Exercise 1 Complete the following sentences with the missing prepositions.
a) He was strapped ___ cash.
b) When you take ___ a loan, you have to repay the money ___ fixed instalments.
c) In cases when the borrower defaults ___ payment (it could be due ___ illness or loss of job), banks use collaterals to get their money back.
d) Since guarantors are ___ short supply, time deposits ___ a bank are accepted.
e) If you do not keep ___ repayments ___ your mortgage, your home may be repossessed.
Exercise 2 Complete the text with the following words: repaid, borrow, interest, amount, instalments.
A loan is an (1) _ of money you (2) _ from your bank, usually over a fixed period of time, which is (3) _ in fixed (4) _ over a set period. (5) _ is charged and added to the original loan amount.
