Covenant is a definite provision in a loan contract.
Webster Dictionary Meaning
1. Covenant- A mutual agreement of two or more persons or parties, or one of the stipulations in such an agreement.
- An agreement made by the Scottish Parliament in 1638, and by the English Parliament in 1643, to preserve the reformed religion in Scotland, and to extirpate popery and prelacy; -- usually called the "Solemn League and Covenant."
- The promises of God as revealed in the Scriptures, conditioned on certain terms on the part of man, as obedience, repentance, faith, etc.
- A solemn compact between members of a church to maintain its faith, discipline, etc.
- An undertaking, on sufficient consideration, in writing and under seal, to do or to refrain from some act or thing; a contract; a stipulation; also, the document or writing containing the terms of agreement.
- A form of action for the violation of a promise or contract under seal.
2. Covenant- To agree (with); to enter into a formal agreement; to bind one's self by contract; to make a stipulation.
3. Covenant- To grant or promise by covenant.
Category: Banking & Finance
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