Asset-Liability Committee – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is an Asset-Liability Committee?What Does an Asset-Liability Committee Do?Liquidity Policy GuidelinesExample of Asset-Liability Committee What is an Asset-Liability Committee?An asset-liability committee (ALCO) is a committee that handles...

Balance-to-Limit Ratio – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is a Balance-To-Limit Ratio?How Does a Balance-To-Limit Ratio Work? What is a Balance-To-Limit Ratio?A Balance-to-limit ratio is a ratio used in the calculation of the credit scores of borrowers. This ratio compares the amount of credit...

Air Loan – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is an Air Loan?How Does an Air Loan Work?Air Loans vs. Other Fraud Schemes What is an Air Loan?An air loan is a type of mortgage fraud that occurs in the financial world. Through an air loan, mortgage brokers defraud or extract money...

Vostro Account – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is a Vostro Account?How Does a Vostro Account Work?Vostro Accounts in an Agency RelationshipVostro Accounts in an Intermediate Relationship What is a Vostro Account?A Vostro account is an account that a domestic bank often called a...

Issuer Identification Number – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is an Issuer Identification Number?How Does an Issuer Identification Numbers Work?Common Issuer Identification NumbersIINs Versus Payment Card Numbers What is an Issuer Identification Number?The issuer identification number (IIN) is a...

Asian Infrastructure Investment Bank – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is the Asian Infrastructure Investment Bank?How Does the Asian Infrastructure Investment Bank Work?The History of the Asian Infrastructure Investment BankThe Structure of the Asian Infrastructure Investment BankAsian Infrastructure...