Monopoly Loan Rules: The Complete Guide (2023 Updated!)

Basana Saha


Monopoly is a game that can last for hours, and sometimes when players are low on cash, they may be tempted to loan money to the bank.

However, there are strict rules about loaning money in Monopoly.

In this post, you will find a complete guide on Monopoly Loan Rules to help you know this game better.

Monopoly Loan Rules

Let’s get started!

Is a loan allowed in Monopoly?

In Monopoly, players can take out a loan from the bank by mortgaging one of their properties.

To do this, they turn over the deed card to the red side, and the bank will loan them the mortgage value printed on the back.

Players can use this money to pay debts, build houses and hotels, or buy more properties.

However, they will need to be careful not to accumulate too much debt, as this can lead to bankruptcy.

In the Monopoly game, players can choose to take out a loan if they don’t have enough cash. 

Overall, taking out a loan in Monopoly is a perfectly legal way to get some extra cash.

Just be sure to repay it as soon as possible so you don’t get into financial trouble.

How do loans work in Monopoly?

Mortgaging a property is a way to get quick cash in Monopoly when you land on one of your properties and need money to pay another player or buy more properties.

When you mortgage a property in Monopoly, you are essentially putting it on hold.

You will still have the property card, but you can’t build on it or charge rent. 

This can be helpful if you need to raise some quick cash, but it’s important to remember that you must stop charging rent on the property once it’s been mortgaged.

To mortgage a property, the owner must remove all houses and hotels from it and go to the bank to get half the value of the un-mortgaged property.

The owner cannot mortgage a property with any houses or hotels. 

If someone else lands on the mortgaged real estate in Monopoly, they can enjoy not paying rent.

Even the owner of the mortgaged property cannot collect rent also.

What are the loan rules in Monopoly?

In Monopoly, the rules for loans are simple: 

If one of your debts defaults, the creditor will assume ownership of the debt as soon as that happens. 

Anyone owning the debt cannot pay it off until he has passed until at least that one time has passed since inheriting that debt. 

This can create a long chain of players owing money to one another, making it difficult for anyone to get out of debt and win the game.

1. You can mortgage as many properties as you wish, but titles must be turned over for inscription on the property to serve as proof that it’s mortgaged. 

If another character or player lands on your property, they should not be allowed to pay for it.

2. To mortgage a property, go to the bank and hand over the title deed card.

The bank will give you half of the property’s purchase price in return.

3. When you mortgaged property, you’re essentially taking out a loan from the bank.

In Monopoly, the interest rate on these loans is high, so it’s vital to only mortgage what you can afford to pay back.

4. If you’re having cash flow problems, taking out a loan against your property can be a quick fix.

However, if you’re having difficulties obtaining a mortgage on all of your homes, a mortgage is a bad pick considering it will only act as a temporary fix to your cash flow difficulties. 

So it’s better to use it as you would a temporary measure.

5. When you pay back the loan, the property will become active again with 10% interest.

How much money can you borrow from the bank in Monopoly?

In the Monopoly game, when players land on a property and decide to purchase it, they must pay the full amount of the purchase price. 

If they do not have enough cash on hand, they may borrow money from the bank by mortgaging property. 

When a property is mortgaged, the player turns over the title deed to the bank and receives half of the purchase price in return. 

The player can then use this money to continue playing the game.

However, some restrictions exist on how much money players can borrow from the bank.

A player can’t borrow a home or a property until it is completely paid off. 

However, a borrower could take as much as 500 from the bank at any time in Monopoly.

However, the player receives 100 as interest or roughly 10% of the loan until it is paid back. 

The borrower may not pay off the loan until they have passed the Go signal at least once.

Loan Repay Process in Monopoly

If you go bankrupt to another player, that player receives your mortgage property.

They must either immediately unmortgage it for the mortgage value plus 10% or pay a 10% transaction fee on the mortgage amount to keep the property.

When taking out a loan in Monopoly, the new owner must immediately pay the bank the amount of interest on the loan. 

The interest rate is 10% of the value of the property.

The new owner can then choose to either pay off the principal or continue to make payments on the loan.

If the new owner decides to pay off the principal, they must do so in full.

Once the loan is paid off, they can continue playing the normal game. 

If they decide to continue making payments on the loan, they must do so each time their turn comes around.

In Monopoly, the failure to make a payment will result in retiring from the game.

If a player chooses to unmortgage a property, they must do so at once and cannot sell any other properties until the debt is paid in full.

A player may also forego their turn to pay off any debts owed to another player.

Players should be mindful of taking out mortgages and loans in Monopoly, as it can be difficult to repay these debts if another player goes bankrupt.

Hence, when it comes to paying back loans in the game of Monopoly, a few different options and processes can be followed. 

If players cannot pay a fine from a Chance card, for example, they will owe money to the bank. 

In this case, the bank now owns that mortgage and can immediately auction it off to the highest bidder. 

However, if the property is un-mortgaged, the player may return it to the bank instead.

How many times can you borrow from the Bank in Monopoly?

In Monopoly, players can choose to borrow money from the bank when they don’t have enough to cover a purchase.

While it may be tempting to do this as often as possible, it’s important to remember that you’re taking on debt every time you borrow from the bank.

And if you can’t pay back that debt, you could lose the game.

So how often can you borrow from the Bank in Monopoly? As long as it’s possible to borrow, there’s no limit. 

However, why would you want to take on a debt when you could avoid paying?

The only time it makes sense to borrow from the bank is if you know you’ll be able to pay back the debt with interest. 

Otherwise, it’s best to steer clear of borrowing altogether.

Can other players borrow money as a loan in Monopoly?

In Monopoly, players are not allowed to loan money to other players. The only way that money can be loaned is by mortgaging properties. 

This is because the interest rate on loans in Monopoly is very high, and it can quickly become difficult to repay the loan. 

Additionally, if a player goes bankrupt, they must repay all of their debts before they can continue playing the game. 

For these reasons, it is generally best to avoid loans from other Monopoly players.

The only other way to obtain money from another player in the game is by selling them any properties directly and transferring the deed to them.

Do you need to pay interest to Monopoly bank when repaying loans?

The property goes inactive when you take out a loan in the Monopoly game.

But when you pay back the loan, the property becomes active again. 

However, you will have to pay 10% interest to the Monopoly bank.

Is it worth it to take out a loan and pay interest?

Some players may feel it is not worth taking out a loan and paying interest, especially if they are behind in the game and need every dollar they can get. 

Others may feel that taking out a loan is essential to their strategy and winning the game.

What do you think? Is it worth taking out a loan in Monopoly and paying interest?

What happens if you cannot repay your loan in Monopoly?

A bankruptcy occurs if the player owes more than he can pay for another player or the bank.

He must relinquish all his assets to the other player and retire from the game unless he’s paid off all he has owed. 

If his debt is to the bank, he must turn over all his property to the bank, which may then auction it off. 

The bank cannot go bankrupt; it can only loan money to players.

A player who goes bankrupt may not take any further part in the game and must sit out and retire until all other players have finished the game.


Let’s conclude the post on Monopoly Loan Rules!

I hope you were able to get all your questions and doubts answered after reading this comprehensive post.

Monopoly Loan Rules are very limited and strict when allowing money to be borrowed by players.

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Basana Saha