The defining feature of Credicorp Flex is that it revolves. Unlike a fixed-term loan, which you draw once and then repay down to nothing, Flex lets you repay and then draw again within your approved limit, without reapplying.
The repay-and-redraw cycle
- You draw funds, which reduces your available headroom.
- You make repayments, which reduce your balance.
- As your balance falls, your headroom is restored and becomes available to draw again.
Why this matters for cash flow
For a business with uneven income, this cycle is the whole point. You can draw to cover a gap, repay when customers pay you, and have the headroom ready again for the next gap. You pay charges on what is drawn at the rate in your offer, so clearing balances quickly keeps the running cost down.
Using it responsibly
The cycle works best when repayments genuinely come from trading income, not from drawing again to cover a previous drawing. If you find your balance never really falls, that is a sign the facility is carrying more than short-term cash flow, and it may be worth speaking to us about whether a different structure suits the business better.
See also: How redrawing works on a Credicorp Flex facility, How much of my Flex limit is still available? and Can I have several Flex drawings running at the same time?.