non-notification loan


A type of loan where the bank uses the debtor's account as collateral for a loan they have obtained from a finance company. When the bank debtor pays their loan, the banks then use the payment to repay their loan to the finance company. The bank is however liable to pay their debt to the finance company if their customer fails in their regular payments. Opposite to this is the "notification loan", where the customer is informed when their account is used as collateral.
Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
non-negotiable instrument non-operating expense