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Minimum Payment

The minimum payment is the lowest amount the borrower must pay each month to remain in good standing with the loan. It typically includes both interest and a portion of the principal.

Loan Renewal

Loan renewal is the process of extending an existing loan’s term, often with new terms such as a different interest rate. Some online lending apps allow for loan renewals to help borrowers avoid default.

Microloan

A microloan is a small loan, usually given to individuals or small businesses. Online lending apps often provide microloans for personal expenses or small-scale business operations.