In the context of bank loans, lenders that lend term B loans. Typically, they are institutional lenders (such as hedge funds) rather than commercial banks that prefer to hold the investment for the full term of the loan. Most Term B Lenders buy a portion of the term loan (by assignment) after the closing date for tax reasons or because their organizational documents permit them to buy investments but not to make loans. Term B Lenders often prefer not to be prepaid with mandatory prepayments before the maturity date of the term loan and term B loan agreements may include a provision that allows them to decline such payments.