Glossary of Terms

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Trustee

A bank or trust company that holds title to or a security interest in leased property for the benefit of the lessee, lessor, and/or creditors of the lessor, as appropriate. A leveraged lease often has two trustees: an owner trustee and an indenture trustee. An owner trust owns the assets or interests therein and the indenture trustee represents the lenders that lend funds to the lessor on a non-recourse basis to purchase the equipment or other capital asset for lease to the lessee. (Courtesy www.elfaonline.org)

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