Glossary

This is a work in progress!

AER (annualised equivalent rate)

Alternative finance

AML

Amortising

Annualised

Annuity type loan

Arrears

Asset-backed lending

Bad-debt provision fund

BidPal

Bridging loan

BuyBack Guarantee

BuyPal

Cash drag

CCJ

Compounding / Compound Interest

Credit risk

Crowdfunding

Dashboard

Debenture

Debt consolidation

default

Director’s Loan

Diversification of Risk

Draw down

FCA

Fintech

First charge

Fiscal year

Fixed charge

forbearance

FSCS

Gross

Heterogeneity

IFISA

Institutional lenders

Interest rate

Invoice finance

Know your client KYC checks

Liquidity

Liquidity

Loan book

Loan parts

Loan portfolio

LTV

Microloan

Net

Net return

P2p lending

P2p lending platform

Payment schedule

Peer-to-peer lending

Personal guarantee

Personal loan

Primary Marketplace

Principal

Refactored loan

Refinancing

Regulators

Retail investor

ROI

Secondary Marketplace

Security

Self-certified sophisticated investor

Tranche

Transfer bid

Underwriting

Unsecured lending

Write-off