Meaning of “loan-loss allowance” in the English Dictionary


"loan-loss allowance" in Business English

See all translations

loan-loss allowancenoun [ C ]

uk us also loan-loss provision [ C ], loan-loss reserves [ plural ]

ACCOUNTING, BANKING in a bank’s accounts, an amount showing what it expects to lose from loans that may not be paid back:

The loan-loss allowance allocated to foreign loans was the highest on the bank's books.
Despite a 26% improvement in its net income, the bank failed to meet Wall Street's expectations because it had to double its loan loss provision.

(Definition of “loan-loss allowance” from the Cambridge Business English Dictionary © Cambridge University Press)