Lender

Glossary

Banking

Lender

A lender is an organisation that makes debt funding available to borrowers for a fixed maturity at a contractual interest rate, which can be in fixed-rate or floating-rate format. Lenders can be licensed banks and non-banks (such as direct lenders, private equity firms or hedge funds) making bank loans, as well as institutional investors lending in the form of securities purchases i.e. bonds.

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