I look at the definition and I understand the idea and concept of liquidity: It's how much cash you can pay and cover more or less immediately. I have x dollars in stocks and savings which can be turned to cash practically immediately. But if I also have a credit line of y dollars and the bank is directly willing to lend me z dollars (because I have no debt and I have fixed income) then would that count as liquidity because in practice that will mean that I will be able to cover x + y + x dollars within hours or next banking day. Or is there some clear regulation that a net liquidity cannot be from a credit line or a loan? Does it matter for the entity asking me what is my liquid net worth, they will likely not care and will not even know as long as I can pay the amount I claim or is it in the word "net" understood that none of the cash is allowed to be borrowed?


The "net" in "net worth" is your worth after subtracting off all debt.

So, no, you can't count available unused credit in your net worth — liquid or otherwise.

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