LIBF Unit 1 Key Terms Revision

1. Exchanging goods and services for other goods and services without using money. (6)
4. A same day payment system for high value transactions, such as a house purchase. (5)
5. When a person cannot pay their debts and is the subject of a court order that shares out their assets between their creditors. (10)
7. The money or other assets owned by an individual or a business (for a financial services provider: it refers to funds provided by shareholders - not deposits from customers) (7)
8. Consumer Prices Index - A way in which the government measures inflation. It is calculated by checking the price of a representative sample of goods on a monthly basis -this enables statisticians to measure how much prices are rising or falling. (3)
9. Providing free, independent, confidential advice. (8, 6)

2. The central payment system used to process different types of electronic payment. (4)
3. A mutual organisation (that is owned by its members) that provides a range of financial products e.g. savings accounts or personal loans members. Members share common bond e.g. work. (1, 6, 5)
6. Type of card that gives back to the card holder a percentage of the value of transactions made with the card - in the form of cash. (8, 4)
10. Interest that will be earned on the money in one year and takes into account how often the provider pays interest, the effect of compounding the interest and any fees and charges. (3)

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