Lesson 3 Flashcards
is debt scheduled to be paid within a year
Short term
To be paid in more than a year.
Long term
done through borrowing, whether short-term or long-term, and it usually comes with interest.
Debt financing
refers to the sale of ownership interest, most often represented by shares, to raise fund for business purposes.
Equity financinf
Supervised and regulated by the Bangko Sentral ng Pilipinas
(BSP), an establishment for the deposit, custody, and issue of money for making loans and discounts, and for making easier the exchange of funds.
Bank
With the primary objective of helping improve the quality of life of its members.
Credit cooperatives
they are organizations without a bank charter that advances funds to businesses by discounting notes receivable,
Commercial finance companies
-includes the name or and
business name, birthdate, address, SSS
required documents;
no, TIN no, phone no., and other Identifying Information such as valid government-issued identification cards
Demographics
Current personal income and employer, sales history, business revenue
Income or revenue
applicants may ask to disclose their checking savings and Investment accounts and their outstanding loans and credit cards, If there are any.
Assets and liabilities
identification and contact information of existing employers, previous employers, or even nearest relative not living with the identified contact
Contact or references
stating that everything on the application is true and correct and authorizing the lender to
verify the information provided with the identified contacts and references.
Attest and authorization require affixing applicant’s signature on the credit application
