Legal Definitions - call loan

Definition: A loan for which the lender can demand payment at any time, usually with 24 hours' notice, because there is no fixed maturity date.

Example: A broker call loan is a type of call loan that is made to a stockbroker to finance daily transactions. The lender can demand payment at any time, and the borrower must repay the loan within 24 hours.

Explanation: A call loan is a type of loan that is not fixed and can be called back by the lender at any time. This type of loan is usually used for short-term financing, and the borrower must be prepared to repay the loan quickly. The example of a broker call loan illustrates how this type of loan is used in the stock market to finance daily transactions. The lender can demand payment at any time, and the borrower must be prepared to repay the loan within 24 hours.