• Print
  • Email

Economic Perspectives, Vol. 3, 4th, No. 21, November 1979
Business Loans at Large Commercial Banks: Policies and Practices
Commercial bank lending was once a fairly simple business. Business loans were nearly all short term and carried fixed interest rates. Any other details, except possibly collateral requirements, were left to informal agreements between a bank and its customers. Business lending began getting more complex in the 1930s as many banks started making term loans—loans with maturities of more than a year. Relations between banks and business borrowers have been growing more complex—and more formal—ever since, the formality of term loans now being applied to many short-term loans as well.
Having trouble accessing something on this page? Please send us an email and we will get back to you as quickly as we can.

Federal Reserve Bank of Chicago, 230 South LaSalle Street, Chicago, Illinois 60604-1413, USA. Tel. (312) 322-5322

Copyright © 2024. All rights reserved.

Please review our Privacy Policy | Legal Notices