Module 3: Glossary

Question 1

Bond

Answer 1

A form of loan issued by a government or corporate body, which can be purchased by investors for a set out period

Question 2

Charity

Answer 2

Organisation set up to collect money for humanitarian or community support purposes

Question 3

Chatbox

Answer 3

A computer program that stimulates conversation with human users

Question 4

Cheque

Answer 4

A form of written instruction to a bank to make a payment from a drawer to a payee

Question 5

Corporate

Answer 5

Larger companies

Question 6

Credit card

Answer 6

A card that allows a customer to buy a product and pay for it later potentially with additional interest and service fees added

Question 7

Debit card

Answer 7

A card that lets you draw or spend money directly from your
account

Question 8

Digital currency

Answer 8

A form of currency that is only available electronically and not in physical form

Question 9

Digitally wallet

Answer 9

A secure financial application on a digital device that stores money and can make payments (e-wallet)

Example: apply pay

Question 10

Financial literacy

Answer 10

The knowledge and skills needed to make financial decisions

Question 11

High net worth individual

Answer 11

People who earn a large income or have significant assets

Question 12

Mortgage

Answer 12

A long-term loan used to finance the purchase of a house or property

Question 13

Multichannel banking

Answer 13

A bank that provides customer service through more than one channel

Question 14

oMnichannel banking

Answer 14

Is bank that provides customer service through MULTIPLE INTEGRATED channels

Question 15

Optichannel banking

Answer 15

Provides customer services via the BANKING CHANNEL that best suits the INDIVIDUAL CUSTOMER

Question 16

Overdraft

Answer 16

Short term limited credit facility linked to a bank account

Question 17

Partnership

Answer 17

A business arrangement with two or more people operate a business with the intention of sharing the profit generated

Question 18

Personal loan

Answer 18

A short term loan offered to an individual

Question 19

Private limited company (PLC)

Answer 19

A private legal entity that is separate from its shareholders and which is run by directors

Question 20

Riba

Answer 20

Interest (under Islamic shariah banking law)

Question 21

Self-service banking

Answer 21

Allowing customers to conduct their own banking without visiting a branch or consulting a bank employee

Question 22

Sole trader

Answer 22

Someone who is self-employed and owns their own business as the sole proprietor

Question 23

Trustee

Answer 23

A person or firm that holds and manages assets for a third-party

Question 24

Unbanked

Answer 24

A person who does not have a current or day to day bank account