Loan Provision
A loan is a type of debt. Anyhing can be lent/borrowed, this websites focuses on monetary loans. Acting as a provider of loans is one of the principal tasks for financial institutions. For other institutions, issuing of debt contracts such as bonds is a typical source of funding.
Legally, a loan is a contractual promise of a debtor to repay a sum of money in exchange for the promise of a creditor to give another sum of money.
The savings and loan industry is the leading source of institutional finance for residential home mortgages in America.
Acceleration clause is a loan provision giving the lender the right to declare the entire amount immediately, if certain conditions occur before the time that payment would otherwise be due.
There are at least 46 thousand web pages containing the expression "loan provision".
This webiste lists and links several loan providers and mortgage providers.
Types of Loans
A secured loan is a loan in which the borrower pledges some
asset (e.g. a car or property) as collateral for the loan.
A mortgage loan is a loan secured by real property through the
use of a mortgage (a legal instrument). However, the word mortgage alone
is often used to mean mortgage loan. It is a very common type of debt
instrument, used by many individuals to purchase housing. In this
arrangement, the money is used to purchase the property. The financial
institution, however, is given security (a lien on the title to the
house/condo) until the mortgage is paid off in full. If the borrower
defaults on the loan, the bank would have the legal right to repossess
the house and sell it, to recover sums owed to it.
Unsecured loans are monetary loans that are not secured against
the borrowers assets. These may be available from financial institutions
under various names:
- credit card debt
- personal loans
- line of credit
- bank overdrafts
- corporate bonds