ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A loan term is the duration of the loan until it’s paid off, such as 60 months for an auto loan or 30 years for a mortgage. You’ll pay more interest overall on a long-term loan, but your payments will likely be less because the principal balance you borrowed is spread out over more months.

Detailed explanation-2: -Loan Terms Definition: Term Length The amount of time the lender gives you to repay your loan is called the term length, or your “loan term.”