loan

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Related to Car loans: Personal loans

Loan

Temporary borrowing of a sum of money. If you borrow $1 million you have taken out a loan for $1 million.

Loan

The extension of money from one party to another with the agreement that the money will be repaid. Nearly all loans (except for some informal ones) are made at interest, meaning borrowers pay a certain percentage of the principal amount to the lender as compensation for borrowing. Most loans also have a maturity date, by which time the borrower must have repaid the loan.

A loan may be guaranteed by collateral, meaning that the lender either keeps an asset belonging to the borrower until the loan is repaid or has the right to seize such an asset in the event of default. Often, loans are obtained to purchase a major asset, such as a house. These loans are generally guaranteed by the asset they are used to buy. Lending is a foundational component of capitalism.

loan

the advance of a specified sum of MONEY to a person or business (the BORROWER) by other persons or businesses, or more particularly by a specialist financial institution (the LENDER) which makes its profits from the INTEREST charged on loans. The provision of loans by COMMERCIAL BANKS, FINANCE HOUSES, BUILDING SOCIETIES etc. is an important source of CREDIT in the economy serving to underpin a substantial amount of spending on current consumption and the acquisition of personal and business assets.

Loans may be advanced on an unsecured or secured basis; in the latter case the lender requires the borrower to offer some form of COLLATERAL SECURITY (for example property deeds) which the lender may retain in the event of the borrower defaulting on the repayment of the loan. See BANK LOAN, INSTALMENT CREDIT, MORTGAGE, LOAN STOCK, DEBENTURE, LOAN GUARANTEE SCHEME, INTEREST RATE, SOFT LOAN.

loan

the advance of a specified sum of MONEY to a person or business (the BORROWER) by other persons or businesses, or more particularly by a specialist financial institution (the LENDER), which makes its profits from the INTEREST charged on loans. The provision of loans by COMMERCIAL BANKS, FINANCE HOUSES, BUILDING SOCIETIES, etc., is an important source of CREDIT in the economy, serving to underpin a substantial amount of spending on current consumption and the acquisition of personal and business assets.

Loans may be advanced on an unsecured or secured basis; in the latter case the lender requires the borrower to offer some form of COLLATERAL SECURITY (for example, property deeds) which the lender may retain in the event of the borrower defaulting on the repayment of the loan. See BANK LOAN, INSTALMENT CREDIT, MORTGAGE, LOAN CAPITAL, DEBENTURE, LOAN GUARANTEE SCHEME, INTEREST RATE, SOFT LOAN, BOND.

References in periodicals archive ?
The audit revealed a variance of Sh12.7 million between the total amount of car loans issued to the MCAs and the values indicated in the valuation reports by the Automobile Association of Kenya."It is evident that the loans issued to the MCAs exceeded the value of their vehicles contrary to the Public Finance Management (Nairobi City County Assembly Car Loan and Mortgage Scheme Fund) Regulations 2017," Mr Ouko says.
3019, also known as the Anti-Graft and Corrupt Practices Act, due to the reportedly irregular P15.8-million car loan plans given to their Board of Trustees.
Analysts said that late payments on car loans could wipe out as much as 23 percent of big banks' profits.
44 percent of Americans rely on a car loan to finance a vehicle purchase.
While longer-term car loans often appear more affordable, they are not in the long-run.
Summary: Refinancing can help you change almost every aspect of your car loan
New car loans rose 9% to $19.7 billion, used car loans rose 8% to 32.5 billion and total loans grew 8% to $205.2 billion.
ASIC alleges that between 25 July 2013 and 12 May 2015, ANZ failed to meet its responsible lending obligations when relying only on payslips included in 12 car loan applications to verify the consumer's income, in circumstances where it knew that payslips could be easily falsified and it had reason to doubt the reliability of information from the particular broker businesses.
THREE more Egyptians have been sentenced to jail for being part of an international car loan racket that conned banks out of more than $1 million.
The Arab African International Bank (AAIB) requires owning an account at the bank to obtain a car loan. Applicants will also need to provide a copy of their valid national ID card.
A look at prevailing interest rates for car loans shows that some banks are offering as little as 2.5% interest on a 60-month loan.
The seven-year boom in car loans has strong echoes of the mortgage frenzy that triggered the 2008 housing crash.