how an evergreen loan works
evergreen loans can take many forms and are offered through varying types of banking products credit cards and checking account overdraft lines of credit are two of the most common evergreen loan products offered by credit issuers evergreen loans are a handy type of credit because they revolve meaning users do not need to reapply for a new loan every time they need money they can be used by both consumers and businesses non revolving credit differs in that it issues a principal amount to a borrower when a loan is approved it then requires that a borrower pay a scheduled amount over the duration of the loan until the loan is paid off once the loan is repaid the borrower s account is closed and the lending relationship ends evergreen loans provide borrowers with monetary flexibility but require the ability to regularly make minimum monthly payments 