Installment Loan (Noun)
Meaning
A loan repaid with interest in equal periodic payments.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The company offered an installment loan to customers who couldn't afford to pay the full price of the product upfront.
- She took out an installment loan to cover the cost of her wedding, promising to make monthly payments for the next five years.
- The bank provided an installment loan to the small business owner, allowing her to expand her operations and hire more staff.
- He used an installment loan to buy a new car, agreeing to make monthly payments of $500 for the next three years.
- The installment loan had a fixed interest rate and a set repayment term, making it easier for the borrower to budget their monthly payments.