Banking

€STR: The European Central Bank’s Replacement for EURIBOR
Comprehensive coverage of €STR, including its historical context, structure, key events, mathematical formulas, applicability, examples, comparisons, interesting facts, FAQs, and references.
€STR: The Euro Short-Term Rate
Comprehensive guide to the Euro Short-Term Rate (€STR), its historical context, significance, formulas, and applications.
3(c)(1): Investment Company Exemption
Understanding the 3(c)(1) Exemption and its Role in Limiting the Number of Investors to 100, Including Accredited Investors.
30-Day Delinquency: A Preliminary Stage of Loan Default
30-Day Delinquency refers to loans overdue by one month and is an early indicator of potential financial difficulties faced by the borrower before escalating to severe delinquency stages.
30/360: Day Count Convention in Finance
A comprehensive guide to the 30/360 day count convention used in finance, including its historical context, applications, types, and calculations.
360/360: A Simplified Day Count Convention
A simplified variation where the year and the loan period are both measured as 360 days, commonly used in banking and financial calculations for ease of computations.
7(a) Loan Program: Comprehensive Financial Assistance for Small Businesses
The 7(a) Loan Program is the U.S. Small Business Administration's (SBA) primary vehicle for providing financial assistance to small businesses, offering a variety of loans to meet different business needs.
8-K: Report of Major Events
A report that companies must file with the SEC to announce significant events that shareholders should know about between 10-Q and 10-K filings.
8-K Report: Essential Announcements for Shareholders
An 8-K Report is filed to announce significant events that shareholders should be aware of, ensuring transparency and informed decision-making in the financial markets.
90-Day Delinquency: Understanding the Implications
A 90-Day Delinquency occurs when a loan payment is overdue by three months, which can lead to severe financial repercussions, including foreclosure.
ABCP: Asset-Backed Commercial Paper
A comprehensive overview of Asset-Backed Commercial Paper, including its historical context, types, key events, formulas, and applicability in finance.
Ability-to-Repay Rule: Ensuring Consumer Financial Stability
A regulation that requires lenders to determine a consumer's ability to repay a loan before extending credit, ensuring financial stability and protecting consumers from predatory lending practices.
ABMTN: Asset-Backed Medium-Term Note
Comprehensive guide on Asset-Backed Medium-Term Note (ABMTN), including historical context, types, key events, and detailed explanations.
Above Par: When Asset Value Surpasses Expectations
Above Par refers to an asset trading at a price higher than its par value. It commonly applies to bonds but can be used for other financial instruments.
Accelerated Amortization: Faster Debt Repayment Strategy
Accelerated amortization refers to paying off debt faster by making extra payments or larger periodic payments, reducing the outstanding principal more quickly and saving on interest costs.
Acceleration: The Action of a Lender in Demanding Early Repayment
Acceleration in finance refers to a lender's right to demand early repayment of a loan when the borrower defaults on their payment or other contractual obligations.
Acceptance: Financial Liability and Trust in Bill of Exchange Transactions
Understanding the concept of acceptance in financial transactions, particularly the acceptance of a bill of exchange which involves adding one's signature to take on liability.
Acceptance Supra Protest: Ensuring the Honour of Financial Instruments
Acceptance Supra Protest (or acceptance for honour) is a financial procedure where a third party accepts or pays a dishonoured bill of exchange to protect the honour of the original drawer or an endorser.
Accepting House: Financial Institution for Bills of Exchange
A comprehensive guide on accepting houses, their historical context, types, key events, detailed explanations, importance, applicability, and related financial terms.
Accepting House: A Pillar of Financial Stability
An accepting house is a financial institution that guarantees payment of bills of exchange, leveraging its reputation and specialized knowledge to manage risk and earn fees.
Accommodation Party: An Essential Guarantor in Negotiable Instruments
An Accommodation Party refers to an individual who signs a negotiable instrument as a drawer, acceptor, or endorser without receiving value, serving as a guarantor for the party obtaining value.
Account: Comprehensive Overview
A detailed look into the concept of 'Account,' encompassing its various meanings and applications in finance, banking, and accounting.
Account Holder: An Individual Who Owns An Account
Comprehensive definition and explanation of an account holder, including types, examples, legal considerations, and related terms.
ACH: Automated Clearing House
The Automated Clearing House (ACH) is a U.S. network that processes bulk small-value payments, facilitating efficient electronic financial transactions.
ACH Transfer: Introduction to Electronic Fund Transfers
Understand ACH Transfers: A Comprehensive Guide to Electronic Fund Transfers, including direct debits and credits, processing, historical context, and their applications in modern finance.
ACH Transfers: Recurring Transaction Processing
An in-depth look at ACH transfers, commonly used for recurring transactions and known for their longer processing times compared to wire transfers.
ACID-TEST RATIO: Evaluating Liquidity with Precision
An in-depth look at the acid-test ratio, a stringent measure of a company's short-term liquidity, its importance, applicability, key events, and related financial concepts.
Acquiring Bank: Merchant’s Payment Processing Partner
A comprehensive guide to understanding acquiring banks, including their role in payment processing, types, importance, and key considerations.
Actual/365: A Day Count Convention in Finance
Actual/365 is a day count convention commonly used in finance that calculates interest and periods by dividing by 365 days, emphasizing greater accuracy over a full year.
Actual/Actual: A Day Count Convention
A comprehensive definition of the Actual/Actual day count convention, including its types, features, applications, and historical context.
Adjusted Balance Method: Calculating Interest Charges on Credit Accounts
The Adjusted Balance Method calculates interest based on the balance at the end of the billing cycle after deducting any payments and credits; it generally leads to lower interest charges.
Adjustment Cap: Limits on Interest Rate Changes
An adjustment cap refers to the maximum limit on how much an interest rate can increase or decrease during each adjustment period in adjustable-rate mortgages (ARMs).
Adjustment Period: The Interval at Which a Floating Rate is Recalculated
An in-depth exploration of the Adjustment Period, the interval at which a floating rate is recalculated, including examples, applicability, and frequently asked questions.
Administrative Fee: Overview and Detailed Insights
An in-depth exploration of administrative fees, covering their historical context, types, key events, detailed explanations, formulas, charts, importance, applicability, examples, considerations, related terms, comparisons, facts, stories, quotes, proverbs, expressions, jargon, slang, FAQs, references, and summary.
Advance Payment Bond: Financial Guarantee Explained
An Advance Payment Bond guarantees reimbursement of advance payments if a company fails to fulfill contractual obligations. Typically provided by bankers, these bonds indemnify companies.
Advances: Bank Loans to Customers
An in-depth look at advances, which are bank loans to their customers. These loans may be unsecured or secured by stocks, shares, or life insurance policies owned by the borrower.
Advising Bank: The Intermediary in Letters of Credit
An advising bank is the bank that receives the Letter of Credit (L/C) from the issuing bank and informs the beneficiary. This bank plays a crucial role in international trade by verifying the authenticity of the L/C and facilitating communication between parties.
Advisory Fees: Charges for Financial Advisory Services
Advisory Fees are charges levied by financial advisors for providing personalized investment advice and portfolio management. These fees are fundamental in compensating the advisors for their expertise, ensuring the alignment of their interests with those of their clients.
Affinity Card: Credit Cards Linked with Organizations or Charities
A comprehensive encyclopedia article about Affinity Cards, credit cards issued in collaboration with organizations or charities with a pledge to donate a portion of profits.
After Date: Financial Term in Bills of Exchange
A comprehensive exploration of the term 'After Date' used in bills of exchange, including historical context, types, key events, and detailed explanations.
Agreed Bid: A Supported Takeover
An agreed bid is a type of takeover bid that gains the support of the majority of the shareholders of the target company, in contrast to a hostile bid.
Alienation of Assets: Understanding Asset Disposal in Loan Agreements
The term 'Alienation of Assets' refers to the sale or disposal of assets that form the security for a loan, and it often includes restrictions in loan agreements to protect lenders.
Allonge: An Extension for Endorsements
An allonge is a slip of paper attached to a negotiable instrument for the purpose of adding more endorsements.
Allowance for Loan and Lease Losses (ALLL): Reserve for Estimated Loan Losses
Allowance for Loan and Lease Losses (ALLL) is the reserve set aside by financial institutions on their balance sheets for estimated loan losses, reflecting the risk of default inherent in their credit activities.
Alternative Reference Rates (ARR): Benchmark Rates Other Than LIBOR
A comprehensive guide to Alternative Reference Rates (ARR), their history, types, significance, and comparison to LIBOR. Includes key events, mathematical models, examples, and FAQs.
AML (Anti-Money Laundering): Laws, Regulations, and Procedures to Prevent Money Laundering
AML (Anti-Money Laundering) encompasses laws, regulations, and procedures designed to prevent money laundering activities, ensuring the financial system is protected from illicit funds.
Amortization Schedule: Loan Repayment Plan
An in-depth exploration of amortization schedules, detailing how and when loan repayments are made, including formulas, examples, and key considerations.
Amortizing Loan: A Comprehensive Overview
A detailed examination of amortizing loans, including types, key events, formulas, charts, importance, examples, and more.
Ancillary Credit Business: Comprehensive Overview
A detailed exploration of ancillary credit businesses involved in credit brokerage, debt adjusting, debt counselling, debt collecting, debt administration, and operation of credit-reference agencies, underpinned by the Consumer Credit Act 1974.
Annual Fee: A Yearly Cost for Financial Services
An annual fee is a yearly charge levied by financial institutions, especially credit card issuers, for maintaining a credit card account and providing associated benefits.
Annual Interest Rate: The Percentage of Interest Charged or Earned Per Year
An in-depth explanation of the Annual Interest Rate, its significance in finance, calculation methods, examples, historical context, and its role in various financial instruments.
Annual Percentage Rate: Understanding APR
A comprehensive overview of Annual Percentage Rate (APR), its calculation, types, historical context, and significance in finance and investments.
Annual Percentage Yield (APY): A Comprehensive Explanation
An in-depth analysis of Annual Percentage Yield (APY), its calculation, implications, historical context, and applications in finance and investments.
Annualized Percentage Rate of Interest: Understanding the True Cost of Borrowing
An in-depth exploration of the Annualized Percentage Rate (APR) of Interest, including its calculation, significance, and real-world application. This entry discusses how APR allows for comparison between different loan contracts and provides an equation for determining APR.
Applicant: The Buyer in the Transaction, Who Applies for the L/C
An in-depth look at the role of the applicant in financial transactions, specifically in the context of Letters of Credit (L/C), including historical context, types, key events, and more.
APR: Annual Percentage Rate
The annual interest rate charged on borrowed funds or earned through investments, including fees and costs, and expressed as a single percentage.
APR Considerations: Understanding the Cost of Borrowing
A comprehensive guide on Annual Percentage Rate (APR) including its historical context, types, key considerations, mathematical models, and its importance in finance and investments.
As Per Advice: Understanding Its Significance in Bills of Exchange
An in-depth look at the term 'As Per Advice' used in bills of exchange, including its historical context, significance, examples, related terms, and more.
Assessable Capital Stocks: Financial Liabilities and Investment Terms
An in-depth examination of assessable capital stocks in the United States, including historical context, types, key events, and importance in banking and finance.
Asset Protection: Legal Strategies to Protect Assets from Claims of Creditors
Asset Protection encompasses legal strategies and tools to safeguard assets from potential claims by creditors. This definition explores its concepts, methods, and implications.
Asset Protection Scheme: A UK Government Initiative
An in-depth exploration of the Asset Protection Scheme (APS), a UK government initiative designed to revive bank lending post-global financial crisis.
Asset Protection Scheme (APS): Financial Safety Nets for Banks
The Asset Protection Scheme (APS) is a government initiative designed to shield banks from significant losses by providing guarantees for certain risky assets, ensuring stability in the financial sector.
Asset-Backed Commercial Paper: A Comprehensive Guide
An in-depth exploration of Asset-Backed Commercial Paper (ABCP), covering its definition, history, types, key events, mathematical models, applicability, examples, related terms, and more.
Asset-Backed Fund: Investing in Tangible Assets
A comprehensive overview of asset-backed funds, their significance, types, historical context, key events, mathematical models, examples, and much more.
Asset-Backed Securities (ABS): A Comprehensive Overview
An in-depth look at Asset-Backed Securities (ABS), covering their historical context, types, key events, mathematical models, significance, and practical applications.
Association for Payment Clearing Services (APACS): Managing UK Payment Systems
An overview of the Association for Payment Clearing Services (APACS), its historical context, functions, and legacy in managing UK payment clearing and money transmission systems.
Association of Independent Financial Advisers: The UK Trade Body for Independent Financial Advisers
The Association of Independent Financial Advisers (AIFA), established in 1994, is the trade body for independent financial advisers in the UK, representing the profession to the Financial Services Authority, parliament, and other policymakers, while promoting the benefits of financial advice to the public.
AT PAR: Par Value
Understanding the Concept of Securities Issued or Traded at Their Par Value
AT SIGHT: Understanding Payment Terms on a Bill of Exchange
AT SIGHT refers to a term on a bill of exchange indicating that payment is due immediately upon presentation. This article delves into the historical context, significance, types, and practical applications of this financial term.
ATM: Automated Teller Machine
Electronic banking outlet that allows customers to complete basic transactions without the aid of a branch representative.
ATM: Automated Teller Machine
An in-depth examination of Automated Teller Machines (ATMs), their history, types, functioning, importance, and impact on the banking industry.
ATM Card: Card used to withdraw cash from ATMs only
ATM cards are primarily used for withdrawing cash from ATMs. They are a basic financial tool linked to your bank account.
Aufsichtsrat: Supervisory Board of an AG
Discover the role, structure, responsibilities, and significance of the Aufsichtsrat, the supervisory board in a German Aktiengesellschaft (AG).
Authorized Capital: Definition and Importance
An in-depth exploration of Authorized Capital, its significance in the corporate world, types, key events, mathematical models, and much more.

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