Term loan is given for a fixed duration of time and must be repaid in regular instalments
A term loan provides borrowers with a lump sum of cash upfront in exchange for specific borrowing terms. Term loans are normally meant for A form of loan that is paid off over an extended period of time greater than 3 years is termed as a long-term loan. In exchange for a specified amount of cash, the borrower agrees to a certain repayment schedule with a fixed or floating interest rate. Term loans may require substantial down payments to reduce the payment amounts and the total cost of the loan. As Examples like Car loans, home loans, and certain personal loans are examples of long-term loans.