Money and banking / B1

LOHN/ləʊn/

A loan is money you borrow and repay: a student loan; take out a loan; a bank loan. Lend is what the bank does; borrow is what you do. A mortgage is a loan to buy a home. Do not say “loan me your pen” in careful UK English — say lend. Loan as a verb is more US or informal UK.

Meaning

Money that a bank or person lends you and that you must pay back.

Examples

• “She took out a student loan to cover her tuition fees.”
• “She took out a loan to cover the deposit on the flat.”
• “Student loan repayments start when you earn over the threshold.”

Good to know

take out / repay a loan. Bank: lend. You: borrow. Home: mortgage. Careful UK: lend me, not loan me.

Topics

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