Finance terms starting with F

141 terms

Face Amount The amount stated on the face of the policy that will be paid in case of death or at maturity.
Face value Face value, or par value, is the dollar value of a bond or note, generally $1,000.
FACT Act (Fair and Accurate Credit Transactions Act) Designed to help consumers check their credit reports for accuracy and detect identity theft early, the FACT Act gives every consumer the right to request…
Fair and Accurate Credit Transactions Act of 2003 (FACT Act,FACTA) The purpose of this Act is to help consumers protect their credit identities and recover from identity theft.
Fair Collection Practices Act A federal law supplemented by Maine law, which gives rules and regulations governing debt collectors. Federal Law: 15 U.S.C.§ 1601 et seq.
Fair Credit Reporting Act (FCRA) A Federal law, established in 1971 and revised in 1997, that gives consumers the right to see their credit records and correct any mistakes.
Fair Debt Collection Practices Act (FDCPA) The Fair Debt Collection Practices Act is a set of United States statutes added as Title VIII of the Consumer Credit Protection Act.
Fair Housing Act The Fair Housing Act makes it illegal to discriminate, in any phase of selling or renting real estate, against anyone on the basis of race, color…
Fair Market Value Fair market value is the price you would have to pay to buy a particular asset or service on the open market.
Fallen angel Corporate or municipal bonds that were investment-grade when they were issued but have been downgraded are called fallen angels.
Family of funds Many large mutual fund companies offer a variety of stock, bond, and money market funds with different investment strategies and objectives.
Fannie Mae Fannie Mae has a dual role in the US mortgage market. Specifically, the corporation buys mortgages that meet its standards from mortgage lenders around…
Fast market A fast market is one with heavy trading and rapidly changing prices in some but not necessarily all of the securities listed on an exchange or market.
FDM Common abbreviation for Financial Disclosure Management, the online program to electronically file and manage financial disclosure reports.
Federal Credit Union A credit union chartered, examined, and supervised by the federal government through NCUA.
Federal Credit Union Act Federal law enacted in June 1934 that allowed the organization of federal credit unions and established methods for their chartering, supervision, and…
Federal Deposit Insurance Corporation (FDIC) A government corporation that insures the deposits of all national and State banks that are members of the Federal Reserve System.
Federal Emergency Management Agency (FEMA) Federal agency responsible for the emergency evaluation and response to all disasters, natural and man-made.
Federal Financial Institutions Examination Council (FFIEC) also known as the Council. The Council is a formal interagency body empowered to prescribe uniform principles, standards, and report forms for the federal…
Federal funds When banks have more cash than they're required to in their reserve accounts, they can deposit the money in a Federal Reserve bank or lend it to another…
Federal Funds Rate The interest rate charged by banks with excess reserves at a Federal Reserve district bank to banks needing oversight loans to meet reserve requirements.
Federal Home Loan Bank Act of 1932 This Act established the Federal Home Loan Bank Board (“FHLBank Board”), which charters and supervises Federal Savings and Loans Institutions…
Federal Home Loan Bank Board (“FHLBank Board”) A five-member board established in 1932 by the Federal Home Loan Bank Act. The FHLBank Board provided the FHLBanks with the authority to regulate and…
Federal Home Loan Banks (FHLBanks) The Federal Home Loan Banks are 12 regional cooperative banks that U.S. lending institutions use to finance housing and economic development in their…
Federal Home Loan Mortgage Corporation (Freddie Mac) A federally chartered corporation that purchases residential mortgages, securitizes them, and sells them to investors; this provides lenders with funds…
Federal Housing Administration (FHA) The Federal Housing Administration (FHA) was established by the federal government in 1937 to make home ownership possible for more people and to…
Federal Housing Administration Mortgage Federal Housing Administration (FHA) mortgages, which are made by private lenders, resemble conventional mortgages in many ways, but there are some…
Federal Housing Authority (FHA) Also known as HUD (Department of Housing and Urban Development). The Federal Housing Authority is a federal entity that governs the FHA mortgage program…
Federal Housing Enterprises Financial Safety and Soundness Act of 1992 The Act modernized the regulatory oversight of Fannie Mae and Freddie Mac. It created the Office of Federal Housing Enterprise Oversight (“OFHEO”) as…
federal income tax The federal government levies a tax on personal income. The federal income tax provides for national programs such as defense, foreign affairs, law…
Federal Insurance Contributions Act (FICA) The Federal Insurance Contribution Act (FICA) is the federal law that requires employers to withhold 6.
Federal Insurance Contributions Act (FICA) Tax Provides benefits for retired workers and their dependents as well as for disabled workers and their dependents. Also known as the Social Security tax.
Federal National Mortgage Association (Fannie Mae) A federally chartered corporation that purchases residential mortgages and converts them into securities for sale to investors; by purchasing mortgages…
Federal National Mortgage Association Charter Act of 1954 (Charter Act) The Charter Act transformed Fannie Mae from a government agency into a public-private, mixed ownership corporation.
Federal Open Market Committee (FOMC) The Open Market Committee (FOMC) of the Federal Reserve Board meets eight times a year to evaluate the threat of inflation or recession.
Federal Policy Fee A flat charge that the policyholder must pay on each new or renewal policy to defray certain administrative expenses incurred in carrying out the National…
Federal Reserve Board The governing body of the Federal Reserve System (12 regional federal banks monitoring the commercial and savings banks in their regions).
Federal Reserve Fedwire Fedwire is an electronic transfer system owned and operated by the 12 Federal Reserve Banks that enables participants to move money from an account they…
Federal Reserve System The central bank of the United States. The Fed, as it is commonly called, regulates the U.S. monetary and financial system.
Federal Savings and Loan Insurance Corporation (FSLIC) Created by the National Housing Act of 1934, the FSLIC, which was administered by the FHLBank Board, insured savings and loan deposits until 1989.
Federal/State e-file A program sponsored by the IRS in partnership with participating states that allows taxpayers to file federal and state income tax returns electronically…
Fee A charge or payment for products and services, a sum paid or charged for a privilege, for example, some financial institutions charge a monthly fee to…
Fee Charged for Use of Other ATM The fee that the institution charges its own account holders to use another institution’s ATM.
Fee Charged for Use of Your Own ATM The fee that an institution charges its own account holders to use its own ATM.
Fee For Service When you're covered by fee-for-service health insurance, you pay your medical bills and file a claim for reimbursement from your insurance company.
FHA Approved Lenders Financial institutions that have been approved by FHA for the origination and servicing of FHA-insured mortgages.
FICA Federal Insurance Contributions Act (Social Security and/or Medicare).
FICOÃÂ® score Created by the Fair Isaac Corporation, FICOÃÂ® is the best-known credit scoring system in the US.
Fiduciary Undertaking to act as executor, administrator, guardian, conservator, or trustee for a family trust, authorized trust, or testamentary trust, or receiver…
file a return To mail or otherwise transmit to an IRS service center the taxpayer's information, in specified format, about income and tax liability.
File and Use Residential property rates utilize a system called “file and use.” Under this system, insurance companies file their rates with the Texas Department…
Filing Date This is the date a filer submits a financial disclosure report to the supervisor or senior legal counsel for review, usually the date the filer eSigns the…
filing status Determines the rate at which income is taxed. The five filing statuses are: single, married filing a joint return, married filing a separate return, head…
Fill or kill (FOK) If an investor places an FOK order, it means the broker must cancel the order if it can't be filled immediately.
Finance Charge The total cost of credit a customer must pay on a consumer loan, including interest. The Truth in Lending Act requires disclosure of the finance charge.
Financial Accounting Standards Board (FASB) The Financial Accounting Standards Board (FASB) is an independent, self-regulatory board that establishes and interprets generally accepted accounting…
Financial future When a futures contract is linked to a financial product, such as a stock index, Treasury notes, or a currency, the contract is described as a financial…
Financial institution Any institution that collects money and puts it into assets such as stocks, bonds, bank deposits, or loans is considered a financial institution.
Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) Enacted by Congress in 1989 in response to the savings and loan crisis of the 1980s, FIRREA abolished FSLIC, transferred its assets, liabilities, and…
Financial instrument A financial instrument is a physical or electronic document that has intrinsic monetary value or transfers value.
Financial Models Financial models are computer simulations designed to forecast the financial performance of a company or project or estimate the impact of key parameters…
Financial Performance Report (FPR) A report providing a financial summary for a credit union, including assets, liabilities & capital, and income & expense.
Financial plan A financial plan is a document that describes your current financial status, your financial goals and when you want to achieve them, and strategies to…
Financial planner A financial planner evaluates your personal finances and helps you develop a financial plan to meet both your immediate needs and your long-term goals.
Financial pyramid Many investors structure their portfolios in the form of a financial pyramid. The base of the pyramid is made up of nonvolatile, liquid assets.
financial records Spending and income records and items to keep for tax purposes, including paycheck stubs, statements of interest or dividends earned, and records of…
Firm quote A firm quote includes a bid and ask price at which a market maker is willing to trade a specific quantity - 100 shares of stock, for example.
First Mortgage A real estate loan which is in a first lien position, taking priority over all other liens.
First Party The policyholder (insured) in an insurance contract.
First-party claim A claim filed by an insured against his or her own insurance policy.
Fixed annuity A fixed annuity is a contract that allows you to accumulate earnings at a fixed rate during a build-up period.
Fixed Income A security that pays a specific interest rate.
fixed income investments Investments that generate a fixed amount of income that does not vary over the life of the investment.
Fixed Income Security A security such as a bond that pays a specified cash flow over a specific period of time.
Fixed Rate Loan The interest rate and the payment remain the same over the life of the loan. The consumer makes equal monthly payments of principal and interest until the…
Fixed Rate Mortgage A mortgage with payments that remain the same throughout the life of the loan because the interest rate and other terms are fixed and do not change.
Fixed-income investment Fixed-income investments typically pay interest or dividends on a regular schedule and may promise to return your principal at maturity, though that…
Fixed-rate APR An APR set at a certain percent that cannot change during the period of time outlined in your credit card agreement.
Fixed-Rate Mortgage (FRM) a mortgage loan with a fixed interest rate that remains the same for the life of the loan.
Flags Flags identify missing or incomplete information on a financial disclosure report in FDM.
Flat tax A flat tax, also known as a regressive tax, applies to everyone at the same rate, as a sales tax does.
Flexible spending account Some employers offer flexible spending accounts (FSA), sometimes called cafeteria plans, as part of their employee benefits package.
Float 1) The amount of uncollected funds represented by checks in the possession of one bank but drawn on other banks.
Floater Additional coverage for personal property such as jewelry, artwork, or antiques not otherwise included in the homeowners policy, or included for a nominal…
Floating The process of an applicant deciding against locking-in an interest rate at the time of application and instead electing to float with the market until a…
Floating an issue When a corporation or public agency offers new stocks or bonds to the public, making the offering is called floating an issue.
Floating rate A debt security or corporate preferred stock whose interest rate is adjusted periodically to reflect changing money market rates is known as a floating…
Floating shares Floating shares are shares of a public corporation that are available for trading in a stock market.
Flood A general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or of two or more properties (at least…
Flood Disaster Protection Act (FDPA) of 1973 Made the purchase of flood insurance mandatory for the protection of property located in Special Flood Hazard Areas.
Flood Hazard Boundary Map (FHBM) Official map of a community issued by the Federal Insurance Administrator, where the boundaries of the flood, mudflow, and related erosion areas having…
Flood Insurance Flood insurance protects against water from an overflowing river or a hurricane's tidal surge and also covers damage from water that builds up during…
Flood Insurance Rate Map (FIRM) Official map of a community on which the Mitigation Division Administrator has delineated both the special hazard areas and the risk premium zones…
Flood Plain A strip of relatively flat and normally dry land alongside a stream, river, or lake that is covered by water during a flood.
Flood Zone (Zone) A geographical area shown on a Flood Hazard Boundary Map or a Flood Insurance Rate Map that reflects the severity or type of flooding in the area.
Floodplain Any land area susceptible to being inundated by floodwaters from any source.
Floodplain Management The operation of an overall program of corrective and preventive measures for reducing flood damage, including but not limited to, emergency preparedness…
Floor broker Floor brokers at a securities or commodities exchange handle client orders to buy or sell through a process known as a double action auction, in which…
Floor trader Unlike floor brokers who fill client orders, floor traders buy and sell stocks or commodities for their own accounts on the floor of an exchange.
For Sale By Owner (FSBO) Indicative of a real estate transaction in which the seller is not represented by a real estate broker.