Which of the Following Terms Refers to a Written Agreement

question 21

Multiple Choice

Which of the following terms refers to a written agreement that binds the lender to make a loan to the borrower provided the borrower satisfies the terms and conditions of the agreement?

• A) Loan application
• B) Loan commitment
• C) Loan underwriting
• D) Loan document

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Definitions:

Effective Date

The date on which an agreement, policy, or regulation becomes enforceable or active.

Securities Act Of 1933

A U.S. federal law enacted to ensure transparency and fairness in the issuance of securities, requiring registration and disclosure to protect investors.

Promissory Note

A written, legally binding agreement in which one party promises to pay a defined sum of money to another party under specified conditions.

SEC

The U.S. Securities and Exchange Commission, a government agency responsible for regulating the securities industry and protecting investors.