- The definition of a loan is the agreement of lending money with interest and a plan to repay it.
An example of a loan is the agreement to give you money to buy a house.
- To loan is defined as to give someone money that will be repaid with interest or an object that will be returned.
- An example of to loan is to give your friend money when they don’t have any cash.
- An example of to loan is to give someone your phone to make a quick call.
- the act of lending, esp. to use for a short time: the loan of a pen
- something lent; esp., a sum of money lent, often for a specified period and repayable with interest
Origin of loanMiddle English lone ; from Old Norse lān (akin to Old English læn, lending, loan, lænan, to lend) ; from Indo-European base an unverified form leikw-, to leave behind from source Classical Latin linquere, Classical Greek leipen, Sanskrit riṅákti, (he) leaves
- An instance of lending: a bank that makes loans to small businesses.
- a. A sum of money that is lent, usually with an interest fee: took out a loan to buy a car; repaid the loan over five years.b. The agreement or contract specifying the terms and conditions of the repayment of such a sum.c. The repayment obligation associated with such an agreement: She couldn't afford the loan after losing her job.d. The right to payment associated with such an agreement: a bank that buys consumer loans.
- The state of being lent for temporary use: a painting on loan from another museum.
transitive verbloaned, loan·ing, loans
Origin of loanMiddle English lan, lon, from Old Norse lān; see leikw- in Indo-European roots. Usage Note: The verb loan has been criticized by usage writers since the 19th century as an illegitimate form. The verb had fallen out of use in Britain, and the British criticism of the word got picked up by writers in the United States, where the verb had survived. In fact, the use of loan goes back to the 16th century and possibly earlier. It has seen vigorous use in American English right up to today and must be considered standard: “Lenny was delighted and even loaned his friend the capital needed for a stake in the firm” (Louis Auchincloss). Note that loan is used to describe only physical transactions, as of money or goods, while lend is correct not just for physical transactions, but for figurative ones as well: “Experience with death does not lend wisdom to physicians any more than to undertakers” (Bernard Lown).
- (banking, finance) A sum of money or other valuables or consideration that an individual, group or other legal entity borrows from another individual, group or legal entity (the latter often being a financial institution) with the condition that it be returned or repaid at a later date (sometimes with interest).
- He got a loan of five thousand pounds.
- All loans from the library, whether books or audio material, must be returned within two weeks.
- The contract and array of legal or ethical obligations surrounding a loan.
- He made a payment on his loan.
- The permission to borrow any item.
- Thank you for the loan of your lawn mower.
(third-person singular simple present loans, present participle loaning, simple past and past participle loaned)
- (usually double , US, dated in UK, informal) To lend (something) to (someone).
- This usage, once widespread in the UK, is now confined to the US (perhaps parts thereof).
- It is often considered preferable to use lend when the object being loaned or lent is something other than money.
From Middle English lone, lane, from Old Norse lÃ¡n (â€œloanâ€), from Proto-Germanic *laihnÄ… (â€œthat which is lent, loan, fiefâ€), from Proto-Indo-European *leykÊ·- (â€œto leave, leave overâ€). Cognate with Icelandic lÃ¡n (â€œloanâ€), Swedish lÃ¥n (â€œloanâ€), Danish lÃ¥n (â€œloanâ€), German Lehen (â€œfief, feudal estateâ€), Dutch leen (â€œfief, feudatory, something lentâ€), West Frisian lien (â€œsomething borrowed, loanâ€), North Frisian leen (â€œfief, loan, officeâ€), Scots lane, lain, len (â€œloanâ€), Old English lÇ£n (â€œloan, borrowing, lease, grant, gift, present, benefitâ€). More at lend.
- (Scotland) A lonnen.
Part or all of this entry has been imported from the 1913 edition of Websterâ€™s Dictionary, which is now free of copyright and hence in the public domain. The imported definitions may be significantly out of date, and any more recent senses may be completely missing.
loan - Legal Definition