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Untitled Document GLOSSARY OF TERMS
The current economic crisis has brought these esoteric terms into mainstream conversation.
 TERMS  

Foreclosure

 
401(k)
Asset-backed Security (ABS)
Bailout
Bank Holding Company
Bank Run - Bank Panic
Central Bank
Collateralized Debt
Commercial Bank
Commercial Paper
Credit Crunch
Credit Default Swaps
Credit-Loss Ratio
Deposit Insurance
Derivative
Discount Window/Discount Rate
Equity
Fair Market Value
Fannie Mae/Freddie Mac
FDIC
Federal Funds Rate
Federal Reserve Bank/Federal Reserve System
Foreclosure
Hedge Fund
Home Equity Line of Credit (HELOC)
Interbank Trade
Interest Rates/Basis Points
Investment Banks
Leverage
LIBOR
Liquidity
Mark to Market
Moratorium
Mortgages
Mortgage-backed Security
Naked Short Selling
Overnight Rate
Recession
Securitization – Securitized
Short Selling
Special Purpose Vehicle
Stagflation
SubPrime Mortgages
TARP
TED Spread
Toxic Debts
Treasuries
Write Down
 
 


Foreclosure is the forced sale of property pledged as security for a debt that is in default.

It’s a term that has sadly become all too familiar during the current economic meltdown.  With the mortgage crisis and an overall weak economy teetering on recession, many people have been unable to make their mortgage payments. Banks and lending institutions have initiated the legal process of foreclosure,  forcing homes and property to be sold in order to satisfy the debt. 

SeeFannie Mae/Freddie Mac.