L

Lien
A legal claim by an individual (or group of individuals) on the property of another individual, or individuals, as security for money owed.

Loan
A sum of money given to an individual with the intent that it is to be repaid at some future date along with any agreed upon interest.

Loan Servicing
A term referring to the steps taken to maintain a loan from the time it is closed until the last payment is received and the obligation is paid; steps may include billing the borrower, collecting payments, escrowing tax and insurance payments, and making contract changes.

Loan-to-Value
The total amount of the loans (mortgages) divided by the market value (i.e., the appraised value).

Loss Payee
A term referring to the designated entity or individual that is to receive the proceeds from a settlement claim such as an insurance policy.