Glossary Index | Categories | Tagged Terms

Terms with Category Financial Banking

Letter of Credit -
Long-term Liabilities

Monthly Periodic Rate -
Notice of Assessment

Low-down-payment Loan — Definition,
- A mortgage where the borrower puts down a small amount and borrows a high percentage of the purchase price.
LPQ Amount — Definition,
- A term used by CanEquity which is short for Loan, Purchase or Qualification amount.
Lump Sum Payment — Definition,
- One-time single-sum payment or payout.
- An extra payment made to reduce a loan.
Macroeconomics — Definition,
- A study of the economy as a whole, particularly the interaction of its various components.
Manufacturer's Suggested Retail Price (MSRP) — Acronym,
- Stands for Manufacturer's Suggested Retail Price. It represents the manufacturer's recommended selling price for a vehicle and each of its options.
Margin — Definition,
- The difference between the cost and the selling price.
- Expressed as percentage points, the amount that a lender adds to an index to arrive at the final interest rate. For example, if the index is 9 percent and the margin 2.75 percent, the final interest rate is 11.75 percent.
Marital Deduction — Definition,
- For estate tax and gift tax purposes, a deduction that allows you to transfer assets to your spouse tax-free.
Market Conditions — Definition,
- Factors that affect the sales of homes in an area, such as interest rates, the unemployment rate, home appreciation, weather and time of year.
Market Value (MV) — Acronym, Important,
- Also known as "Fair Market Value." The estimated value of a property which a seller could expect to receive under normal conditions.
MasterCard (MC) — Acronym,
- A credit card issued by MasterCard International which is distributed by many financial institutions around the world. Card holders borrow money against a credit line and pay it back with interest if the balance is carried over from month to month.
Maturity — Definition,
- The date when the principal balance of a loan is due and payable to the lender. Also, the date when a bond pays off its principal.
Maturity Guarantee — Definition,
- A guarantee that after a certain date a contract, such as a life insurance policy or annuity, will have a minimum dollar value.
Meals and Entertainment (M&E) — Acronym,
- Deductible expenses in your business such as the cost of taking a client to a restaurant (meals) or a sporting event (entertainment). However, these expenses are only partially deductible (50 % in Canada).
Median Price — Definition,
- In a given area, the amount paid for a house in which half of the houses in that area sell for less and half sell for more.
Merged Credit Report — Definition,
- A summary of one's credit history from the big two credit bureaus: Equifax and Trans Union.
Microeconomics — Definition,
- Looking at the individual parts of the economy, with emphasis given to the market process and how it works.
Minimum Average Balance to Avoid Fees — Definition,
- The balance in the account from day-to-day must average this amount when calculated. If the account balance falls below this amount you will be subject to the monthly charge and/or per usage transaction charges.
Minimum Balance to Open an Account — Definition,
- The minimum initial deposit required to open a bank account.
Minimum Monthly Balance — Definition,
- The least amount of money in a bank account during an entire month.
Minimum Payment — Definition,
- The minimum amount a cardholder must pay to keep the account from defaulting. Some card issuers set high minimums if they are uncertain of the cardholder's ability to pay. Most card issuers require a minimum payment of three to five percent of the outstanding balance.
Mint Condition — Definition,
- A term describing a building or item that's just like new.
Mis-selling — Definition,
- The act of misleading a client into buying a product or service by deliberately misrepresenting the aforementioned product or service.
Mixed-income Housing — Definition,
- A neighbourhood whose residents earn widely varying wages and salaries.
Modification — Definition,
- A change in terms of the loan agreement.
Monetary Policy — Definition,
- The Bank of Canada's ability to influence the economy through changes in short-term interest rates and the money supply.
Monetary Value — Definition,
- A property's monetary value is its worth if sold at this moment in time.
Money Factor — Definition,
- A leasing term that expresses the cost of borrowing. It is similar to the interest rate paid on a conventional car loan, but it is expressed as a difficult-to-understand fraction. To convert the money factor to a recognizable interest rate, multiply it by 24. For example, a money factor of .00345 x 24 = 9 percent interest. The money factor is negotiable, and consumers who lease a new car should look for a money factor close to the current interest rate charged for new-car loans.
Money Laundering (ML) — Acronym,
- A process used by individuals to conceal illegally acquired funds by converting them into seemingly legitimate income. The term is generally associated with organized crime and those who need to legitimize illegally earned funds.
Money Market Account (MMA) — Acronym,
- A bank account that restricts the type and number of withdrawals. The account also earns interest similar to money market funds.
Money Market Mutual Fund (MMMF) — Acronym,
- A mutual fund that invests in short-term debt instruments such as Treasury bills, commercial paper, and large CDs. Also referred to as money market fund (MMF).