Similarities and Differences between the Credit Contract and the Loan Contract in the Banking Law

• Main Author: Diamanta Sojeva
• Format: Article
• Language: English
• Published: Danubius University 2018-08-01
• Series: Acta Universitatis Danubius: Juridica
• Subjects: contract; credit; loan; law; bank
• Online Access: http://journals.univ-danubius.ro/index.php/juridica/article/view/4805/4567

In this paper we attempt to find the differences between the Credit Contract and the Loan Contract in the Banking Law. Banking business practices have played a role in conditioning the creation and amendment of a series of contracts that specifically regulate business relationships between the bank and its clients. As a result of these relationships, it appears that in the legal practice from the terminological context some contracts with the same designation are perceived contrarily. Such case has to do with the loan contract. We find the differences that characterize this contract in certain jobs relate to the subject of the loan. On the other hand, in banking business practice, the term loans and loans to loan contracts are not clearly distinguishable with clarity. The evidence also suggests that compiled legislation, including the national one, regulates this issue with a legal framework for the relationship of obligations, yet again, perhaps this is not sufficient. According to the analysis conducted we can conclude that since we are dealing not only with contracts with substantive differences but also with the same contract that differentiates in the part of the contracted object, the banking law doctrine should address these elements so that the differences between them are clear by including in terms of terminology.