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The lender will hold onto the loans loan funds until the loan is paid off, at which point the funds are released to the borrower. However, it is important for borrowers to carefully consider the bad terms of their loan and ensure that they can afford the monthly payments before agreeing to take out an installment loan. However, it's important to be cautious when borrowing from an alternative lender, as the ashville fees and interest rates may be higher than those of a traditional lender.