To finance something is to pay for it, like using the money you earn at your part-time job to finance your cell phone bill.

As a verb, it carries two very different meanings: "to pay for" or "obtain on credit." So, if you can finance your trip, it means you have the money to pay for it. Anyone who works in finance, meaning the banking and investment industry, will tell you plenty of people get in trouble by letting credit cards finance things like vacations.

Definitions of finance

n the commercial activity of providing funds and capital

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corporate finance
the financial activities of corporation
financing, funding
the act of financing
high finance
large and complex financial transactions (often used with the implication that those individuals or institutions who engage in them are unethical)
investing, investment
the act of investing; laying out money or capital in an enterprise with the expectation of profit
floatation, flotation
financing a commercial enterprise by bond or stock shares
transacting business with a bank; depositing or withdrawing funds or requesting a loan etc.
a kind of hedged investment meant to capture slight differences in price; when there is a difference in the price of something on two different markets the arbitrageur simultaneously buys at the lower price and sells at the higher price
foreign direct investment
investing in United States businesses by foreign citizens (often involves stock ownership of the business)
leverage, leveraging
investing with borrowed money as a way to amplify potential gains (at the risk of greater losses)
home banking
banking in which transactions are conducted by means of electronic communication (via telephone or computer)
Type of:
business, business enterprise, commercial enterprise
the activity of providing goods and services involving financial and commercial and industrial aspects

n the management of money and credit and banking and investments

engaging in the business of keeping money for savings and checking accounts or for exchange or for issuing loans and credit etc.
Type of:
direction, management
the act of managing something

n the branch of economics that studies the management of money and other assets

Type of:
economic science, economics, political economy
the branch of social science that deals with the production and distribution and consumption of goods and services and their management

v obtain or provide money for

“Can we finance the addition to our home?”
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help (an enterprise) in its early stages of development by providing seed money
support financial backing for
renew the financing of
convert (short-term floating debt) into long-term debt that bears fixed interest and is represented by bonds
Type of:
give money, usually in exchange for goods or services

v sell or provide on credit

Type of:
accounting: enter as credit

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