Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
Back-to-back loan
see loan.
Below-market loan
see interest-free loan under loan.
Crown loan
Tax. An interest-free demand loan, usu. from parent to child, in which the borrowed funds are invested and the income from the investment is taxed at the child's rate. ( This type of loan is named for one Harry Crown of Chicago, reputedly one of the first persons to use it. See kiddie tax under TAX.
Federal Home Loan Bank
One of a system (the federal home loan bank system) of 11 regional banks created in 1932 to supply credit for home mortgage lending by savings-and-loan institutions and to provide funds for low- to moderate-income housing programs. 0 The banks are supervised by the Federal Housing Finance Board. - Abbr. FHLB. - Sometimes shortened to lrome loan bank.
Federal Home Loan Bank Board
A federal agency responsible for regulating federal savings-and-loan associations and the federal home loan bank system. ( It was abolished in 1989, when the Office of Thrift Supervision and the Federal Housing Finance Board assumed its functions. - Abbr. FHLBB.
Federal Home Loan Mortgage Corporation
A corporation that purchases both conventional and federally insured first mortgages from members of the Federal Reserve System and other approved banks. - Abbr. FHLMC. -Also termed Freddie Mac.
Federal Savings and Loan Insurance Corporation
A federal agency created in 1934 to insure deposits in savings-and-loan associations and savings banks. ( When this agency became insolvent in 1989, its assets and liabilities were transferred to an insurance fund managed by the FDIC. - Abbr. FSLIC. See RESOLUTION TRUST CORPORATION.
Federal home loan bank
see federal home loan bank.
Loan
vb. To lend, esp. money,
Loanland
Hist. A tenancy involving the loan of land by one person to another. - Also spelled laenland. Cf. BOOKLAND; FOLKLAND.
Loansharking
n. The practice of lending money at excessive and esp. usurious rates, and often threatening or using extortion to enforce repay- ment. - Also termed extortionate credit transaction. - loan-shark, ub. - loan shark, n.
Savings-and-loan bank
see savings-andloan association.
accommodation loan
A loan for which the lender receives no consideration in return. See ACCOMMODATION.
add-on loan
A loan in which the interest is calculated at the stated rate for the loan agreement's full term for the full principal amount, and then the interest is added to the principal before installment payments are calculated, resulting in an interest amount higher than if it were calculated on the monthly unpaid balance. 0 Consumer loans are typically add-on loans. - Also termed contract loan. See add-on interest under INTEREST (3).
amortized loan
A loan calling for periodic payments that are applied first to interest and then to principal, as provided by the terms of the note. See AMORTIZATION (1).
back-to-back loan
A loan arrangement by which two firms lend each other funds denominated in different currencies for a specified period.
below-market loan
See interest-free loan.
bridge loan
A short-term loan that is used to cover costs until more permanent financing is arranged. - Also termed swing loan.
broker call loan
See call loan.
building loan
A type of bridge loan used primarily for erecting a building. ( The loan is typically advanced in parts as work progresses and is used to pay the contractor, subcontractors, and material suppliers. See interim financing under FINANCING.
building-and-loan association
A quasi-public corporation that accumulates funds through member contributions and lends money to the members buying or building homes. Cf. SAVINGS-AND-LOAN ASSOCIATION.
call loan
A loan for which the lender can demand payment at any time, usu. with 24 hours' notice, because there is no fixed maturity date. - Also termed broker call loan; demand loan. Cf. term loan.
character loan
A loan made in reliance on the borrower's character and stable earnings. ( Character loans are usu. secured by a mortgage or by other property, but sometimes they are unsecured.
clearing loan
See LOAN
collateral loan
See secured loan.
commercial loan
See LOAN.
commodity loan
A loan secured by a commodity (such as cotton or wool) in the form of a warehouse receipt or other negotiable instrument.
consolidation loan
A loan whose proceeds are used to pay off other individual loans, thereby creating a more manageable debt.
consumer loan
A loan that is given to an individual for family, household, personal, or agricultural purposes and that is generally governed by truth-in-lending statutes and regulations.
contract loan
See add-on loan.
conventional loan
See conventional mortgage under mortgage.
day loan
A short-term loan to a broker to finance daily transactions.
demand loan
See call loan.
discount loan
A loan in which interest is deducted in advance, at the time the loan is made.
discount loan.
See LOAN.
equity loan
See home equity loan under LOAN
home equity loan
A line of bank credit given to a homeowner, using as collateral the homeowner's equity in the home. - Often shortened to equity loan. See EQUITY (7).
homeowner's equity loan.
See LOAN.
installment loan
See LOAN.
interest-free loan
See LOAN.
loan association
See SAVINGS-AND-LOAN ASSOC ATION.
loan broker
A person who is in the business of lending money, usu. to an individual, and taking as security an assignment of wages or a security interest in the debtor's personal property.
loan certificate
A certificate that a clearinghouse issues to a borrowing bank in an amount equal to a specified percentage of the value of the borrowing bank's collateral on deposit with the clearinghouse's loan committee.
loan commitment
A lender's binding promise to a borrower to lend a specified amount of money at a certain interest rate, usu. within a specified period and for a specified purpose (such as buying real estate). See MORTGAGE COMMITMENT.
loan for consumption
An agreement by which a lender delivers goods to a borrower who consumes them and who is obligated to return goods of the same quantity, type, and quality.
loan for exchange
A contract by which a lender delivers personal property to a borrower who agrees to return similar property, usu. without compensation for its use.
loan for use
An agreement by which a lender delivers an asset to a borrower who must use it according to its normal function or according to the agreement, and who must return it when finished using it. ( No interest is charged.
loan participation
The coming together of multiple lenders to issue a large loan (called a participation loan) to one borrower, thereby reducing each lender's individual risk.
loan ratio
See LOAN-TO-VALUE RATIO.
loan society
English law. A club organized to collect deposits from and make loans to industrial workers. ( The loan societies were forerunners of the American savings-and-loan associations.