Term Loan
Definition
- A loan intended for medium or long term financing that provides cash to purchase fixed assets such as machinery, land or buildings, or to renovate business premises.
Synonyms
limited period, extent of time, timed loan, length of action, predefined duration
Acronyms
TL
Related Terms and Acronyms
- Loan Term — Definition,
- The period specified in the promissory note for a borrower to pay a loan, such as a mortgage. Most conventional mortgages have a loan term of 5 or 10 years.
- Long-Term Loan (LTL) — Acronym,
- Short-Term Loan (STL) — Acronym,
- Term — Definition,
- The length of time you commit to repay a lender or bank at an agreed upon interest rate and payment schedule. The interest rate usually remains constant during this term unless the commitment states otherwise. For example, a five year fixed rate mortgage has a term of five years.
