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  2. Leveraged lease - Wikipedia

    en.wikipedia.org/wiki/Leveraged_lease

    Under the loan agreement, the lender has rights to the asset and the lease payments if the lessor defaults. In this type of lease, the lessor provides an equity portion (often 20% to 50%) of the equipment cost and lenders provide the balance on a nonrecourse debt basis. The lessor receives the tax benefits of ownership.

  3. Personal contract purchase - Wikipedia

    en.wikipedia.org/wiki/Personal_contract_purchase

    The total borrowing is the same in both cases, and interest is payable on the entire amount (including the balloon payment on the PCP). At the commencement of the agreement, the balloon payment is planned to be less than the value of the vehicle at the end of the term, creating equity that may be used as a deposit on another vehicle purchase.

  4. Hire purchase - Wikipedia

    en.wikipedia.org/wiki/Hire_purchase

    Hire purchase. A hire purchase (HP), [1] also known as an installment plan, is an arrangement whereby a customer agrees to a contract to acquire an asset by paying an initial installment (e.g., 40% of the total) and repaying the balance of the price of the asset plus interest over a period of time.

  5. Loan agreement - Wikipedia

    en.wikipedia.org/wiki/Loan_agreement

    Forms of loan agreements vary tremendously from industry to industry, country to country, but characteristically a professionally drafted commercial loan agreement will incorporate the following terms: Parties to contracts with their addresses; Definitions or interpretation provisions; Facility and purpose [a] Conditions precedent to utilization

  6. The pros and cons of taking out a 401(k) loan - AOL

    www.aol.com/finance/pros-cons-taking-401-k...

    Before deciding to borrow money from your 401(k), keep in mind that doing so has its drawbacks. You may not get one. Having the option to get a 401(k) loan depends on your employer and the plan ...

  7. Asset-based lending - Wikipedia

    en.wikipedia.org/wiki/Asset-based_lending

    The primary timing issue involves what are known as accounts receivables—the delay between selling something to a customer and receiving payment for it. [ 5 ] A non-asset-based line of credit will have a credit limit set on account opening by the accounts receivables size, to ensure that it is used for the correct purpose.

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