by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry
Update Table of Contents What is Behavior-Based Repricing?How Does Behavior-Based Repricing Work?Behavior-Based Pricing and the Card Act What is Behavior-Based Repricing?Behavior-based repricing is a pricing model that credit card companies use to attach interest...
by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry
Update Table of Contents What is an All-In-One Mortgage?How Does an All-In-One Mortgage Work?Drawbacks of All-in-One mortgageWhat is a Mortgage Refinancing? What is an All-In-One Mortgage?An all-in-one mortgage is a loan that allows for the combination of mortgage and...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is the Replacement Chain Method?The replacement chain method compares two or more mutually exclusive capital proposals that possess unequal lives. This method is used in capital budgeting to rank capital projects with unequal life spans. When using the...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is a Private Finance Initiative?A private finance initiative (PFI) is a method of financing public projects in which private firms receive contracts to complete public projects. PFI is a form of public-private partnerships whereby funds needed to complete public...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Pushing On A String?Pushing on a string is a metaphorical expression that states that influence is more effective when it works in one direction. In macroeconomics, pushing on a string is a strategy that reduces the effect of the central banks and the monetary...
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...
by TheBusinessProfessor | Feb 23, 2025 | Business Taxation
What is an Excess Accumulation Penalty?Excess accumulation penalty is a penalty that the Internal Revenue Service imposes on the owner of a retirement account or beneficiary when they fail to withdraw the minimum amount from the retirement account due for a year....
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...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Full-Service Broker?A licensed broker-dealer or brokerage firm that provides a large number of services for clients and offers a wide range of products is a full-service broker. This broker executes large trades for clients and offers services such as tax...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is Hedonic Pricing?Hedonic pricing is a pricing model that gives consideration to non-market characteristics and external factors with respect to how they affect market prices. Hedonic pricing recognizes that the market prices of goods are determined by both...
