163k views
11 votes
What is a loan?

I put:

A loan is when you borrow money temporarily from someone with the promise of paying it all back.

and got 100%

1 Answer

9 votes

Answer:

see below

Step-by-step explanation:

A loan is when one party receives money from another and promises to pay it back with interest. A person, firm, or country will seek a loan from a lender with a promise to repay within a specified period and with interest. The interest paid becomes the cost of the loan.

Taking is a loan is similar to borrowing money. The loan amount is equivalent to the amount borrowed.

User Naughty Boy
by
4.9k points