Getting a Grip On Loans and Credit Cards

Business & Finance
Cover of the book Getting a Grip On Loans and Credit Cards by Sasha Brown, Lulu.com
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Author: Sasha Brown ISBN: 9781387310012
Publisher: Lulu.com Publication: October 20, 2017
Imprint: Lulu.com Language: English
Author: Sasha Brown
ISBN: 9781387310012
Publisher: Lulu.com
Publication: October 20, 2017
Imprint: Lulu.com
Language: English

The loan is generally provided at a cost, referred to as interest on the debt, which provides an incentive for the lender to engage in the loan. In a legal loan, each of these obligations and restrictions is enforced by contract, which can also place the borrower under additional restrictions known as loan covenants. Although this article focuses on monetary loans, in practice any material object might be lent. Acting as a provider of loans is one of the principal tasks for financial institutions such as banks and credit card companies. For other institutions, issuing of debt contracts such as bonds is a typical source of funding.

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The loan is generally provided at a cost, referred to as interest on the debt, which provides an incentive for the lender to engage in the loan. In a legal loan, each of these obligations and restrictions is enforced by contract, which can also place the borrower under additional restrictions known as loan covenants. Although this article focuses on monetary loans, in practice any material object might be lent. Acting as a provider of loans is one of the principal tasks for financial institutions such as banks and credit card companies. For other institutions, issuing of debt contracts such as bonds is a typical source of funding.

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