Money Glossary - B

A, B, C, D, E, F, G, H, I, L, M, P, R, S, T, U, V, Y

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Money terms defined on this page:
For a full glossary list click here

• Bad Credit Loan
• Balance
• Balance Transfer
• Bank account with fees
• Bank account without fees
• Basic bank accounts

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Bad Credit Loan

If you know that your credit rating is bad, you should seriously consider whether you should be getting into more debt with another loan. Your application for a cheap loan with a low APR will almost certainly be rejected, and this will further damage your credit rating. If you must borrow more (perhaps to consolidate other debts), a ‘bad credit loan’ might accept your application but will charge a high APR.
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Balance

The balance shown on your credit card bill will normally be a negative figure – this indicates how much money you owe on your card.
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Balance transfer

Credit card companies may encourage you to perform a balance transfer. This means transferring your debt from another card to their card, normally for a lower interest rate or even an interest-free period.
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Bank account with fees

A bank account with a monthly or annual fee might sound like a waste of money, but you could receive benefits like a low-interest overdraft or free car breakdown cover.
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Bank account without fees

This is the standard type of bank account offered by most banks. You won’t have to pay a fee but any overdraft interest might be fairly high.
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Basic bank accounts

These bank accounts are designed for people who are trying to build up their credit rating after a series of arrears or CCJs. It gives you somewhere to put your money, without having to worry about getting into more debt with an overdraft. You won’t receive a cheque book either.
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