
Giving is receiving The almost paradoxical relationship between the accounting terms "credit" and "debit', are universal truths core to human relationship. A credit exists on your balance sheet when you have created indebtedness in another. You create indebtedness by giving another person something of your own. When you receive something from another, you create a debit in your books, not a credit. If a person owes you more than you originally gave them, then value has been created. (In banking terms this would occur when the interest on a debt exceeds the cost of mitigating the..