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are repaid in set instalments over the term, or revolving loans (or overdrafts) where up to a maximum amount can be withdrawn at any time, and interest is paid from month to month on the drawn amount.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.
Following the visits of several French explorers, fur traders, and missionaries, including Jacques Marquette, Louis Joliet, and Robert Cavelier, Sieur de la Salle, the region was claimed for Louis XIV by Daniel Greysolon, Sieur Duluth, in 1679.
The U.S. acquired eastern Minnesota from Great Britain after the Revolutionary War and 20 years later bought the western part from France in the Louisiana Purchase of 1803. Much of the region was explored by U.S. Army lieutenant Zebulon M. Pike before the northern strip of Minnesota bordering Canada was ceded by Britain in 1818.
The state is rich in natural resources. A few square miles of land in the north in the Mesabi, Cuyuna, and Vermilion ranges produce more than 75% of the nation’s iron ore. The state’s farms rank high in yields of corn, wheat, rye, alfalfa, and sugar beets. Other leading farm products include butter, eggs, milk, potatoes, green peas, barley, soybeans, oats, and livestock.
Minnesota’s factories produce nonelectrical machinery, fabricated metals, flour-mill products, plastics, electronic computers, scientific instruments, and processed foods. The state is also a leader in the printing and paper-products industries.
Minneapolis is the trade center of the Midwest, and the headquarters of the world’s largest super-computer and grain distributor. St. Paul is the nation’s biggest publisher of calendars and law books. These “twin cities” are the nation’s third-largest trucking center. Duluth has the nation’s largest inland harbor and now handles a significant amount of foreign trade. Rochester is home to the Mayo Clinic, a world-famous medical center.
Tourism is a major revenue producer in Minnesota, with arts, fishing, hunting, water sports, and winter sports bringing in millions of visitors each year.
Among the most popular attractions are the St. Paul Winter Carnival; the Tyrone Guthrie Theatre, the Institute of Arts, Walker Art Center, and Minnehaha Park, in Minneapolis; Boundary Waters Canoe Area; Voyageurs National Park; North Shore Drive; the Minnesota Zoological Gardens; and the state’s more than 10,000 lakes.