A person with a loan (or mortgage), who hasn't been able to pay the instalments on
time. In such
case the bank may or may not change the conditions of the repayment to slightly more favourable ones. Because the borrower might not be able to pay back the loan, the loan contract is half dead. Like a
zombie.
Bank employee 1: I don't get you, is this a risky loan, or is the
guy paying the instalments on
time?
Bank employee 2: He has barely paid any instalment on
time, he is a proper zombie borrower.