Delayed Draw Term Loan Definition

You are seeing definition of Delayed Draw Term Loan in Banking Terms Dictionary

Maybe this is not completely definition of Delayed Draw Term Loan but this is the best definition of Delayed Draw Term Loan at this time that we found. In future, this definition of Delayed Draw Term Loan can be modified, please visit our Banking Terms Dictionary more frequently to get latest information.

Home » Banking Terms Dictionary » Loan Terms Dictionary » Delayed Draw Term Loan

Definition Of Delayed Draw Term Loan:

A special feature in a term loan that stipulates that theborrower can withdraw predefined amounts of the total pre-approvedamount of a term loan at contractual times.
This special type of term loan is only offered to individuals and firms that meet and maintain certain contractual requirements and have outstanding credit ratings.There are different types of contractual caveats the borrower must meet, such as maintaining a certain level of cash on hand or maintaining a minimum quick ratio factor. Any contractual obligations will limit the borrower from performing some particular acts, such as over leveraging, butthey are still considered a flexiblefeaturefora term loan.

Other Definition Of Banking Terms:

For your more easier in looking up our financial terms dictionary, we classified definitions of financial terms in several types. Please select one type below:
Bank | Mortgage | Tax | Real Estate | Asset | Payment | All Types

Thank you for visiting Banking Dictionary website. We are conituning to upadate more Banking terms to Banking Dictionary. Please visit this website usually to get new definitions of Banking terms. We also provide some more dictionaries, you can find out as below:
Medical Dictionary | Law Dictionary | Legal Dictionary | Business Dictionary | Financial Dictionary | Computer Dictionary | Slang Dictionary