11 glossary terms in this category
Amortization is the systematic repayment of a loan over time through fixed periodic payments. Each payment is split between interest...
loan fundamentalsCollateral is any asset of value — real estate, securities, gold, or fixed deposits — pledged to the lender to...
loan fundamentalsDisbursement is the process by which the approved loan amount is released to the borrower's account or directly to a...
loan fundamentalsAn Equated Monthly Instalment (EMI) is the fixed amount a borrower pays to the lender every month until the full...
loan fundamentalsA loan sanction letter confirms the lender has approved the application and specifies key terms: sanctioned amount, interest rate, tenure,...
loan fundamentalsLoan tenure refers to the agreed-upon period within which the borrower must fully repay the loan, including principal and interest....
loan fundamentalsPrepayment means paying off part or all of an outstanding loan before the scheduled date. Partial prepayment reduces outstanding principal...
loan fundamentalsThe principal amount is the base sum borrowed from the lender at disbursement. All interest calculations are based on this...
loan fundamentalsA processing fee is a non-refundable charge covering administrative costs of evaluating the application, verifying documents, and assessing eligibility. In...
loan fundamentalsA secured loan requires the borrower to pledge an asset as security. Common examples include home loans, LAP, and LAS....
loan fundamentalsAn unsecured loan requires no asset as security. Approval is based on creditworthiness, income, repayment history, and financial profile. Personal...
loan fundamentalsMonthly EMI: --
Total Interest Payable: --
Total Payment (Principal + Interest): --
