A commitment to make a second loan when the terms of a first loan are satisfied. One common type of back-to-back commitment involves replacing a construction loan with a first mortgage. A bank may extend a construction loan to build a house, with the understanding that once the house is built, the construction loan will be paid off and replaced by a mortgage.
Related information about back-to-back commitment:
- Back-to-Back Commitment Definition | Investopedia
A commitment to make a second take-out loan that piggybacks another loan. With a back-to-back commitment, once the terms of the first loan are satisfied, it will ...
- Loan Commitment Definition | Investopedia
Forward Commitment. 1. A contract ... Back-to-Back Commitment. A commitment to ... Floor Loan. In real estate ... Tandem Loan. Two loans taken ... Acquirer. 1.
- What is back-to-back commitment? definition and meaning
Definition of back-to-back commitment: A commitment to make a second loan when the terms of a first loan are satisfied. One common type of back-to-back ...
- What is commitment? definition and meaning
firm commitment · firm commitment offering · forward commitment · back-to-back commitment · loan commitment · capital commitment · Commitments of Traders ...
- Back-to-Back Commitment: Definition from Answers.com
Back-To-Back Commitment Two-part commitment by a lender. The first part is an advance on a construction loan; the second.
- Back-to-Back Commitment - Financial Dictionary - The Free Dictionary
An agreement in which a bank makes a loan for a new construction and an investor promises to buy that loan from the bank at a specified future date.
- back-to-back - The Free Dictionary
Back-Tests. back-to-back. Back-to-Back Borrowing · Back-to-Back Commercials · Back-to-Back Commitment · Back-to-Back Commitments · Back-to-Back Credit ...
- Back-to-Back Commitment Definition & Example | InvestingAnswers
We explain the definition of Back-to-Back Commitment, provide a clear example of how it works and explain why it's an important concept in business, finance ...