Tag: Lending

What is Letter Of Comfort?
A letter issued to a lending institution by a parent company acknowledging the approval of a subsidiary company’s attempt for financing. Read more for examples and further explanation including related video clips and also comments
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What is Credit Sleeve?
A form of credit agreement, backed by physical assets, where the lending party will provide working capital and collateral to another company, known as the “”sleeve provider””. The lending party will essentially co-guarantee certain outstanding credit arrangements the sleeve provider has with other lenders and increase the overall credit quality of the sleeve provider. Read more for examples and further explanation including related video clips and also comments
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What is Amount Financed?
The actual amount of credit made available to a borrower in a loan, as defined by Regulation Z disclosure requirements of the Truth In Lending Act. Specifically, it is the amount of the loan principal, less prepaid finance charges (loan origination fees, so-called points, adjusted interest, etc.) and any required deposit balance. The amount financed is used to calculate the annual percentage rate. Read more for examples and further explanation including related video clips and also comments
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