loan-repayment

Vocabulary Word

Definition

'Loan repayment' indicates the act of paying back money you've borrowed. It's not as easy as returning a library book; it involves giving back money in portions over time!

Examples in Different Contexts

In mortgage payments, 'loan repayment' involves making regular payments towards the principal and interest of a home loan. A mortgage broker might explain, 'Making additional payments towards your loan principal can significantly reduce the total interest you'll pay over the life of your mortgage.'

Practice Scenarios

Impact

Scenario:

Many graduates are struggling with their financial obligations. We should consider implementing a program to alleviate their burden.

Response:

A loan repayment assistance program would be effective. It could significantly reduce graduates' financial stress.

Business

Scenario:

Our budget needs tightening up, and we have to factor in our financial commitments.

Response:

Let's revise our budget plan to ensure our cash flow can handle loan repayment.