Lender

Isn’t that a bagel company? Hm, ok, well, maybe it doesn’t matter here. Lenders are the people and institutions who loan money. Banks are lenders. They loan money for small business for big business and everything in between.

Banks are big lenders. They generally focus on large amounts for big corporations.

Savings and Loans are its more intimate local cousin. And they focus on smaller, more local loans.

Lenders also sell a special kind of loan: a mortgage, for when you want to buy a home. The interest on mortgages is distinctively tax deductible. Your big brother can also be a lender, that 100 bucks he loaned you is not like the 100 that grandmama “loaned you”, i.e. big bro’s loan doesn't just get naturally, um, forgotten.

His carries interest and, um, noogie penalties when it’s not paid back.