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Restructuring/Rescheduling of Loans

What is the difference between restructing of loans and rescheduling of loans?

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There isn't any difference. Many investors will define a "rescheduled" loan as one that has been "restructured". Often a loan will be restructured or rescheduled because of a problem meeting the original repayment terms. This could be due to weather delays, slower than expected sales/rentals or any number of items that could apply to a loan and its cash flow projections.

Published on BankingQuestions.com 12/22/10