savings and loan association
Học thuậtThân thiện
A family applies for a home loan at their local savings and loan association.
Definition
- Noun:
- A type of financial institution: A savings and loan association is a specific kind of thrift institution. Its primary historical purpose is to accept savings deposits from members and use those funds to provide loans, especially for purchasing homes.
Usage
- A savings and loan association is a financial entity. It is distinct from commercial banks, with a traditional focus on residential mortgage lending funded by consumer savings.
- Example:
Advanced Usage
- Regulatory context: The definition notes that a savings and loan association is "required by law to make a certain percentage of its loans as home mortgages." This highlights its legislated role in promoting homeownership.
- Example: The policy ensured that savings and loan associations remained focused on their core mission of housing finance.
Variants and Related Words
- Savings and loan (n): A common abbreviated form for "savings and loan association."
- Example: He works at a savings and loan downtown.
- Thrift institution (n): A broader category of depository institutions that includes savings and loan associations and savings banks.
- Building society (n): A similar institution common in the United Kingdom and other countries.
Synonyms
- Thrift: Often used informally to refer to a savings and loan association.
- S&L: A standard initialism for "savings and loan."
Related Terms (Conceptual)
- Mortgage lender: Describes the primary lending function of a savings and loan association.
- Depository institution: A general term for a financial institution that accepts monetary deposits from customers.
A family applies for a home loan at their local savings and loan association.
Noun
- a thrift institution that is required by law to make a certain percentage of its loans as home mortgages