Back-To-Back Commitment

Business, Legal & Accounting Glossary

Definition: Back-To-Back Commitment


Back-To-Back Commitment


Full Definition of Back-To-Back Commitment


A commitment to make a second loan when the terms of a first loan are satisfied. One common type of back-to-back commitment involves replacing a construction loan with a first mortgage. A bank may extend a construction loan to build a house, with the understanding that once the house is built, the construction loan will be paid off and replaced by a mortgage.


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Back-To-Back Commitment. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. November 30, 2021 https://payrollheaven.com/define/back-to-back-commitment/.
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Back-To-Back Commitment. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/back-to-back-commitment/ (accessed: November 30, 2021).
American Psychological Association (APA):
Back-To-Back Commitment. PayrollHeaven.com. Retrieved November 30, 2021, from PayrollHeaven.com website: https://payrollheaven.com/define/back-to-back-commitment/

Definition Sources


Definitions for Back-To-Back Commitment are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 19th November, 2021 | 0 Views.