What Is an Annual ARM Cap?

An annual ARM cap is a limit on the amount that your interest rate can increase or decrease from one year to the next. For example, if you have a 5/1 ARM with a 2% annual ARM cap, your interest rate can increase or decrease by up to 2% each year, but it can never … Read more

Investment Banking: What It Is, What Investment Bankers Do.

Investment Banking: What It Is and What Investment Bankers Do. What are the basics of investment banking? There are four main types of investment banks: commercial banks, merchant banks, investment banks, and universal banks. Commercial banks are the most common type of investment bank. They provide loans, credit, and other financial services to businesses and … Read more

Medical Payments Coverage (MedPay) Definition.

Medical Payments Coverage is insurance that covers medical expenses incurred by the policyholder, regardless of who is at fault. MedPay is sometimes referred to as “no-fault” coverage. Which of the following medical expenses are not covered under health insurance? There is no definitive answer to this question as different health insurance plans cover different medical … Read more

What is an obligation

An obligation is a type of debt instrument that is not secured by physical assets. This type of financing is widely used by both governments and large companies in order to obtain funds or liquidity in the form of a loan. The obligations (debenture in English) are one of the most common forms of financing … Read more