Canadian Financial, Real Estate and Mortgage Glossary

e-cheque — Definition

An electronic version of a paper cheque. The account holder writes an e-cheque using a computer or other type of electronic device and transmits the e-cheque to the payee electronically. Like paper cheques, e-cheques are signed by the payer and endorsed by the payee. Rather than handwritten or machine-stamped signatures, however, e-cheques are affixed with digital signatures, using a combination of smart cards and digital certificates. The payee deposits the e-cheque, receives credit, and the payee's bank clears the e-cheque to the paying bank. The paying bank validates the e-cheque and then charges the cheque writer's account.

early closing cost reimbursement — Definition

Some line-of-credit lenders waive underwriting costs when a line is opened in anticipation of future profits. If a line is then closed early, these institutions impose those fees retroactively.

early occupancy — Definition

A condition in which the seller allows the buyer to move in before the sale is closed.

early termination charge — Definition

Charges that the leasee must pay if the car is turned in early before the term of the lease is over.

early withdrawal penalty — Definition

A depositor forfeits interest or is charged a service fee for either withdrawing funds or closing a time deposit before the maturity date.

earned income — Definition

Money earned through wages, salaries, tips, net earnings (if self-employed), and any other income received for work or personal services. Investment income, such as dividends and interest, is not counted as earned income.

earned income tax (EIT) — Acronym

earned premium (EP) — Definition

The amount of premiums that an insurer has collected from an insurance policy at a given time.

earnest money deposit (EMD) — Definition

Money given by a buyer when making a formal offer to demonstrate that the buyer is serious. Also called a deposit.

  ➥  A down payment.

earnings before interest and taxes (EBIT) — Acronym

earnings before interest, taxes, depreciation and amortization (EBITDA) — Acronym

earnings per share (EPS) — Acronym

  ➥  A measurement of company performance.

easement — Definition

Giving persons other than the owner access to or over a property.

economic growth — Definition

The rate of change in output from one year to the next.

economic indicators — Definition

Statistics that help determine how the economy is faring. They include the Consumer Price Index, housing starts, and unemployment rates, among others.

economic internal rate of return (EIRR) — Acronym

economic rate of return (ERR) — Acronym

Edmonton Real Estate Board (EREB) — Company Est.1927, Edmonton, Alberta, Canada

  ➥  In 2007 the EREB changed its name to the REALTORS® Association of Edmonton.

Education Property Tax Credit (EPTC) — Manitoba, Canada

  ➥  Property tax credit offer to residents in Manitoba.

Education Savings Plan (ESP) — Canada

A savings vehicle used to save for a child's post-secondary education.

  ➥  Offers tax-free earnings.

educational assistance payment (EAP) — Acronym

A payment from an RESP to assist a beneficiary in covering expenses associated with post-secondary education.

effective age — Definition

An appraiser's estimate of the physical condition of a building. The actual age of a building may be shorter or longer than its effective age.

effective gross income (EGI) — Acronym

effective gross income multiplier (EGIM) — Acronym

effective interest rate (EIR) — Acronym

Effort Trust Company — Company Est.1978, Canada-wide, Important

  ➥  A Canadian NHA approved mortgage lender that offers all lending types, including both residential single family and multi-unit mortgages.

eft/pos — Definition

Electronic funds transfer (EFT) at the point of sale (POS).

electronic cash — Definition

Also known as e-cash. A system used to transfer cash over the Internet to pay for goods and service.

electronic commerce — Definition

The purchase or sale of products and services through an electronic system such as the Internet.

electronic data interchange (EDI) — Definition

EDI is a system that companies use to exchange business information electronically, virtually eliminating paperwork.