Creditor
A creditor is a person or organisation to whom money is owing. It maybe that they extend credit by giving another entity permission to borrow money which is intended to be repaid in the future.
If a creditor is a single person they may be referred to as personal creditors.
Legal creditors are banks or financiers and will normally have a legal agreement in place with the debtor. This agreement may involve the use of other assets, referred to as collatoral, such as houses or cars to create what is know as a secured loan, in this case it gives the creditor the right to confiscate these if the loan is not repaid.
Unsecured loans do not hold collatoral but will normally also involve contractual agreements. It is likely that creditors will investigate a borrowers previous history to see if they are creditworthy, in simple terms - have they borrowed before and have they repaid. Banks and other organisations use credit scores to assess how likely a person or organisation is to borrow and pay of a loan.
[edit] Related articles on Designing Buildings
Featured articles and news
A briefing on fall protection systems for designers
A legal requirement and an ethical must.
CIOB Ireland launches manifesto for 2024 General Election
A vision for a sustainable, high-quality built environment that benefits all members of society.
Local leaders gain new powers to support local high streets
High Street Rental Auctions to be introduced from December.
Infrastructure sector posts second gain for October
With a boost for housebuilder and commercial developer contract awards.
Sustainable construction design teams survey
Shaping the Future of Sustainable Design: Your Voice Matters.
COP29; impacts of construction and updates
Amid criticism, open letters and calls for reform.
The properties of conservation rooflights
Things to consider when choosing the right product.
Adapting to meet changing needs.
London Build: A festival of construction
Co-located with the London Build Fire & Security Expo.
Tasked with locating groups of 10,000 homes with opportunity.
Delivering radical reform in the UK energy market
What are the benefits, barriers and underlying principles.
Information Management Initiative IMI
Building sector-transforming capabilities in emerging technologies.
Recent study of UK households reveals chilling home truths
Poor insulation, EPC knowledge and lack of understanding as to what retrofit might offer.
Embodied Carbon in the Built Environment
Overview, regulations, detail calculations and much more.
Why the construction sector must embrace workplace mental health support
Let’s talk; more importantly now, than ever.
Ensuring the trustworthiness of AI systems
A key growth area, including impacts for construction.