When you lease a car, you don't own it as you do when you buy one with a loan.
When Leasing you are only paying for the time you use the vehicle, Imagine the Car cost $10,000 when the car is returned in 3 years time the finance company may say the car is going to be worth $5,000 you are only financed on the remaining $5,000 thus making your monthly payments cheaper,
where as if you buying the car outright then you will be financed for the whole car, add in its depreciation it often works out cheaper to lease the car
In the simplest terms, a bond is a loan that is made to an entity, which pays back the loan (along with a predetermined amount of interest) on a specified maturity date. For example, when a person buys a United States Treasury Bond, they know in advance the rate of return and the date of maturity; further, they are backed by the full faith and credit of the government of the United States of America. On the other hand, buying stock is buying a small share of a large company, and amounts to investing in the company's earning potential. A share of stock is not a loan; rather, it is the actual purchase of a tiny portion of a company. There is no promised rate of return or guarantee backed by any entity. The investment is entirely subject to the company's ability to turn a profit. The investment may increase in value or even decrease in value with a great degree of volatility.
A person who invests money in order to make a profit is an investor. A creditor is lender of the funds, to whom someone owes a loan.
Financing is nothing but a complete process or department who works for providing loan or financing aid. Normally in Islamic banking Financing is the preferred word for loan and related activities such as loan origination, disbursement and repayment/Collection. Finance means the department or process which maintain accounts /book keeping cash /Fund management and anything related to financial position of the organization.
Investors are the people who provide a business with the finance it needs. This finance can come from owner's capital, loan capital from banks or grants from State Agencies. Entrepreneurs are people who take the initiative to turn an idea to business.
Two signs of weakness in the economy in the 1920's was that many people were buying on margin which means buying with loans, if people able to pay back the loan the would loose also buying with credit.
When you have paid off the loan the car becomes yours. When leasing a car it never becomes yours.
Leasing is basically renting. Payments are usually cheaper, but you don't actually own the car. Many times with leasing, you are also REQUIRED to have maintenance done regularly and only done at dealer-approved businesses. If any damage is done to the car, you will be required to pay for repairs. When you buy a car, you make payments until the car loan is paid off, and then you own the car outright.
When you lease a car, you don't own it as you do when you buy one with a loan. When Leasing you are only paying for the time you use the vehicle, Imagine the Car cost $10,000 when the car is returned in 3 years time the finance company may say the car is going to be worth $5,000 you are only financed on the remaining $5,000 thus making your monthly payments cheaper, where as if you buying the car outright then you will be financed for the whole car, add in its depreciation it often works out cheaper to lease the car
Buying on margin, taking a "margin" loan from the broker to help buy part of a stock purchaseMargin call, this happens when the broker demands full payment of your "margin" loan
What is the difference between bank loan and bank credit?
loan is money borrowed and debt is money owed. :-)
Loan, leasing, hire purchase
Difference between loan disbursed and loan outstanding; the unpaid remainder that you still owe.
A debt is something you owe someone, a loan is something you borrow
how do interest rate calculated in a car loan finance by chase bank
Financed? Yes. The person or car dealership buying the car would write a check for the outstanding loan balance to the bank that has financed the car and anything left over they would give to you. If you owe more than the car is worth, then you (the seller) would need to make up the difference, i.e. write a check for the difference between what they are buying the car for and the remaining loan balance.
There are many differences between a refinance loan and a home equity loan. These include differences in costs, loan structure, interest rates and accessing your money.