describe liabilities incurred in the course of business. This includes money owed to suppliers, vendors, and other creditors. When an organization purchases goods or services on credit, they must document this transaction by recording an Accounts Payable Credit. As these liabilities are paid off over time, the amount remaining is known as ‘Accounts Payable Balance’. In the long run, proper maintenance of Accounts Payable Credit can save your business from potential losses due to litigation or late payment fees.