Many people are lost due to jargons used in the financial community and as feel very diconnected as it goes beyond the ones they are aquainted with.
The following are some financial terms used:
Domiciliary account
:It is unique bank account in a bank in which when you own,you will begin
to have direct access to foreign deposit meaning someone can transfer money from a foreign country to you seamlessly.
Overdraft:
This simply means that the bank is benevolent enough to allow you to still withdraw some amount of money even when you don't have sufficient funds to allow such withdrawals.
However this is a loan and it comes eith an initial fee doposit to allow access to this service.
Liquidity:
This rerers to difficulty level of which assest can be converted to money. some assets like shares are easy to convert into money however assets like landed properties may may require longer duration to be sold and coverted to money.
Routing number:This is an identification that explains the bank and location of the branch that hosts your account.This classification commands clarity a nd precision of transaction.
Money laundering Policy:
This is an enactment by financial organizations worldwide to block arrest and prosecute a persons or oersons who a have been suspected
to diguise money gained from illegal and fraudulent sources like drug trafficking,human trafficking, gambling and financial embezzlement to look like money garnered from honest sources.
Credit history
This means negative or positive attitude towards loan or loans that uou have obtained in the past moreso it uses asystem of assessment known as the credit score to rate your eligibility for loan.
Collateral:
Something of equal or or greater amount to the loan obtained owned by you or your guarantor which can be forfeited by a bank in case of failure to pay a loan as agreed by the customer or borrower.
Bank rate:
This is includes the amount of returns, and the time expected for a borrower to successfully return interest over money borrowed from a bank.
KYC (Know Your Customer):
It is a method of proofing account ownerships, it involves authentication of fingerprint and facial recognition of of a customer who inquires customer service from the bank.
Bank statement:
This is the database of transactions that occurs in a customer's account,it is accessible both by the bank and the customer.
Customer service:
It is unit in yhe bank that attends to all enquires fro customers snd potential customers.