Okuzeka
Finance & Banking vocabulary · Loans & Credit

Take out a loan

Meaning in finance & banking, with examples

phraseCore term

In finance & banking, take out a loan means: To borrow money from a bank or another lender under an agreement to repay it over time.

In Turkish: kredi çekmek, kredi kullanmak, borç almak

How it is used

The natural way to say that someone gets a loan. The same verb works in 'take out a mortgage' and 'take out insurance'. Bankers also say 'get a loan', 'borrow' or, more formally, 'obtain financing'.

Example sentences

  1. They are taking out a loan to buy new machinery for the factory.

  2. Many students take out a loan to pay for a master's degree abroad.

Common collocations

  • take out a personal loan
  • take out a mortgage
  • take out a business loan
  • take out a loan with a bank
  • loanMoney that a bank or another lender gives to a person or company, which must be paid back over time, usually with interest.
  • borrowerA person or organisation that receives money from a lender and agrees to pay it back, usually with interest.
  • pay offTo pay back the whole amount of a debt, such as a loan, mortgage or credit card balance, so that nothing more is owed.
  • mortgageA long-term loan used to buy a home or other property. The property secures the loan, so the lender can have it sold if the borrower does not repay.

More terms: Loans & Credit

Practise with graded reading

Reading at the right level is the fastest way to make new words stick. Pick free English books by level:

This page explains English vocabulary for learners. It is not financial advice.