Terms used in banking such as Annual Percentage Rate, Annuity, Appraisal, APEDA etc


The terms used in banking such as Annual Percentage Rate, Annuity, Appraisal, APEDA etc.


This post explains about terms used in banking such as Affidavit,Affinity debit card, Amalgamation,Amortization,American Stock Exchange,Annual Percentage Rate,Annuity,Appraisal,APEDA etc.These terms used in international business are arranged in alphabetical order and you may add more information about terms used in export business at the end of this article, if you wish.


The terms used in banking business


AER: Annual earnings rate on an investment.


AEZs: Agricultural Export Zones

Affidavit: A sworn statement in writing before a proper official, such as a notary public.

The terms used in banking such as Annual Percentage Rate, Annuity, Appraisal, APEDA etcAffidavit:A written statement, sworn to be true by the person signing it, before someone authorized by court of law.

affinity card -- A credit card offered by a lending institution in partnership with another institution. These cards are also known as co-brand cards, because both institutions lend their branding to the card.

Affinity debit card:Affinity debit cards have all of the same benefits as the standard Bank of America debit card. Bank of America has many affinity debit card designs, which are available with eligible checking accounts.

Agent Bank: A participating bank in a syndicated loan that handles all the operations and deals with the borrower on behalf of the members of the syndicate.

Agent: Executes an order for or acts on behalf of someone else, the principal. The agent, whether a firm or an individual, is subject to the control of the principal and does not have title to the principal's property. The agent may charge a fee orcommission for this service.

AIDB: All India Development Bank

AIFI:All India Financial Institution

ALCO: Asset-Liability Management Committee (ALCO) is a strategic decision making body, formulating and overseeing the function of asset liability management (ALM) of a bank.

ALCO: Asset-Liability Management Committee.

All or None (AON): An all or none order requires that none of the order be executed unless all of it can be executed at the specified price. An AON order usually involves an offering of new securities.

ALM: Asset Liability Management (ALM) is concerned with strategic balance sheet management involving all market risks. It also deals with liquidity management, funds management, trading and capital planning.

ALM:Asset/ liability management involves a set of techniques to create value and manage risks in a bank.

Alteration: Any change involving an erasure or rewriting in the date, amount, or payee of a check or other negotiable instrument.

Amalgamation:It means ‘merger’. As and when necessity arises two or more companies are merged into a large organisation. This merger takes place in order to effect economies, reduce competition and capture market. The old firms completely lose their identity when the merger takes place.

AMC:Asset Management Committee

American Depository Receipt (ADR):A certificate registered in the holder’s name or as a bearer security giving title to a specified number of shares in a non-US-based company deposited in a bank outside the USA. These certificates are traded on US stock exchanges.

American option: An option that can be exercised on or any time before the date of expiry.

American Stock Exchange: A leading securities exchange located in New York City. Also called AMEX or ASE.

Amortization of Premium: The periodic charges made against the interest received on bonds in order to offset any premium price paid for the bonds.

Amortization: Amortization is the time required to repay a loan (or other liability) in gradual installments.

Amortization: The gradual reduction of a debt by means of equal periodic payments sufficient to meet current interest charges and to pay off the debt at maturity.

Amortization:Process of full payment of debt in installments of principal and earned interest over a definite time.

Amount at risk:Balance of the sum payable not covered by reserves, potentially falling on the net worth (net assets) of the company.

annual fee -- A yearly fee charged to a customer to participate in an open-ended credit program.

Annual Fee: An amount charged for something once a year. For instance, many credit cards have an annual fee that you must pay once a year to keep a card active.

annual percentage rate (APR) -- The cost of credit expressed as a yearly rate. APR is a percentage that results from an equation considering the amount financed, the finance charges, and the term of the loan.

Annual Percentage Rate (APR): The cost of borrowing money over one year, including interest charges.

Annual Percentage Rate (APR): The cost of credit on a yearly basis, expressed as a percentage.

Annual percentage rate: The APR is the cost per year of a debt such as a loan, including the nominal interest rate and any related fees, expressed as a percentage of the principal owed. It’s an important figure to understand because it represents the actual yearly cost of borrowing money.

Annual percentage yield (APY):The total amount of interest paid by the bank on your deposit account (checking, savings, CDs, IRAs) during the year. Includes both interest paid on the amount held in the account, as well as compounded interest for the year.

Annual percentage yield: The APY is the interest earned annually on a savings or investment account, including the effects of compounding. The quoted APY tells you how much you’re really making on your money. For example, $10,000 in savings earning a nominal 4% a year would provide a 4.08% APY with daily compounding, according to this calculator.

Annuity : A life insurance product which pays income over the course of a set period. Deferred annuities allow assets to grow before the income is received and immediate annuities (usually taken from a year after purchase) allow payments to start from about a year after purchase.

Anti-virus software - consists of computer programs which attempt to identify, thwart and eliminate computer viruses and other malicious software (malware). Anti-virus software is only as effective as the last update. You should download the latest anti-virus software and signatures regularly from your preferred supplier.

Anytime Banking: With introduction of ATMs, Tele-Banking and internet banking, customers can conduct their business anytime of the day and night. The 'Banking Hours' is not a constraint for transacting banking business.

Anywhere Banking : Refers to banking not only by ATMs, Tele-Banking and internet banking, but also to core banking solutions brought in by banks where customer can deposit his money, cheques and also withdraw money from any branch connected with the system. All major banks in India have brought in core banking in their operations to make banking truly anywhere banking.

APEDA: Agricultural and Processed Food Products Exports Development Authority.

Application: Under the Equal Credit Opportunity Act (ECOA), an oral or written request for an extension of credit that is made in accordance with the procedures established by a creditor for the type of credit requested.

Appraisal: The act of evaluating and setting the value of a specific piece of personal or real property.

Appreciation:Appreciation means an increase in the value of something e.g., stock of raw materials or manufactured goods. It also includes an increase in the traded value of a currency. It is the antonym of Depreciation. When the prices rise due to inflation, appreciation may occur. It causes scarcity or increase in earning power.

The above details describes about terms called in banking such as Affidavit,Affinity debit card, Amalgamation,Amortization,American Stock Exchange,Annual Percentage Rate,Annuity,Appraisal,APEDA etc.These phrases may help importers and exporters on their day to day business activities. The readers can also add more information about terms used in overseas trade below this post.The terms used in banking business such as as Adjustable Rate Mortgages,adjusted balance,Administered Price,Advance Refunding etc.


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