F

Finance ChargeCost of consumer loan represented by the difference between amount borrowed and total amount to be repaid (in terms of dollars).

Future ValueThe amount yielded after compounding for a given number of periods at a stated rate of interest per period.

L

Linear RegressionA mathematical analysis expressing an average linear relationship between two variables; it is based on the assumption that observations of data will have a tendency to regress toward average values; often referred to as least-squares trend line or line of best fit.

M

MarkupThe amount added to a base price for the purpose of determining a new and higher selling price.

MaturityThe date on which an obligation becomes due.

MeanThe result obtained by dividing the sum of two or more quantities by the number of items; usually denoted by a symbol such as x. Also referred to as the arithmetic average or arithmetic mean.

MortgageA lien on land, buildings, machinery, equipment, and other property, fixed or movable, given by a borrower to the lender as security for his loan.

N

Nominal RateA stated rate which is usually subdivided for compounding purposes resulting in a higher effective rate.

NoteA written promise by a debtor to pay to-or to the order of the creditor a stated sum of money, with or without interest, on a specified date.

P

ParThe nominal or face value of a security or note without any consideration of premium or discount.

PercentAny decimal fraction times 100.

PercentageThe result of multiplying a given number or base by a percent.

Periodic PaymentThe discharge of a pecuniary obligation by a disbursement of money or by property or services accepted as the equivalent of money on a periodic basis.