Author Archives: Gopika

What Is Personal Finance? Individual budget is a term that covers dealing with your cash as well as saving and effective financial planning. It includes planning, banking, protection, contracts, speculations, retirement arranging, and expense and domain arranging. The term frequently alludes to the whole business that offers monetary types of assistance to people and familiesContinue reading “PERSONAL FINANCE”

Meaning of Forwards (or Forward Contracts) A forward contract (or simply forward) is the simplest and oldest form of derivatives A forward is an agreement between two parties to buy or sell an asset at a future date at a price agreed today. So, in forward contracts, the date, the price and the quantity areContinue reading “TERMS USED IN FORWARDS”

Financial Services The savings and investment in an economy play a dominant role in the economic development of a country as these determine the flow of capital for production of goods and services in the economy. The surplus savings of the household sector form the core of finance. The savers do not lend directly toContinue reading “FINANCIAL SERVICES”

Rights and Responsibilities : Current Accounts Some time back a peruser portrayed his ‘terrible involvement in’ a bank. His Savings Bank (SB) account was unexpectedly handicapped for exchanges by the bank. Indeed, even as he raised his voice against the ‘erratic’ move, the bank requested that he uncover the wellspring of a progression of exchangesContinue reading “RIGHTS & RESPONSIBILITIES OF CURRENT ACCOUNT”

What is Swaps? In case of forwards, futures and options, a particular quantity of specified assets are to be exchanged for a specified cash payment. But in case of swap, cash flow is to be exchanged for cash flow. One company may be paying fixed rate of interest on loan. But it prefers floating rate.Continue reading “SWAPS”

What is Doorstep Banking? Under the scheme, banks were permitted to offer doorstep services such as pick up of cash/instruments, delivery of cash against cheques received at the counter and delivery of demand drafts to corporates/Government departments/ PSUS and pick up of cash/ instruments and delivery of demand drafts to individual customers. In May 2007,Continue reading “DOORSTEP BANKING”

E-purse An electronic purse or e-purse is a stored value or prepaid product in which a record of the funds or value is stored on an electronic device which is in the consumers’ possession and is available to the consumer for multipurpose use. The loading of value onto the device is akin to the withdrawalContinue reading “E – PURSE”

Options Forwards and futures can be used to hedge against adverse movements in asset prices. This is the major advantage of these financial instruments. However, these derivatives do not give chance to get the benefits that may accrue due to favourable movements in asset prices. The reason for this is that the firm is underContinue reading “OPTIONS”

What Is an Overdraft Cap?An overdraft cap is the greatest dollar limit that a bank might ship off another monetary organization (FI) in one day. The cap compels the sum a bank can overdraw its Federal Reserve record to make Fedwire installments, a constant gross repayment (RTGS) arrangement of national bank cash utilized by FederalContinue reading “OVERDRAFT CAP”

Five Types Of Mortgages Standard mortgagesThese are credits not upheld by the central government, meaning you are helpless before the business sectors to track down a bundle that suits you. They can be parted into adjusting and non-adjusting advances. Adjusting advances are expected to fulfill the norms set up by the Federal Housing Finance AgencyContinue reading “DIFFERENCE BETWEEN 5 TYPES OF MORTGAGES”