Loan Offset Clause Samples

A Loan Offset clause allows a lender to deduct amounts owed to them by the borrower from funds the lender holds or is otherwise obligated to pay to the borrower. In practice, this means if the borrower defaults or owes any payments, the lender can recover those amounts directly from deposits, accounts, or other sums due to the borrower without needing to pursue separate collection actions. This clause streamlines the recovery process for lenders and reduces the risk of non-payment by providing a direct mechanism to recoup outstanding debts.
POPULAR SAMPLE Copied 8 times
Loan Offset. Subject to the terms and conditions of this Agreement and in reliance on the representations, warranties and covenants herein set forth, effective immediately prior to the closing of the SPAC Transaction, the Company hereby agrees to offset an applicable portion of the after-tax value of the Transaction Bonus against the Outstanding Amount, including any unpaid interest owed thereon, as of one day immediately prior to the closing of the SPAC Transaction (the “Loan Offset”).
View SourceView Similar (3)
Loan Offset. Upon my death, my entire loan balance will be immediately payable and I authorize MetLife to withdraw this amount and any accrued and unpaid interest from my certificate without further notice. If I request a full withdrawal from my certificate after I have reached age 591/2 or notified MetLife of my separation from service or disability, I authorize MetLife to offset against my certificate my remaining loan balance, any accrued and unpaid interest, and any surrender charges. If MetLife makes distribution to me and any amounts are eligible for rollover (including the offset amount), I understand MetLife is required to withhold from my certificate 20% of the eligible rollover amount to cover federal income taxes.
View SourceView Similar (2)
Loan Offset. 3.1 If Loan Offset applies to your loan, to calculate your interest charges, each day we divide the balance owing on your loan account into the following two parts: (a) a part equal to the credit balance(s) in the BankSA account(s) nominated by you and linked to this loan (“linked account”). Any interest rate applying to a linked account ceases to apply from the date the account is linked to the loan. We charge interest on that part at: • the annual percentage rate; • less • the interest offset rate we set in relation to the credit balances in your linked account(s). That interest offset rate is always less than the annual percentage rate; and (b) the remaining part of the balance owing on your loan account. We charge interest on this part at the annual percentage rate. Any reduction in interest charges through Loan Offset is not reflected in a lower repayment amount. Instead, the term of your loan may shorten. 3.2 If the credit balance(s) in your linked account(s) exceeds the balance in your loan account, you do not receive any benefit for that excess. 3.3 You do not earn interest on any credit balance in the linked account(s) (even if
View SourceView Similar (2)
Loan Offset. If Loan Offset applies to your loan, to calculate the interest charges on your loan account, each day we divide the balance owing on your loan account into the following 2 parts:
View Source
Loan Offset. The amounts payable to Executive upon termination of Executive's employment may be reduced, at the Company's sole discretion, by an amount not to exceed the then existing principal balance, if any, of the loan contemplated by Section 4d hereof, and the amount owing on such loan shall be reduced accordingly.
View Source
Loan Offset. The Plan Administrator will reduce the Participant's Vested Account Balance by any security interest (pursuant to any offset rights authorized by Section 6.06) held by the Plan by reason of a Participant loan, to determine the value of the Participant's Vested Account Balance distributable in the form of a QJSA or QPSA, provided the loan satisfied the spousal consent requirement described in Section 7.06(D).
View SourceView Similar (11)
Loan Offset. Any loan outstanding at the time the Participant receives a distribution, other than a hardship distribution, shall be repaid by offsetting the balance due, plus accrued interest and any cost, against the amount to be distributed. In addition, if such distribution is an “eligible rollover distribution” as defined in Section 11.05, the loan may be rolled over to an “eligible retirement plan” in a “direct rollover” as provided in Section 11.05 hereof.
View Source
Loan Offset. You have previously received loans from the Company which are evidenced by promissory note dated May 11, 2001 (the "Promissory Note"). Under the terms of the Promissory Note, the aggregate principal amount of the note plus interest becomes immediately due and payable on your Termination Date. This Agreement modifies the Promissory Note to the extent necessary so that all outstanding principal and interest due under the Promissory Note will become fully due and payable on the Initial Payment Date (provided that no interest shall be due under the Promissory Note for periods after December 31, 2002). The outstanding principal and interest due on the Promissory Note as of the Initial Payment Date shall be offset against, and shall reduce the amounts you are entitled to receive under Section 2 of this Agreement as of the Initial Payment Date.
View Source

Related to Loan Offset

  • Revolving Loan Prepayments (i) In the event of the termination of all the Revolving Commitments in accordance with the terms hereof, the Borrower shall, on the date of such termination, repay or prepay all of its outstanding Revolving Borrowings and, at the Borrower’s option, either replace or backstop (on terms and conditions acceptable to the applicable Issuing Bank) all outstanding Letters of Credit or cash collateralize all outstanding Letters of Credit in accordance with the procedures set forth in Section 2.18(i). (ii) In the event of any partial reduction of the Revolving Commitments in accordance with the terms hereof, then (x) at or prior to the effective date of such reduction, the Administrative Agent shall notify the Borrower and the Revolving Lenders of the sum of the Revolving Exposures after giving effect thereto and (y) if the sum of the Revolving Exposures would exceed the aggregate amount of Revolving Commitments after giving effect to such reduction, then the Borrower shall, on the date of such reduction, first, repay or prepay Revolving Borrowings and second, at the Borrower’s option, either replace or backstop (on terms and conditions acceptable to the applicable Issuing Bank) outstanding Letters of Credit or cash collateralize outstanding Letters of Credit in accordance with the procedures set forth in Section 2.18(i), in an aggregate amount sufficient to eliminate such excess. (iii) In the event that at any time the sum of all Lenders’ Revolving Exposures exceeds the Revolving Commitments then in effect, the Borrower shall, without notice or demand, immediately first, repay or prepay Revolving Borrowings, and second, at the Borrower’s option, either replace or backstop (on terms and conditions acceptable to the applicable Issuing Bank) outstanding Letters of Credit or cash collateralize outstanding Letters of Credit in accordance with the procedures set forth in Section 2.18(i), in an aggregate amount sufficient to eliminate such excess. (iv) In the event that the aggregate LC Exposure exceeds the LC Sublimit then in effect, the Borrower shall, without notice or demand, immediately, at the Borrower’s option, either replace or backstop (on terms and conditions acceptable to the applicable Issuing Bank) outstanding Letters of Credit or cash collateralize outstanding Letters of Credit in accordance with the procedures set forth in Section 2.18(i), in an aggregate amount sufficient to eliminate such excess.

  • Revolving Loan Commitment Each Lender with a Revolving Loan Commitment agrees to make loans on a revolving basis (“Revolving Loans”) from time to time until the Termination Date in such Lender’s Pro Rata Share of such aggregate amounts as the Company may request from all Lenders; provided that the Revolving Outstandings will not at any time exceed Revolving Loan Availability.

  • Loan Commitment Subject to the terms and conditions of this Agreement and in reliance upon the representations and warranties of the Company herein set forth, the Lender hereby agrees to lend to the Company on the Closing Date and thereafter up to $209,900,000 in the aggregate (the "Loan") consisting of $104,950,000 of 7-year Tranche advances and $104,950,000 of 10-year Tranche advances. The Lender's commitment to make the Loan to the Company pursuant to this Section 2.1 is herein called the "Loan Commitment."

  • Repayment of Revolving Credit Advances The Borrower shall repay to the Agent for the ratable account of the Lenders on the Termination Date the aggregate principal amount of the Revolving Credit Advances then outstanding and all other unpaid Obligations.

  • Term Loan (a) Subject to the terms and conditions of this Agreement, each Term Loan Lender severally agrees to make an advance of its Pro Rata Term Share of the Term Loan to the Borrower on the Closing Date, and from the Closing Date to the Term Loan Maturity Date, convert and continue Segments from time to time in accordance with the terms hereof. The principal amount of each Segment of the Term Loan outstanding hereunder from time to time shall bear interest and the Term Loan shall be repayable as herein provided. No amount of the Term Loan repaid or prepaid by the Borrower may be reborrowed hereunder, and no subsequent advance under the Term Loan Facility shall be allowed after the initial such advance of the Term Loan on the Closing Date. Segments of the Term Loan may be Base Rate Segments or Eurodollar Rate Segments at the Borrower’s election, as provided herein. (b) Not later than 1:00 P.M. New York time, on the Closing Date, each Term Loan Lender shall, pursuant to the terms and subject to the conditions of this Agreement, make the amount of its Pro Rata Term Share of the Term Loan available by wire transfer to the Administrative Agent. Such wire transfer shall be directed to the Administrative Agent at the Administrative Agent’s Office and shall be in the form of same day funds in Dollars. The amount so received by the Administrative Agent shall, subject to the terms and conditions of this Agreement, including without limitation the satisfaction of all applicable conditions in Sections 5.01 and 5.02, be made available to the Borrower by delivery of the proceeds thereof as shall be directed by the Responsible Officer of the Borrower and reasonably acceptable to the Administrative Agent. The initial Borrowing of the Term Loan may be a Eurodollar Rate Segment, a Base Rate Segment, or both; provided that if the Borrower desires that any portion of the initial Borrowing of the Term Loan is advanced as a Eurodollar Rate Segment, the Administrative Agent shall make such Borrowing as a Eurodollar Rate Segment only if, not later than three Business Days prior to the date that is then anticipated to be the Closing Date, the Administrative Agent has received from the Borrower a Term Loan Interest Rate Selection Notice with respect thereto, together with the Borrower’s written acknowledgement in form and substance satisfactory to the Administrative Agent that the provisions of Section 4.05 hereof shall apply to any failure by the Borrower to borrow on the date set forth in such Term Loan Interest Rate Selection notice any or all of the amounts specified in such Term Loan Interest Rate Selection Notice.