A loan agreement is a contract entered into between which regulates the terms of a loan. Loan agreements usually relate to loans of cash, but market specific contracts are also used to regulate securities lending. Loan agreements are usually in written form, but there is no legal reason why a loan agreement cannot be a purely oral contract (although in some countries this may be limited by the Statute of frauds or equivalent legislation).
Loan agreements are usually characterised either of two different ways: by the type of lender, or by the type of facility. Categorising loan agreements by lender usually simply sub-divides loans into:
Categorising loan agreements by type of facility, usually results in two primary categories:
Term loans, which are repaid in set instalments over the term, or revolving loans (or overdrafts) where up to a maximum amount can be withdrawn at any time, and interest is paid from month to month on the drawn amount.
Within these two categories though, there are various subdivisions such as interest-only loans, and balloon payment loans. It is also possible to subcategorise on whether the loan is a secured loan or an unsecured loan, and whether the rate of interest is fixed or floating.
Indian tribes were living in the Michigan region when the first European, Étienne Brulé of France, arrived in 1618. Other French explorers, including Jacques Marquette, Louis Joliet, and Sieur de la Salle, followed, and the first permanent settlement was established in 1668 at Sault Ste. Marie. France was ousted from the territory by Great Britain in 1763, following the French and Indian Wars.
After the Revolutionary War, the U.S. acquired most of the region, which remained the scene of constant conflict between the British and U.S. forces and their respective Indian allies through the War of 1812.
Bordering on four of the five Great Lakes, Michigan is divided into Upper and Lower peninsulas by the Straits of Mackinac, which link lakes Michigan and Huron. The two parts of the state are connected by the Mackinac Bridge, one of the world’s longest suspension bridges. To the north, connecting lakes Superior and Huron, are the busy Sault Ste. Marie Canals.
While Michigan ranks first among the states in production of motor vehicles and parts, it is also a leader in many other manufacturing and processing lines, including prepared cereals, machine tools, airplane parts, refrigerators, hardware, and furniture.
The state produces important amounts of iron, copper, iodine, gypsum, bromine, salt, lime, gravel, and cement. Michigan’s farms grow apples, cherries, beans, pears, grapes, potatoes, and sugar beets. Michigan’s forests contribute significantly to the state’s economy, supporting thousands of jobs in the wood-product, tourism, and recreation industries. With 10,083 inland lakes and 3,288 mi of Great Lakes shoreline, Michigan is a prime area for both commercial and sport fishing.
Points of interest are the automobile plants in Dearborn, Detroit, Flint, Lansing, and Pontiac; Mackinac Island; Pictured Rocks and Sleeping Bear Dunes National Lakeshores; Greenfield Village in Dearborn; and the many summer resorts along both the inland lakes and Great Lakes.