interest payment on a loan
101Subprime Loan — A type of loan that is offered at a rate above prime to individuals who do not qualify for prime rate loans. Quite often, subprime borrowers are often turned away from traditional lenders because of their low credit ratings or other factors that… …
102Nonaccrual Loan — A nonperforming loan that is not generating the stated interest rate because of nonpayment from the borrower, typically due to financial difficulties. Nonaccrual loans are more likely to default, meaning that the investor will not recoup his or… …
103Norwegian State Educational Loan Fund — The Norwegian State Educational Loan Fund (Norwegian: Statens lånekasse for utdanning) is a government agency that provides loans and grants to Norwegian and certain foreign students for their education. This system is aimed at making higher… …
104Asset-based loan — An asset based loan is a loan, often for a short term, secured by a company s assets. Real estate, A/R, inventory, and equipment are typical assets used to back the loan. The loan may be backed by a single category of assets or some combination… …
105Initial Interest Rate Cap — The maximum amount the interest rate on an adjustable rate loan can adjust on its first scheduled adjustment date. This is part of the interest rate cap structure on the loan, usually a mortgage, which helps to give borrowers some protection from …
106Cash Basis Loan — A loan where interest is recorded as earned when payment is collected. Ordinarily, interest income is accrued on loans, since regular payment of both principal and interest is assumed. However, in the case of nonperforming loans (loans gone bad) …
107Anglo-American loan — The Anglo American loan was a post Second World War loan made to the United Kingdom by the United States in 1946.The loan was made to enable the British to pay for lend lease equipment that they needed to retain in the post war period though that …
108security interest — see interest 1 Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. security interest …
109principal payment — ➔ payment * * * principal payment UK US noun [C] ► FINANCE a payment made to pay back all or part of a loan, rather than to pay interest on the loan: »The hospital operator said its lenders also agreed to defer a $4.2 million principal payment… …
110Standing Loan — A type of loan where payments are made of interest only. Repayment of principal is required only at the end of the loan term. A standing loan is primarily used in real estate or automobile loans. This type of loan is less common, since most… …
