What is a Lender?

Lenders or also used as creditors are usually persons or a companies which provides money to customers who are needing it. Most of the time this loan is accompanied with an interest. The lender grants the money for a specific time and under predetermined conditions so borrower has to repay it or in one single amount or in partial payments. For example you have an X amount of money and you decide to lend it to a friend or relative.

Make a contract in what you write down the time period until the loan reaches maturity date the and until then you expect to be compensated. Also the contract should contain if your expecting a fixed or variable interest and of course your preference on how you would like to get paid in one single payment or a periodic one.