Loan note

Loan Note

A contract stating the terms of a loan, such as the principal, the interest rate, and the payment schedule. A loan note states the rights and obligations of both the lender and the borrower. If one party does not fulfill his/her obligations, the other may sue for redress.

Loan note.

A loan note is a promissory agreement describing the terms of a loan and committing the person or institution borrowing the money to live up to those terms.

For example, a mortgage loan note states the principal balance, the interest rate, the discount points, a payment schedule and due date, and any potential penalties for violating the repayment terms.

When the required repayment has been made, the agreement between the parties ends.

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References in periodicals archive ?

By virtue of these holdings, the amendment to the Loan Note constitutes a related party transaction in accordance with Rule 13 of the AIM Rules for Companies.

Global Energy Development Buys Right to HKN Note on Everest Hill

This reduced gain was capable of being rolled into the loan note so that when the loan note was paid, the reduced gain became taxable at the CGT rate at that time.

Giving and taking in the June budget

In either case, provided the loan note permits early encashment before 6 April 2008 and it is commercially feasible, it would be sensible to secure the benefit of taper relief, and the 10 per cent tax rate which goes with it.

Small firms vulnerable to sudden change of tack; Is the playing field still level after CGT changes, Victoria Wyatt-Wright, tax manager, Birmingham, considers the question

The transactions will see GLI dispose a number of assets to SMEF including existing holdings in the loan note of a pharmaceutical company, a solar energy construction loan and stakes in two BMS Finance structures.

Deal snapshot: UK LENDER GLI FINANCE CLOSES ASSET DISPOSALS

Chairman Peter Ridsdale spelt out the financial difficulties as the club prepares for a High Court case against the loan note holders on March 10.

Ridsdale: Uncertainty over court case cost us pounds 5m; Investors hold back until Langston case over

Living Ventures has used the proceeds to reduce bank indebtedness, repay outstanding loan note interest and preference debt due to the Restaurant Group, with the remaining proceeds being distributed to the shareholders of Living Ventures.

Ultimate destination for Living Ventures bar brand; LEISURE

United are to raise pounds 10m via a loan note allocation scheme to be approved by shareholders towards the end of the month.

Football: Warnock has pounds 7m warchest

United are to raise ElOmillion via a loan note allocation scheme to be approved by shareholders towards the end of the month.

Football: Warnock receives transfer fund

"However, one of the shareholders is receiving a loan note for the sale of their shares instead of cash or equity and so now has a Murabaha financing structure instead of a traditional interest bearing loan note.

LEGAL & FINANCE: Shari'a tax traps for unwary

On the 9 August 2016 REM announced that it had conditionally raised USD 15m through a loan note convertible into ordinary shares in the company.