PORTFOLIO LOAN
Loan originated by a lender and kept on the lender's balance sheet
Portfolio Lending
Simply defined, a portfolio lender is a bank or other lending institution that makes mortgage loans with the intention of holding the loans in their investment portfolios because they do not meet traditional guidelines. Portfolio lenders can often offer consumers greater flexibility in the loan as they will hold the paper and it is not sold on the open market. These loans are typically short term loans due to the increased cost / interest rate of the loan.