what is a compensating balance and how does it affect the interest rate on a line of credit?

Q: How does the credit card company calculate the interest payment?

A: The credit card has been an important tool to increase the purchasing power. This facility has…

Q: Which financial Market do Retail credit products e.g. Mortgage bonds, short term loans, long term…

A: Meaning of Financial Assets: The term financial assets refer to the situation, under which these…

Q: The amount which from the transaction entered by the person who borrows money called the debtor or…

A: Answer-

Q: How important is CFO in a rural bank? What he can do that others cannot?

A: As a top executive, the chief financial officer is in charge of a company's financial operations.…

Q: What about the second part of the problem that has to deal with the bank loan?

A: Bank loan is the amount of loan or debt which is taken from the bank. So bank debt is important…

Q: What are the two factors that determine what borrowing will cost?

A: Two factors that determine what borrowing will cost are -  Principal Amount : It is the original…

Q: Explain why someone might want to put a “red flag” on their own credit report.

A: A red flag refers to a warning that is put on the credit report if something suspicious, fraudulent,…

Q: Why do the creditors generally charge higher interest rates on new borrowing?

A: The interest rate is the amount that the creditor charges with the principal from the borrower to…

Q: How is money can be loaned and repaid?

A: A loan is when an amount of money is given to another party in exchange for repayment of the loan…

Q: What is the cheapest loan?

A: A loan is the lending of money by an individual or a group to another individual or a firm, with an…

Q: How do credit cards contribute positively to the economy?

A: Credit cards originated in the second half of the twentieth century as an easy way of making a…

Q: what does it mean when banks are paying people to get loans?

A: The financial system of the nation is considered to be one of the most prominent, and important…

Q: Which of the following is a personal financial asset? a. A payday loan b. A mortgage loan c. A…

A: A financial asset is a tradable instrument or other tangible property that represents a legal claim…

Q: what is the contribution of money to our financial needs

A: Currently money is used all over the world. Money is important all around the world. Currency is…

Q: why do credit cards charge higher interest than home and car loans? please help me with this…

A: A credit card is a type of payment card that enables the cardholder to borrow money from a bank or…

Q: The first thing paid when repaying a loan is the principal. True or False?

A: Principal denotes the original amount of money borrowed by the individual for meeting his/her needs.…

Q: What are the benefits of opening a bank account as a young person? Can someone help with this…

A: Introduction A bank is a financial institution which provides financial services such as loans,…

Q: Most credit cards operate on revolving credit. True or false? Explain how?

A: Revolving credit refers to an arrangement between the customer and the financial institution in…

Q: Bobby took out a single loan for $500 and paid a $50 fee. His loan is due in 1 week. Find the…

A: Here, given information is; Principal amount: $500 Interest amount: $50 Time period: 1 week To…

Q: Define what is meant by (pure) credit rationing. Save Answer

A: Rationing is a source of artificial control on the demand and supply of the goods and services.

Q: what is the difference between Credit and Consumer credit?

A: Introduction Credit is a types of arrangement to receive cash or any service which you can use in…