Vocabulary Showcase: Different Types of ‘Loan’

Have you ever tried to get a loan? This is where you borrow money from someone, or an organisation, and you pay it back later. It can be a little confusing in English though. Every loan has a different name.

Let’s take a look at different names for a loan (noun) and to loan (verb)!

• To lend (verb) – to give money to another person that will be paid back to you in the future.

• To borrow (verb) – you take money from another person and pay it back to them in the future.

• To buy something “on credit” – This is when you get the service or item you want but pay the money for it later.

• An advance (noun) – this is money that you earn from your job that you are paid early (in advance). This is also a verb – “they advanced my pay”.

• A mortgage (noun) – this is a loan of a large amount of money for buying a house.

What would you like to know more about? We have done doctors and loans. Where should we go next? Taxes? Pringles flavours? You decide.