4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
BTEC National Level 3 Business Unit 3 Personal and Business
Finance
Car insurance
A requirement to drive on UK roads, but can be third party
Pet insurance
Covers the cost of veterinary treatment, but not a requirement
Health Insurance
Insurance that supports your medical condition, but not a requirement
Travel Insurance
Covers multiple factors when abroad
Life Insurance
Help to cover family if you die
Home and Contents insurance
Protects your belongings and infrastructure
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,4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Credit Cards
Borrow money to be repaid later.
Overdraft
The ability to withdraw money that you do not have from a current account.
Hire purchase
This allows you to have use of an item immediately but pay for it in regular
instalments.
Payday Loan
This is a short term source of finance used to bridge the gap between now
and next receiving a wage.
Personal Loan
A loan granted for personal, family or household purposes
Mortgage
When the bank lends you money but you have to pay it back plus the interest
on the mortgage
Cash
Money that is physical in either paper or coins
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,4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Cheque
A written, dated, and signed instrument that contains an unconditional
order from the drawer that directs a bank to pay a definite sum of money to
a payee.
Debit Card
Money that you currently own in the bank.
Electronic Transfer
Money from one bank account to another using a computer-based system
without the need of bank staff
Direct Debit
An arrangement made with a bank that allows a third party to transfer money
from a person's account on agreed dates
Standing order
A way of setting up a regular, fixed payment from your bank account
Prepaid Card
Your money but has to be repaid but with the ability to set a spending limit
according to your budget
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, 4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Contactless Card
A regular card but with RFID or NFC wireless communication
Charge Card
Money that has to be repaid but with added perks and strict repayment plans
Store card
A card that you can receive benefits from but can only be spent in specific
stores within the business
Mobile Banking
A service provided by the bank that gives you access to your account
through a mobile phone
BACS (Bankers' Automated Clearing Services)
A way of transferring money from one account to another
Faster Payment Service
A reduction of time it takes for a payment to process
ht… 4/34
BTEC National Level 3 Business Unit 3 Personal and Business
Finance
Car insurance
A requirement to drive on UK roads, but can be third party
Pet insurance
Covers the cost of veterinary treatment, but not a requirement
Health Insurance
Insurance that supports your medical condition, but not a requirement
Travel Insurance
Covers multiple factors when abroad
Life Insurance
Help to cover family if you die
Home and Contents insurance
Protects your belongings and infrastructure
ht… 1/34
,4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Credit Cards
Borrow money to be repaid later.
Overdraft
The ability to withdraw money that you do not have from a current account.
Hire purchase
This allows you to have use of an item immediately but pay for it in regular
instalments.
Payday Loan
This is a short term source of finance used to bridge the gap between now
and next receiving a wage.
Personal Loan
A loan granted for personal, family or household purposes
Mortgage
When the bank lends you money but you have to pay it back plus the interest
on the mortgage
Cash
Money that is physical in either paper or coins
ht… 2/34
,4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Cheque
A written, dated, and signed instrument that contains an unconditional
order from the drawer that directs a bank to pay a definite sum of money to
a payee.
Debit Card
Money that you currently own in the bank.
Electronic Transfer
Money from one bank account to another using a computer-based system
without the need of bank staff
Direct Debit
An arrangement made with a bank that allows a third party to transfer money
from a person's account on agreed dates
Standing order
A way of setting up a regular, fixed payment from your bank account
Prepaid Card
Your money but has to be repaid but with the ability to set a spending limit
according to your budget
ht… 3/34
, 4/11/26, 10:10 PM BTEC National Level 3 Business Unit 3 Personal and Business Finance
Contactless Card
A regular card but with RFID or NFC wireless communication
Charge Card
Money that has to be repaid but with added perks and strict repayment plans
Store card
A card that you can receive benefits from but can only be spent in specific
stores within the business
Mobile Banking
A service provided by the bank that gives you access to your account
through a mobile phone
BACS (Bankers' Automated Clearing Services)
A way of transferring money from one account to another
Faster Payment Service
A reduction of time it takes for a payment to process
ht… 4/34
