An affinity card is a credit card issued to members of a specific group, such as a club or college, or to supporters of a certain charity. The credit card company donates a portion of each transaction to the affiliated organization.
Allfinanz, also known as bancassurance, is the partnership or collaboration between a bank and an insurance company, allowing the insurance company to sell its products to the bank's client base.
An individual who receives payments from an annuity, a financial product that provides income streams at specified intervals, typically as a retirement tool.
A Change of Beneficiary Provision allows the policyholder to alter the beneficiary designated to receive the benefits from a financial product such as life insurance or retirement accounts.
A type of annuity contract where payments to the annuitant are postponed until a specified number of periods have elapsed, or until the annuitant reaches a certain age. Also known as a deferred annuity.
Euribor is the rate of interest at which banks within the Eurozone lend to one another. It's crucial for determining interest rates for various financial products throughout the region.
Any organization whose core activity is to provide financial services or advice in relation to financial products. Financial institutions include state bodies, such as central banks, and private companies, such as banks, building societies, and financial markets.
A front-end load is an initial sales charge or commission incurred by an investor when buying a financial product, used to cover administration fees and agent commissions.
Interest sensitive policies are a newer generation of life insurance policies that are credited with interest currently being earned by insurance companies on these policies, ensuring that policyholders can potentially benefit from favorable economic conditions.
An annuity that provides payments to two or more beneficiaries, typically a husband and wife. When one of the annuitants passes away, the survivor continues to receive annuity payments; however, the payments made to the deceased are not transferred to the survivor.
An annuity that makes a guaranteed fixed payment for the rest of the life of the annuitant. After the annuitant dies, the beneficiaries receive no further payments.
A multi-tied adviser is a type of financial advisor who represents several financial institutions and can offer products from a limited range of providers.
Open-End Credit is a revolving line of credit offered to consumers by banks, savings and loans, and other lenders, allowing for repeated borrowing up to a specified limit.
A series of equal or nearly equal payments made at the end of each equally spaced period. An ordinary annuity is commonly used in financial products like mortgages, leases, bonds, and retirement accounts.
A life insurance policy in which all premiums have been paid. These policies require premium payments for a limited number of years, and once all premiums have been paid, the policy is considered fully funded and requires no more payments. The policy remains active until the insured dies or cancels the policy.
A type of mortgage commonly used in Canada in which the amortization of the principal is based on a long term, but the interest rate is established for a much shorter term. The loan may be extended, or rolled over, at the end of the shorter term at the current market interest rate.
A tied adviser refers to a financial adviser who is connected to a single institution or a limited number of financial institutions, limiting the range of products and services they can offer.
