The term lender of last resort referrs to the capacity of a central bank of a country to bankroll the government of that country and to act as a lender to the smaller banks of the country.
Alternatively, a lender of last resort is a bank, check cashing store or card shark who lends money and then literally charges exorbitant interest and late fees.
See also
Last updated: 05-16-2005 08:16:53