In colloquial language, the terms loan and credit are often used interchangeably. In practice, however, credit and loan agreements are not straightforwardthey differ in terms of rules, legal basis, and also by which entities they can be granted. What is the difference between a loan and a loan? We explain. With you can have the best choices now.


The loan agreement is regulated by the provisions of the Civil Code. In accordance by concluding this type of contract, “the loan provider undertakes to transfer the ownership of the recipient a certain amount of money or items marked only as to the species, and the recipient undertakes to return the same amount of money or the same amount of items of the same grade and quality”.

As indicated in the above provision, the subject of the loan agreement may be money or things, but in the case of the latter the condition is that they be defined as to the species. This means that this type of contract may relate to items specified by features relating to a larger group of productsso you can include, without doubt, among others gasoline, grain or coal. However, the subject of the loan agreement cannot be an item marked as to its identitythat is, certain specific features that are relevant only to it. An example is, for example, a car with a specific registration number (but no longer any car that falls within a given brand).

Mortgage loan or cash loan

Loans can be granted by both natural and legal persons (including banks). It does not matter whether a natural person enters into a contract as a private individual or as part of a company he runs. Importantly, the borrower does not have to specify the purpose for which he takes out the loan , while the lender cannot control what the funds he has put into use are intended for. The record of the purpose may or may not be included in the contract.

It depends on the parties to the contract whether the loan will be paid for or free. It usually depends on the relationship between the parties (e.g. family, friends), but is not regulated by any regulations.

The basis for securing the loan agreement may be a surety, promissory note, voluntary submission to enforcement, a pledge or registered pledge.


In the case of a loan agreement, the relevant law is the Banking Law. Pursuant to it, a loan agreement is a situation when the bank undertakes to make available to the borrower for a specified period of time in the contract a specific amount of cash for a specific purpose. The borrower, however, undertakes to use it under the conditions specified in the contract, return the amount of the loan used together with interest on the specified repayment dates and pay commission on the loan granted.

The loan agreement must be concluded in writingit is not valid in any other case. So, unlike a loan , any verbal arrangements do not matter in this situation.