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Revolving Loan/Note

Transaction Summary
Revolving Loans provide a framework for establishing a credit line with the lender over a specified period of time. Under the traditional Promissory Note arrangement, the balance due varies during the term because of interest and payment factors. The revolving loan adds the concept of periodic "advances" to the arrangement as an additional factor. Key issues in these arrangements include defining the maximum amount of credit, variable interest rate calculations to account for draws and payments, security arrangements and solicitation of information from time to time reflecting on the financial status of the enterprise. Broad events of default and late payment criteria and costs also typically apply. You can find additional answers to your questions using our extensive library of audio questions and answers
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This form reduces collection costs on the debt.

Revolving Loan/Note
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