Investopedia

Continue to Site »

Insider Lending

Filed Under »
Dictionary Says

Definition of 'Insider Lending'

When a bank makes a loan to one or more of its own officers or directors. Many countries, including the U.S., require that the provisions of these loans match those of comparable bank customers. This is done to ensure fairness and limit the access to bank funds by insiders.
Investopedia Says

Investopedia explains 'Insider Lending'

The 1991 law that recapitalized the FDIC also mandated new restrictions on the loan provisions offered to bank insiders. The restrictions include requiring the same loan rates, repayment terms and evaluation of the borrower/insider's ability to repay the loan. This term should not be confused with insider trading.

Articles Of Interest

  1.

    Whisper Numbers: Should You Listen?

    These unofficial forecasts hold the potential for insider insight - and investment risk.

  2. What Investors Can Learn From Insider Trading

    Some insider trading is actually legal - and can be extremely telling for investors.

  3. Defining Illegal Insider Trading

    The better you understand why insider trading can be criminal, the better you'll understand how the market works.

  4. When Insiders Buy, Should Investors Join Them?

    Insider tracking can inform your investment strategy, but it requires research and a level head. Find out what to look for.

  5. Can Insiders Help You Make Better Trades?

    Find out why the trading activity of owners and executives can be a valuable trade-confirmation tool.

  6. Policing The Securities Market: An Overview Of The SEC

    Find out how this regulatory body protects the rights of investors.

  7. Keeping An Eye On The Activities Of Insiders And Institutions

    These transactions reveal much about a stock. We go over what to consider and where to find it.

  8. Financial Career Options For Professionals

    Find out if spreading your wings to try a new career will make you soar or fall flat.

  9. Banks Will Be Under More Stress In 2012

    The FDIC has proposed new regulations for banks.

  10. The Banking Industry In 2012

    Major banks in 2012 can expect to lose customers as they struggle with the Dodd-Frank Act and new fees.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  2. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.

  3. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.

  4. Icarus Factor

    The term Icarus factor describes a situation where managers or executives initiate an overly ambitious project which then fails. Fueled by excitement for the project, the executives are unable to reign in their misguided enthusiasm before it is too late to avoid the failure.

  5. Angelina Jolie Stock Index

    An index made up of a selection of stocks from companies associated with actress Angela Jolie.

  6. Consequential Loss

    The amount of loss incurred as a result of being unable to use business property or equipment.
Trading Center