3 First Chapter Loan Concept and Individual Credit 1.1. Credit concept Credit statement Latin Credere is from the word trust (Aytekin, 2008: 527). The credit process is to change the promise of payment by money based on mutual trust. In the credit process, the credit giving money gives money to pay the promise of payment, the credit receiving the money and the promise of payment (Zarakulu, 1971: 47). According to another recognition, the credit operation is to transfer the current and a certain purchase power to another person, and there may be any economic value that can be measured by money as the purchase power may be money (Baykan, 2004: 53). The change in question refers to a debt taken in the essence of the credit concept of an economic value whether you whether money. This debt relationship is established by demanding the savings of individuals or legal entities other individuals to use for production or consumption purposes. Once the loans are viewed, it is seen that it is intensified for consumption in the period before industrialization. In accordance with industrialization, credits used for production are started to gain importance (Zarakulu, 1971: 48). Today, loans can be used in the financing of a wide range of goods and services. The loan is a loan, but the limitations of which type of debt will be considered and the limitations brought to loans are determined by laws. Loans are subject to various classifications according to some common features. When credits are classified in terms of qualifications, cash and informal credits are divided into two. In addition to this classification, the loans are separated as short, medium and long term according to their maturities; to the sectors used to their collateral, issuance, resources,
4 can be classified according to whether the redeemed loan is in the branch authorization (jokar, 2006: 50). Credit services offered by banks and relevant organizations can also be named according to the purpose of credit use. For example, when providing commercial credit services for commercial purposes, individuals are offered individual banking and individual credit services for real persons. Loans, which classification also includes, it has an important service to be offered to the legal and real persons with the necessary conditions of relevant institutions. Loans whether or institutional is an important source of funds in meeting the individual, diversified requests and needs. We can summarize the functions of loans that are an important source for economic units in three items in general (South, 2007: 68). : 1. The loan prevents the savings from being disposed of, 2nd Credit allows the movement of the economy to move faster than waiting for the savings of credit entrepreneurs, allowing people to do with the income they will have in advance with the income they will have in the future. In addition, loans intermediate in the income currence of savings seen as a leakage from expenditures. It helps ensure balance between supply and demand of goods (Zarakolu, 1971: 48). In addition, loans are seen as one of the channels of affecting the economy of monetary policy.
5 The subject of this study is individual loans that consumers use widespread in the financing need. Ç