Lending Practices
/ˈlɛndɪŋ ˈpræktɪsɪz/
Definitions
- (n.) Standard methods and procedures followed by financial institutions when providing loans to borrowers, emphasizing compliance with laws and risk assessment.
The bank's lending practices ensure borrowers meet strict creditworthiness criteria.
- (n.) Regulatory frameworks governing how loans are issued, including fair lending laws to prevent discrimination.
Lending practices must comply with fair housing and equal credit opportunity laws.
Forms
- lending practices
Related terms
See also
Commentary
Lending practices refer broadly to the operative procedures and regulatory standards in loan issuance; distinctions between internal standards and legal compliance are relevant in drafting.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.