direct lending

[/dɪˈrɛkt ˈlɛndɪŋ/]
noun
empréstimo direto
1. A lending arrangement where a lender provides funds directly to a borrower without using an intermediary or financial institution
The government introduced a direct lending program to help small businesses access capital without going through traditional banks.
O governo introduziu um programa de empréstimo direto para ajudar pequenos negócios a acessar capital sem passar por bancos tradicionais.
2. In education, federal student loans provided directly by the government to students rather than through private lenders
Students prefer direct lending because it typically offers more favorable repayment terms.
Os estudantes preferem empréstimos diretos porque geralmente oferecem condições de reembolso mais favoráveis.
3. A financial transaction where funds flow directly from creditor to debtor without intermediary financial institutions
Direct lending has become increasingly popular among alternative investment funds.
O empréstimo direto tornou-se cada vez mais popular entre fundos de investimento alternativos.
In Brazil, direct lending has gained prominence with the rise of fintech companies and digital platforms, reflecting a shift away from traditional bank-dependent financing. In the USA, direct lending is particularly significant in student loan programs through the William D. Ford Federal Direct Loan Program. The term has become increasingly relevant in both markets as alternative finance grows and regulatory frameworks evolve.
Synonyms / Sinônimos
peer-to-peer lendingdirect financingdirect creditunsecured lending
Antonyms / Antônimos
indirect lendingintermediary lendingbank lending

Regional Variations

General Brazilian
empréstimo direto
Standard term used in banking and finance sectors
São Paulo
crédito direto
Alternative form commonly used in business contexts
Rio de Janeiro
empréstimo direto
Same as general Brazilian usage
Portugal
empréstimo direto
Identical usage; also may refer to 'financiamento direto'

Related Words

lenderborrowercredit facilityloan originationfinancial intermediationalternative finance

Related Idioms & Phrases

cutting out the middleman
going straight to the source
bypassing traditional channels
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