It provides concise definitions of 8, terms with 18, useful links. This information comes from the world of banking and investing, providing users with thorough and reliable meanings to all the most common, and even uncommon, financial terms. Please note that this information is not intended to be used in place of a consultation or advice of a financial professional. All businesses except partnerships must file an annual income tax return.
More specifically, it is the amount of money that you have borrowed. It is the ww Burden percentage of your income that goes to paying your debts every month. Debt ratio usually gives a clear picture of your overall financial well-being.
To calculate your debt ratio, first add up all your monthly income including take-home pay after taxes. Then add up all your monthly payments for interest bearing loans and accounts, such as mortgages, student loans, credit cards and car loans.
Finally, divide your monthly payments by your m income. Multiply the result by and that number is your debt ratio percentage. This means that you should look carefully at your monthly payments Z.
You should immediately stop accumulating debt and start looking for ways to decrease your debt or increase your income. Interest will usually still accumulate during deferment. Late fees are often levied on delinquent accounts.
A facility normally extended for payment of earnest money deposits in tenders. Gr 96 Depreciation Depreciation means a decline in the value of capital asset. It represents a cost of ownership and the consumption of an asset over time. For credit card accounts, this information may be found in the Card member Agreement. It is also called the loan papers. In operative account Down Payment The amount, which has to be paid by the borrower upfront while on taking a loan.
It is also called the margin amount or margin money. In a Letter of Credit it is the Beneficiary. The person who makes or draws a bill of exchange or cheque is called drawer. Charge Early repayment charge is also called prepayment penalty. Gr Prepayment charge Electronic Electronic Clearing Facility: An inter bank arrangement where by Clearing Service a customer can give instructions to his bank where he holds a ECS current or savings account to pay the monthly installments of w.
These mandates have to be endorsed by the bank branch maintaining the account. Gr Fixed Rate Also called the fixed interest rate, it is a fixed amount of interest, which is chargeable for a specified duration or for the entire tenure of the loan. It varies according to the market conditions.
This rate is linked to an external, market determined benchmark e. The lending is expressed with ww a spread above or below the benchmark rate. Repricing takes place after a predetermined period say, 6 months when the lending rate will be revised with reference to the benchmark rate as on that day. Generally such transactions Credit Card are unauthorized by credit card holders and involve a lost, stolen, fabricated, counterfeit and fraudulent processing of a credit card.
If you purchase a car under hire-purchase agreement with a finance company, then you become the hirer. Gr Hypothecation Hypothecation is a charge that is created on movable asset as security for a debt. However, the ownership as well as possession of the asset is retained with the borrower. Eg: EMI loan. Interest is calculated at a specified percentage of the principal amount.
Semi Fixed Z. Fixed The interest rates of the loans sanctioned under fixed interest rate category remain fixed throughout the tenure of the loan. The intro rate is usually lower than the regular 8A APR. After the introductory period is over the rate switches to the regular APR.
Gr Joint account Any account owned by two or more people. Change in the mode of operation requires the mandate of all accountholders w. If you miss the due date, the account is considered past due and you may be charged a late fee. Late payments may be ww reflected on your credit report. If you have paid late numerous times, it may be difficult to get additional credit.
The late payment charges m are fixed at the time of signing the finance contract. It involves screening all the documents etc related to the property. This is done to ensure that the property in Z. When applying for credit, a borrower agrees to be liable for any charges to his or her account, including interest, fees and finance charges. Like assets, liabilities may also be of long term nature or short term nature. The loan agreement details the various aspects and terms and condition of the loan.
The borrower must read the loan agreement carefully as once he enters Gr into a legal contract with the bank by signing the loan agreement, the terms become binding. Post sanction of Disbursement the loan, the Bank conducts necessary verification and validation w. The disbursal will be done on meeting the credit criteria set by the Bank. Such authorisation form is called a mandate.
The smallest amounts you can pay by the due date and still meet mb Amount the terms of your card agreement. It is often required to be kept in an account each day to earn 8A interest, avoid a service charge or qualify for special services.
It is a process for conversion of money obtained illegally to appear to have originated from legitimate sources. Often used by people who ww do not have saving accounts. This written document is mailed to the borrower. NEFT is enabled only in specific bank branches across India. A list of these branches is available in the RBI website. It is the total of all assets minus the total liabilities of an individual or company. Nomination facility is also provided for articles in ww safe custody with banks and in safe deposit lockers.
Non-bank ATMs generally do not accept deposits. This money Income can come from several sources including disability pay or legal Z. These include proper repayment, providing the banks with post-dated cheque and following the terms written in the loan agreement carefully. However, a customer needs to have Customer ID and a unique Net mb Banking Password in order to undertake this facility.
Balance Outstanding Outstanding cheque is issued by the company but not yet cleared 8A Cheque by the bank. In preparing the bank reconciliation, it is deducted from the bank balance.
The exception is an uncleared Certified cheque, which is not considered outstanding since both parties, the company and the bank, know about it and have subtracted it. Remittances separately on his instructions to another account with the same bank or another banks in the manner indicated by the customer Demand drafts, electronic funds transfer, telegraphic transfers etc. Banks may levy service charges for affecting the ww remittances.
Any combination of purchases, cash advances, fees or finance Credit Card charges may cause you to exceed your credit limit. For example, you will be over the credit limit if you spend Rs. When your checking account does not have sufficient available funds to cover a cheque, funds are automatically transferred from the available balance in the linked account to cover the cheque. This often applies to cheque. Drawee If you receive a cheque you are the payee and the person or Gr company who wrote the cheque is the payer or drawer.
If Drawer you write a cheque you are the payer and the recipient of the cheque is the payee. If a Premature customer keeps a deposit with a bank for a fixed tenure and in the Withdrawal of event of the depositor withdrawing the deposit before the due Fixed Deposit maturity date, the banks can charge a Penalty sum on premature withdrawal.
Chand Publishing. Rating : 4. Get BOOK. Includes an expanded definition of chemical entities provides precise technical data for chemical substances and phenomena More than entries. Dictionary of Banking and Finance. This dictionary provides comprehensive coverage of the terms used in banking and finance, ranging from personal bank accounts to international money markets.
0コメント