Account— A periodical record of individual/household income, expenses, assets and liabilities.
Allocation— Distribution of resources (money) as per plan/budget.
Allowance—Pocket money, a portion of money allotted or granted to someone.
Asset—Something of value, that can be exchanged for cash generally with a profit.
Asset Allocation—It refers to how an investor distributes investments among different asset classes.
ATM Card—ATM card or bank card issued by the bank where you hold an account. It allows holder to transact on his/her account through an ATM machine—deposit, withdraw, check balance, get mini statement.
Bond—A debt investment channel, a proof of loan issued by the borrower (generally government or companies) to the lender, with specific terms on interest, loan period.
Borrowing—To receive something from somebody with an intent to return it, generally with interest.
Budget—A plan of how income would be used for spending and saving.
Capital—The original amount invested.
Cost of Living—is the cost to maintain your certain standard of living.
Credit—A system that allows payments for purchase to be made on a later date, either in full or in installments.
Credit card—A plastic card issued by a bank that allows the holder to make purchase on credit through the bank. In this, the credit card company (bank) pays for the purchase and the card holder pays the bank later, collectively for all the purchases made on credit for a month.
Debit card—A plastic card that allows an alternative to cash payment. In this the payment is made upfront through the card holder’s bank account.
Debt—Something that is owed.
Deductions—The amount which is subtracted as in from salary or from taxable income based on the provisions.
Deposit slip—A written note accompanying cash/cheque deposit in a bank account.
Diversification—Spreading investments across asset classes to minimize risks and maximize returns
Dividend—Payments made by companies to the shareholders representing their share in the company’s profits.
Electronic transactions—Electronic payments by card (credit/debit) not involving physical transfer of currency.
EMI/ Equated Monthly Installments—Loan repayment in equal monthly installments. ESOP (Employee Stock Option Program)—The program through which an employee is generally given share in the company’s capital after a certain length of employment with the company.
Equity—Ownership participation equivalent to one’s investment in a company through stock/shares.
Expenses—Outflow of money/cause of spending money.
FD—Fixed deposit is an account with a bank/post office that allows money to be deposited by the account holder and withdrawn at the end of a fixed term along with interest on it.
Fixed Rate of Interest—Interest on home loan that stays at a predetermined rate throughout the loan term.
Floating Rate of Interest—Variable or adjustable rate of interest that can vary through the term of debt—loan/ bond depending upon the market conditions
Income—Inflow of money/money received in the form of salary, profits, fees, dividend/interest.
Inflation—An increase in general level of prices/cost of living.
Installment—Portion of debt payable at certain specified times.
Insurance—A method of transferring financial risk of an uncertain event.
Insurance Policy—A plan/course of action that specifies the insurance terms, premium installments, claim procedure.
Interest—Price paid for borrowing money or that received for lending money.
Interest Rate—The percentage of amount of money charged per year for its use.
Investment—Use of resources/money in expectation of profit/more money from it.
Liability—An obligation/debt or responsibility owed to someone, a disadvantage
Loan—An arrangement with a lending agency to borrow money on certain repayment terms
Maturity—A term indicating date of repayment of principal and interest.
Mutual Fund—A professionally managed investment scheme that pools money from many investors and invests in investment channels as per the fund’s investment objective.
Net Worth—A total of assets minus total of liabilities can be considered as an individual’s wealth or net worth.
NSC/National Savings Certificate—A long term safe investment and tax saving option issued by Government of India’s Department of Post.
PAN (Permanent Account Number) is a national identification number in India, issued by the Income tax department to all taxpayers with a taxable income.
Passbook—A book that keeps track of transactions in individual bank accounts.
Pay in Slip—see deposit slip.
PIN (Personal Identification Number) is a secret numeric password to access accounts through ATM.
RD/Recurring deposit—A systematic monthly investment plan in the form of deposit account, wherein you deposit a certain sum every month to get a lump sum on the maturity of the account.
Reserve—Savings/money reserved or kept aside for future use.
Retirement—An act of withdrawing from active employment.
Retirement Account/Fund—An account/fund that allows long term savings/investments for retirement. E.g., provident fund, pension scheme, etc. These also offer tax advantages.
Returns—Gain (or loss) from investment.
Risks—A possibility of a negative outcome, which has a potential to cause financial loss.
Saving—The practice of storing or putting aside money for future use.
Saving account—A bank or post office account that allows safe keeping of money and also earn interest.
Sharing—The act of helping someone in need by sharing one’s riches.
Stock/Shares—Part ownership in a company traded in stock markets
Take Home (Net) pay—The pay actually received by an employee after deducting taxes and provident fund contributions and after addingbonuses (if any).
Warranty—An undertaking that the product/service sold would be as per what’s promised/ declared by the seller. In the event the product/service fails to live up to the promise, the buyer would be entitled to a free repair/ replacement. Warranties are generally for limited period of time, and some may be limited to certain geographies only.
Withdrawal slip—A written document through which one can withdraw money from one’s account.
Allocation— Distribution of resources (money) as per plan/budget.
Allowance—Pocket money, a portion of money allotted or granted to someone.
Asset—Something of value, that can be exchanged for cash generally with a profit.
Asset Allocation—It refers to how an investor distributes investments among different asset classes.
ATM Card—ATM card or bank card issued by the bank where you hold an account. It allows holder to transact on his/her account through an ATM machine—deposit, withdraw, check balance, get mini statement.
Bond—A debt investment channel, a proof of loan issued by the borrower (generally government or companies) to the lender, with specific terms on interest, loan period.
Borrowing—To receive something from somebody with an intent to return it, generally with interest.
Budget—A plan of how income would be used for spending and saving.
Capital—The original amount invested.
Cost of Living—is the cost to maintain your certain standard of living.
Credit—A system that allows payments for purchase to be made on a later date, either in full or in installments.
Credit card—A plastic card issued by a bank that allows the holder to make purchase on credit through the bank. In this, the credit card company (bank) pays for the purchase and the card holder pays the bank later, collectively for all the purchases made on credit for a month.
Debit card—A plastic card that allows an alternative to cash payment. In this the payment is made upfront through the card holder’s bank account.
Debt—Something that is owed.
Deductions—The amount which is subtracted as in from salary or from taxable income based on the provisions.
Deposit slip—A written note accompanying cash/cheque deposit in a bank account.
Diversification—Spreading investments across asset classes to minimize risks and maximize returns
Dividend—Payments made by companies to the shareholders representing their share in the company’s profits.
Electronic transactions—Electronic payments by card (credit/debit) not involving physical transfer of currency.
EMI/ Equated Monthly Installments—Loan repayment in equal monthly installments. ESOP (Employee Stock Option Program)—The program through which an employee is generally given share in the company’s capital after a certain length of employment with the company.
Equity—Ownership participation equivalent to one’s investment in a company through stock/shares.
Expenses—Outflow of money/cause of spending money.
FD—Fixed deposit is an account with a bank/post office that allows money to be deposited by the account holder and withdrawn at the end of a fixed term along with interest on it.
Fixed Rate of Interest—Interest on home loan that stays at a predetermined rate throughout the loan term.
Floating Rate of Interest—Variable or adjustable rate of interest that can vary through the term of debt—loan/ bond depending upon the market conditions
Income—Inflow of money/money received in the form of salary, profits, fees, dividend/interest.
Inflation—An increase in general level of prices/cost of living.
Installment—Portion of debt payable at certain specified times.
Insurance—A method of transferring financial risk of an uncertain event.
Insurance Policy—A plan/course of action that specifies the insurance terms, premium installments, claim procedure.
Interest—Price paid for borrowing money or that received for lending money.
Interest Rate—The percentage of amount of money charged per year for its use.
Investment—Use of resources/money in expectation of profit/more money from it.
Liability—An obligation/debt or responsibility owed to someone, a disadvantage
Loan—An arrangement with a lending agency to borrow money on certain repayment terms
Maturity—A term indicating date of repayment of principal and interest.
Mutual Fund—A professionally managed investment scheme that pools money from many investors and invests in investment channels as per the fund’s investment objective.
Net Worth—A total of assets minus total of liabilities can be considered as an individual’s wealth or net worth.
NSC/National Savings Certificate—A long term safe investment and tax saving option issued by Government of India’s Department of Post.
PAN (Permanent Account Number) is a national identification number in India, issued by the Income tax department to all taxpayers with a taxable income.
Passbook—A book that keeps track of transactions in individual bank accounts.
Pay in Slip—see deposit slip.
PIN (Personal Identification Number) is a secret numeric password to access accounts through ATM.
RD/Recurring deposit—A systematic monthly investment plan in the form of deposit account, wherein you deposit a certain sum every month to get a lump sum on the maturity of the account.
Reserve—Savings/money reserved or kept aside for future use.
Retirement—An act of withdrawing from active employment.
Retirement Account/Fund—An account/fund that allows long term savings/investments for retirement. E.g., provident fund, pension scheme, etc. These also offer tax advantages.
Returns—Gain (or loss) from investment.
Risks—A possibility of a negative outcome, which has a potential to cause financial loss.
Saving—The practice of storing or putting aside money for future use.
Saving account—A bank or post office account that allows safe keeping of money and also earn interest.
Sharing—The act of helping someone in need by sharing one’s riches.
Stock/Shares—Part ownership in a company traded in stock markets
Take Home (Net) pay—The pay actually received by an employee after deducting taxes and provident fund contributions and after addingbonuses (if any).
Warranty—An undertaking that the product/service sold would be as per what’s promised/ declared by the seller. In the event the product/service fails to live up to the promise, the buyer would be entitled to a free repair/ replacement. Warranties are generally for limited period of time, and some may be limited to certain geographies only.
Withdrawal slip—A written document through which one can withdraw money from one’s account.