What context can I use each word in?
Learn when and how to use these words with these examples!
creditor
Example
The bank is my creditor because they lent me money for my business. [creditor: noun]
Example
The creditor has the right to take legal action if the debtor fails to pay back the loan. [creditor: noun]
Example
She became a creditor after loaning her friend money for a new car. [creditor: noun]
mortgagee
Example
The mortgagee is the bank that lent us money to buy our house. [mortgagee: noun]
Example
The mortgagee has the right to foreclose on the property if the borrower fails to make payments. [mortgagee: noun]
Example
She became the mortgagee after lending her sister money to buy a vacation home. [mortgagee: noun]
Good things to know
Which word is more common?
Creditor is a more common term than mortgagee in everyday language, as it is a broader term that covers a wide range of financial transactions. Mortgagee is a more specialized term that is primarily used in the context of mortgage agreements.
Whatโs the difference in the tone of formality between creditor and mortgagee?
Both creditor and mortgagee are formal terms used in financial contexts, and are typically used in legal documents and agreements.
