BPA Banking and Finance
Federal reserve system - ANSWER(WW) 1913 , independent agency in the federal
executive branch. Established under the Federal Reserve Act of 1913, the Federal
Reserve System ("Fed") is the central bank of the United States. One of the most
powerful agencies in the government, it makes and administers policy for national credit
and monetary policies. The Fed supervises and regulates bank functions across the
country, thus maintaining a sound and stable banking industry, able to deal with a wide
range of domestic and international financial demands
net pay - ANSWERAmount of income left after taxes and deductions have been taken
out.
gross pay - ANSWERAmount of salary or wages earned for a certain period of time
before deductions are withheld.
collateral - ANSWERA security pledged for the repayment of a loan.
deductions - ANSWERAn amount of money taken from your paycheck every payday
(usually for things such as federal and state income taxes, employment taxes, social
security taxes, workers compensation coverage, and health insurance payments)
liabillities - ANSWERrepresents amounts owed to creditors; creditors claims (obligations
or debts of the business) on total assets for resources or services provided to the
business in the past
credit scores - ANSWERComputer-generated analysis of factors characteristic or
indicative of repayment; the most common one was developed by Fair; Isaac and
Company (FICO)
bank regulator - ANSWERentry, branching, type of assets and liabilities permitted,
financial services that could be offered, interest. rates that could be paid on deposits.
five cs of credit - ANSWERCRITERIA LENDERS AND INVESTORS USE TO
EVALUATE THE CREDITWORTHINESS OF ENTREPRENEURS SEEKING
FINANCING: CAPITAL, CAPACITY, COLLATERAL, CHARACTER, AND CONDITIONS
credit unions - ANSWERA financial institution owned by its members that provides
savings and checking accounts and other services to its membership at low fees.
truth in lending act - ANSWERAn act which requires lenders to inform borrowers of all
direct, indirect and true costs of credit.
reserve requirment - ANSWERa Central bank regulation that sets the minimum
reserves each Commercial bank must hold to customer deposits and notes i.e the
amount that the bank surrenders with the central bank.
, BPA Banking and Finance
annualcreditreport.com - ANSWERWhat is the name of the official government
approved website to get a free credit report?
savings account - ANSWERA safe, low-return investment available from banks. There
is generally no minimum deposit for this type of account, making it perfect for kids and
teens just starting out.
checking account - ANSWERA bank account against which the depositor can drawn
checks payable on demand
certificates of deposit - ANSWERyou are loaning a bank money for a set period of time
and getting interest in return.
annuity - ANSWERForm of contract sold by life insurance companies that guarantees a
fixed or variable payment to the annuitant at some future time, usually retirement. In a
FIXED ANNUITY the amount will ultimately be paid out in regular installments varying
only with the payout method elected. In a VARIABLE ANNUITY, the payout is based on
a guaranteed number of units; unit values and payments depend on the value of the
underlying investments. All earnings in the annuity grow TAX-DEFERRED.
mutual fund - ANSWERA group of financial investments often of a specific kind or
category, managed by professionals, with many individual or institutional investors.
bank teller - ANSWERWorker who handles bank deposits and withdrawals, sell
traveler's checks and foreign currency, accept loan payments, prepare certified checks
or money orders, and may handle other duties.
overdraft - ANSWERA check written for more money than your account contains
arrears - ANSWER(n.,pl.) unpaid or overdue debts; an unfinished duty
affinity card - ANSWERa credit card that promotes an organization's brand each time a
cardholder uses it
access check - ANSWERlooks like regular checks; supplied by the credit card company
and, when written, are treated like a purchase
cashier's check - ANSWERCheck purchased at a bank or other financial institution.
Frequently required form of payment (as opposed to a personal check).
personal credit - ANSWERCredit used by individuals such as yourself (Ex: your parents
using a credit card to purchase you a new pair of shoes)
bankruptcy - ANSWERA judicial procedure that allows a debtor to deal with a personal
financial situration that has become unmanageable. Under Chapter 11 a borrower is
usually allowed to keep possession of the property.
Federal reserve system - ANSWER(WW) 1913 , independent agency in the federal
executive branch. Established under the Federal Reserve Act of 1913, the Federal
Reserve System ("Fed") is the central bank of the United States. One of the most
powerful agencies in the government, it makes and administers policy for national credit
and monetary policies. The Fed supervises and regulates bank functions across the
country, thus maintaining a sound and stable banking industry, able to deal with a wide
range of domestic and international financial demands
net pay - ANSWERAmount of income left after taxes and deductions have been taken
out.
gross pay - ANSWERAmount of salary or wages earned for a certain period of time
before deductions are withheld.
collateral - ANSWERA security pledged for the repayment of a loan.
deductions - ANSWERAn amount of money taken from your paycheck every payday
(usually for things such as federal and state income taxes, employment taxes, social
security taxes, workers compensation coverage, and health insurance payments)
liabillities - ANSWERrepresents amounts owed to creditors; creditors claims (obligations
or debts of the business) on total assets for resources or services provided to the
business in the past
credit scores - ANSWERComputer-generated analysis of factors characteristic or
indicative of repayment; the most common one was developed by Fair; Isaac and
Company (FICO)
bank regulator - ANSWERentry, branching, type of assets and liabilities permitted,
financial services that could be offered, interest. rates that could be paid on deposits.
five cs of credit - ANSWERCRITERIA LENDERS AND INVESTORS USE TO
EVALUATE THE CREDITWORTHINESS OF ENTREPRENEURS SEEKING
FINANCING: CAPITAL, CAPACITY, COLLATERAL, CHARACTER, AND CONDITIONS
credit unions - ANSWERA financial institution owned by its members that provides
savings and checking accounts and other services to its membership at low fees.
truth in lending act - ANSWERAn act which requires lenders to inform borrowers of all
direct, indirect and true costs of credit.
reserve requirment - ANSWERa Central bank regulation that sets the minimum
reserves each Commercial bank must hold to customer deposits and notes i.e the
amount that the bank surrenders with the central bank.
, BPA Banking and Finance
annualcreditreport.com - ANSWERWhat is the name of the official government
approved website to get a free credit report?
savings account - ANSWERA safe, low-return investment available from banks. There
is generally no minimum deposit for this type of account, making it perfect for kids and
teens just starting out.
checking account - ANSWERA bank account against which the depositor can drawn
checks payable on demand
certificates of deposit - ANSWERyou are loaning a bank money for a set period of time
and getting interest in return.
annuity - ANSWERForm of contract sold by life insurance companies that guarantees a
fixed or variable payment to the annuitant at some future time, usually retirement. In a
FIXED ANNUITY the amount will ultimately be paid out in regular installments varying
only with the payout method elected. In a VARIABLE ANNUITY, the payout is based on
a guaranteed number of units; unit values and payments depend on the value of the
underlying investments. All earnings in the annuity grow TAX-DEFERRED.
mutual fund - ANSWERA group of financial investments often of a specific kind or
category, managed by professionals, with many individual or institutional investors.
bank teller - ANSWERWorker who handles bank deposits and withdrawals, sell
traveler's checks and foreign currency, accept loan payments, prepare certified checks
or money orders, and may handle other duties.
overdraft - ANSWERA check written for more money than your account contains
arrears - ANSWER(n.,pl.) unpaid or overdue debts; an unfinished duty
affinity card - ANSWERa credit card that promotes an organization's brand each time a
cardholder uses it
access check - ANSWERlooks like regular checks; supplied by the credit card company
and, when written, are treated like a purchase
cashier's check - ANSWERCheck purchased at a bank or other financial institution.
Frequently required form of payment (as opposed to a personal check).
personal credit - ANSWERCredit used by individuals such as yourself (Ex: your parents
using a credit card to purchase you a new pair of shoes)
bankruptcy - ANSWERA judicial procedure that allows a debtor to deal with a personal
financial situration that has become unmanageable. Under Chapter 11 a borrower is
usually allowed to keep possession of the property.
