saving and banking

Account number

'Account Number' The primary identifier for ownership of an account, whether a vendor account, a checking or brokerage account, or a loan account. An account number is used whether or not the identifier uses letters or numbers.

Credit rating

. A credit rating can be assigned to any entity that seeks to borrow money - an individual, corporation, state or provincial authority, or sovereign government

•Budget

: cheap, inexpensive, economy, affordable, low-cost, low-price, cut-rate, discount, bargain, downmarket

Pre-paid card

A card issued by a financial institution that is preloaded with funds and is used like a normal credit card. A prepaid credit card works in the opposite way of a normal credit card, because instead of buying something with borrowed funds (through credit), you buy things with funds that have already been paid.

Certificate of Deposit

A certificate of deposit (CD) is a time deposit, a financial product commonly sold in the United States and elsewhere by banks, thrift institutions, and credit unions. CDs are similar to savings accounts in that they are insured "money in the bank" and thus virtually risk free.

Chapter 13 Bankruptcy

A chapter 13 bankruptcy is also called a wage earner's plan. It enables individuals with regular income to develop a plan to repay all or part of their debts. Under this chapter, debtors propose a repayment plan to make installments to creditors over three to five years.

Credit history

A credit history is a record of a borrower's responsible repayment of debts. A credit report is a record of the borrower's credit history from a number of sources, including banks, credit card companies, collection agencies, and governments

Credit union

A credit union is a member-owned financial co-operative. ... the community, not to make a profit, which means that credit unions fall under not for profit status

•Money Market account

A money market account is an interest-bearing account that typically pays a higher interest rate than a savings account, and which provides the account holder with limited check-writing ability.

Negotiable instrument

A negotiable instrument is a document guaranteeing the payment of a specific amount of money, either on demand, or at a set time, with the payer named on the document. ... Examples of negotiable instruments include promissory notes, bills of exchange, banknotes, demand draft and cheques.

Annual Percentage Yield

Annual percentage yield (APY) is a normalized representation of an interest rate, based on a compounding period of one year. APY figures allow for a reasonable, single-point comparison of different offerings with varying compounding schedules

Bank capital

Bank capital is the value of the bank's assets minus its liabilities, or debts. Assets include cash, loans and securities, while liabilities cover customer deposits, and money owed to other banks and bondholders.

Chapter 7 Bankruptcy

Chapter 7 is a bankruptcy proceeding in which a company stops all operations and goes completely out of business. A trustee is appointed to liquidate (sell) the company's assets, the proceeds are used to pay off the debts, and then the remaining debt is discharged.

•Check cashing store

Check-cashing stores cash checks for a fee. U.S. News & World Report notes that such stores cater to those who are unable to obtain conventional bank ...

Compound interest

Compound interest is the addition of interest to the principal sum of a loan or deposit, or in other words, interest on interest. It is the result of reinvesting interest, rather than paying it out, so that interest in the next period is then earned on the principal sum plus previously-accumulated interest.

Credit counseling

Credit counseling (known in the United Kingdom as Debt counselling) is commonly a process that is used to help individual debtors with debt settlement through education, budgeting and the use of a variety of tools with the goal to reduce and ultimately eliminate debt.

Credit limit

Credit limit refers to the maximum amount of credit a financial institution extends to a client through a line of credit as well as the maximum amount a credit card company allows a borrower to spend on a single card.

Debt consolidation

Debt consolidation is a form of debt refinancing that entails taking out one loan to pay off many others. This commonly refers to a personal finance process of individuals addressing high consumer debt but occasionally refers to a country's fiscal approach to corporate debt or Government debt.

Balance requirement

Financial institutions use the clearing balance requirement (or settlement balances requirement) to describe the amount of money or balance which they anticipate will be required to perform their clearing services.

•Federal funds rate

In the United States, the federal funds rate is the interest rate at which depository institutions (banks and credit unions) lend reserve balances to other depository institutions overnight, on an uncollateralized basis.

Monetary policy

Monetary policy is the macroeconomic policy laid down by the central bank. It involves management of money supply and interest rate and is the demand side economic policy used by the government of a country to achieve macroeconomic objectives like inflation, consumption, growth and liquidity.

Online bank

Online banking, also known as internet banking, e-banking or virtual banking, is an electronic payment system that enables customers of a bank or other financial institution to conduct a range of financial transactions through the financial institution's website.

Open market operation (Federal reserve)

Open market operations (OMO) refers to the buying and selling of government securities in the open market in order to expand or contract the amount of money in the banking system, facilitated by the Federal Reserve (Fed)

recapitalization

Recapitalization is a type of corporate reorganization involving substantial change in a company's capital structure. Recapitalization may be motivated by a number of reasons. Usually, the large part of equity is replaced with debt or vice versa.

Simple interest

Simple interest is a handy, easy tool for estimating the interest earned or paid on a certain balance in one period. However, it does not take into account the effects of compounding, which is the process of earning interest on principal plus interest that was earned earlier.

Consumer Financial Protection Bureau

The Consumer Financial Protection Bureau (CFPB) is a regulatory agency charged with overseeing financial products and services that are offered to consumers.

Fair Credit Reporting Act

The Fair Credit Reporting Act (FCRA) is United States federal legislation that promotes accuracy, fairness and privacy for data used by consumer reporting agencies.

Federal Deposit Insurance Corporation

The Federal Deposit Insurance Corporation (FDIC) is the U.S. corporation insuring deposits in the United States against bank failure. The FDIC was created in 1933 to maintain public confidence and encourage stability in the financial system through the promotion of sound banking practices.

Federal Reserve

The Federal Reserve System, often referred to as the Federal Reserve or simply "the Fed," is the central bank of the United States. It was created by the Congress to provide the nation with a safer, more flexible, and more stable monetary and financial system

Discount rate (Federal reserve

The Federal Reserve discount rate is is how much the U.S. central bank charges its member banks to borrow from its discount window to maintain the reserve it requires. ... The primary credit rate is the basic interest rate charged to most banks. It's higher than the Fed funds rate.

•Reserve requirement (banking

The reserve requirement (or cash reserve ratio) is a central bank regulation employed by most, but not all, of the world's central banks, that sets the minimum amount of reserves that must be held by a commercial bank.

•Rule of 72

The rule of 72 is a shortcut to estimate the number of years required to double your money at a given annual rate of return. The rule states that you divide the rate, expressed as a percentage, into 72: Years required to double investment = 72 ÷ compound annual interest rate.

Chapter 11 Bankruptcy

This chapter of the Bankruptcy Code generally provides for reorganization, usually involving a corporation or partnership. A chapter 11 debtor usually proposes a plan of reorganization to keep its business alive and pay creditors over time. People in business or individuals can also seek relief in chapter 11.

•Savings account

a bank account that earns interest

Debit card

a card issued by a bank allowing the holder to transfer money electronically to another bank account when making a purchase.

Certified check

a check that is guaranteed by a bank.

Overdraft

a deficit in a bank account caused by drawing more money than the account holds.

Finance charge

a finance charge is any fee representing the cost of credit, or the cost of borrowing. It is interest accrued on, and fees charged for, some forms of credit. It includes not only interest but other charges as well, such as financial transaction fees.

Credit score

a number assigned to a person that indicates to lenders their capacity to repay a loan.

•Bank note

a piece of paper money, constituting a central bank's promissory note to pay a stated sum to the bearer on demand. "is the $1 bill the only banknote with George Washington's picture on it?"

Money order

a printed order for payment of a specified sum, issued by a bank or post office

Payday loan

a relatively small amount of money lent at a high rate of interest on the agreement that it will be repaid when the borrower receives their next paycheck. "consumer advocates and lawmakers are urging low-income consumers to avoid payday loans

Promissory note

a signed document containing a written promise to pay a stated sum to a specified person or the bearer at a specified date or on demand

Credit card

a small plastic card issued by a bank, business, etc., allowing the holder to purchase goods or services on credit.

Annual Percentage Rate

annual percentage rate (APR) is the annual rate charged for borrowing or earned through an investment, and is expressed as a percentage that represents the actual yearly cost of funds over the term of a loan.

Loan balance

average outstanding balance is the unpaid, interest-bearing balance of a loan or loan portfolio averaged over a period of time, usually one month. The average outstanding balance refers to any term, instalment, revolving or credit card debt on which interest is charged.

Balance transfer

balance transfer is where part or all of a debit balance (or debt) you owe to another lender is transferred from one card to another, usually to save money on interest repayments. A balance transfer credit card can be a good way to slow down and take stock of your debt.

Cashier's check

cashier's check or cheque is a cheque guaranteed by a bank, drawn on the bank's own funds and signed by a cashier. Cashier's checks are treated as guaranteed funds because the bank, rather than the purchaser, is responsible for paying the amount. They are commonly required for real estate and brokerage transactions.

Personal check

check drawn against funds deposited in your personal checking account. Synonyms: personal cheque Type of: bank check, check, cheque. a written order directing a bank to pay money.

Legal tender

coins or banknotes that must be accepted if offered in payment of a debt

Credit Rating Agency

credit rating agency (CRA, also called a ratings service) is a company that assigns credit ratings, which rate a debtor's ability to pay back debt by making timely interest payments and the likelihood of default.

Routing number

of routing number: Set of numbers associated with a checking, savings, or other bank account that associates a financial institution with the account.

Asset

property owned by a person or company, regarded as having value and available to meet debts, commitments, or legacies. "growth in net assets"

•Deposit

put or set down (something or someone) in a specific place, typically unceremoniously. "he deposited a pile of schoolbooks on the kitchen table" synonyms: put (down), place, set (down), unload, rest; More

Debt

something, typically money, that is owed or due. "I paid off my debts"

Credit

the ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future.

•Loan

the act of lending; a grant of the temporary use of something: the loan of a book. something lent or furnished on condition of being returned, especially a sum of money lent at interest: ... to lend (money) at interest. verb (used without object)

•Foreclosure

the action of taking possession of a mortgaged property when the mortgagor fails to keep up their mortgage payments. "assistance for mortgage borrowers facing foreclosure"

Liquidity

the availability of liquid assets to a market or company. •liquid assets; cash. •a high volume of activity in a market.

• Bankruptcy

the state of being bankrupt. "many companies were facing bankruptcy" synonyms: insolvency, liquidation, failure, ruin, financial ruin, collapse, receivership

Liability

the state of being responsible for something, especially by law.

Money supply

the total amount of money in circulation or in existence in a country.