Loan Forfeiture Level: The lowest market price that a processor must receive before concluding that forfeiting pledged sugar to the Commodity Credit Corporation is more profitable than selling the sugar. In practice, USDA has calculated the loan forfeiture level to be equal to the loan rate, plus transportation costs to a refinery (applicable only for raw cane sugar) plus interest expenses on a nonrecourse loan minus a sugar loan forfeiture penalty.

 

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Loan Forfeiture Level: The lowest market price that a processor must receive before concluding that forfeiting pledged sugar to the Commodity Credit Corporation is more profitable than selling the sugar. In practi . . . View Full Definition

Nonforfeiture Clause: If there is a nonforfeiture clause in your insurance policy contract, and you have let the policy lapse because you haven’t paid a premium that’s due, you may qualify for the benefit named i . . . View Full Definition

Non-Conforming Loan: A mortgage loan that does not meet Fannie Mae and Freddie Mac underwriting guidelines. Non-conforming loans are available as both fixed and adjustable rate mortgages.

Nonproductive Loan: A loan that increases spending power, but is used in business that does not directly increase the economy's output, such as a leveraged buyout loan.