Loan Commitment


Also found in: Financial.

Loan Commitment

Commitment to a borrower by a lending institution that it will loan a specific amount at a certain rate on a particular piece of real estate. Such commitment is usually limited to a specified time period (e.g., four months), which is commonly based on the estimated time that it will take the borrower to construct or purchase the home contemplated by the loan.

References in periodicals archive ?
M2 EQUITYBITES-November 10, 2016-Bactiguard Holding's main shareholders issue SEK50m loan commitment
NORDIC BUSINESS REPORT-November 10, 2016-Bactiguard Holding's main shareholders issue SEK50m loan commitment
The Monetary Authority of Singapore today announced that Singapore has maintained its current US$4 billion loan commitment to the International Monetary Fund (IMF) until end 2020, as part of the US$340 billion committed by 25 IMF member countries to safeguard global economic and financial stability during the period.
BANKING AND CREDIT NEWS-March 12, 2015-Alcentra Capital provides loan commitment to A2Z Wireless
23 November 2011 - Cardica Inc (NASDAQ:CRDC) said on Tuesday that it had achieved its second MicroCutter milestone under its distribution deal and loan commitment with Century Medical.
First, a loan commitment gives a company the option to borrow a certain amount in the future, while a loan actually provides funds to the borrower.
Schneider obtained a commitment letter from the banks, under which they agreed to provide acquisition financing; as consideration, Schneider agreed to pay a nonrefundable loan commitment fee and to indemnify the banks for any legal fees associated with the commitment of funds.
Earlier in the autumn of 1998, Nissan secured a similar one-year loan commitment from a group of 10 Japanese banks, led by IBJ.
More recently, Sunrise received an $88 million long term Freddie Mac loan commitment from GMAC.
That allowed the agency to retain a loan commitment from the state Housing Finance Agency.
A policy research panel at the ruling Liberal Democratic Party (LDP) has begun debating legal changes aimed at making it easier for banks to set up loan commitment lines as a way to resolve the credit crunch, party officials said Wednesday.
In the yen currency, Japan's loan commitment for 1997/1998 is even higher than that for 1996/1997 although in the US dollar currency it is lower as a result of the appreciation of the US dollar against the yen.