Few Important Banking Terms:- 1. Attachment: The act of seizing a debtors property and placing it under a courts control. 2. Amortization: The gradual elimination of a liability, such as loan, bg regular payments over a specified period of time. ex: EMIs. 3. Baloon payment: A large, lump-sum payment scheduled at the end of a series of considerably smaller periodic payments. 4. Bona fide: Any act done in good faith and is genuine. 5. Escrow account: A trust account held in the borrowers name to repay obligations such as borrowing. credits to the account are first appropriated to discharge the borrowers liability. 6. Probate: The review or testing of a will before a court of law to ensure that the will is authentic. 7. Sinking fund: A fund into which a company sets aside money over time, in order to retire its preferential shares, bonds or debentures. 8. Usance: The lenght of time allowed for the payment of a bill of exchange. 9. Right of recourse: The right to recover a bad debt. 10. Sans recourse: without liability to the endorser. The liability is soley that of drawee/acceptor.
Posted on: Tue, 11 Mar 2014 14:17:55 +0000