Accordion feature

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Revision as of 14:16, 27 July 2013 by imported>Doug Williamson (Spacing.)
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Loan documentation.

A clause in a loan agreement giving the borrower the option to increase the principal amount under the agreement, for example to fund future expansion.

The increased amount of principal is lent and borrowed on the same terms as the original borrowing.


The term derives from the musical instrument, which has the capacity to expand when being played.


See also