Debit and credit are terms used in the double-entry bookkeeping system. In this system, a company’s accounts show how money moves in and out of the business. When money moves into an account, it is called a credit, while when money moves out of an account, it is called a debit. Both debits and credits can be either increases or decreases, depending on what kind of account they are associated with. For instance, when you put money into a savings account, it is a credit to your account, because that amount of money has been added to your balance. On the other hand, when you buy something on credit at a store, it is a debit to your account, as that amount of money has been taken from your balance.