Vital Mortgage Banker Interview Preparation Guide

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This type of Loan is offered to borrower to start their business and can be used to build a storefront, to acquire inventory or pay franchise fees to get a business rolling.

You can access the account as the saving account but, unlike saving account, you cannot earn interest on this account. The benefit of this account is that there is no limit for withdrawal.

It is a process of managing money, including investments, banking, budgeting and taxes.

A pay-day loan is generally, a small amount and a short-term loan available at high interest rate. A borrower normally writes post-dated cheques to the lender in respect to the amount they wish to borrow.

Credit management system is a system for handling credit accounts, assessing risks and determining how much credit to offer to the customer.

Financial management system is used to govern and keep a record of its income, expense and assets and to keep the accountability of its profit.

When a loan is charged with high interest rate illegally then it is referred as 'Usury'. Usury rates are generally set by State Law.

The database collects all the information and keeps the track about the customers who borrows the money.

It is a small to mid-sized branch that directly deals with consumer's transaction rather than corporate or other banks

A person who signs a note to guarantee the payment of the loan on behalf of the main loan applicant's is known as co-maker or co-signer.

Corporate banking deals with cash management, underwriting, financing and issuing of stocks and bonds

Any deposit that is held by one bank for another bank is known as inter-bank deposit. The bank for which the deposit is being held is referred as the correspondent bank.

I like the great salary plus commissions. It's a team of people you love to work with.

When repayment of the loan is less than the loans accumulated interest, then negative Amortization occurs. It will increase the loan amount instead of decreasing it. It is also known as 'deferred interest'.

The repayment of the loan by instalment to cover principal amount with interest is known as 'Amortization'.

It is an electronic banking outlet, which allows customers to complete basic transaction.

The stock market management is a system that manages financial portfolio like securities and bonds.

There are many non-bank entities that offer financial services like that of the bank. The entities include credit card companies, credit card report agencies and credit card issuers

A system to reduce the number of credit checks on financial transaction is known as credit-netting. Such agreement occurs normally between large banks and other financial institutions. It places all the future and current transaction into one agreement, removing the need for credit cheques on each transaction.

There are two types of card payments

a) Credit Card

b) Debit Card

'LIBOR' stands for London Inter-Bank Offered Rate. As the name suggest, it is an average interest rate offered for U.S dollar or Euro dollar deposited between groups of London banks. It is an international interest rate that follows world economic condition and used as a base rate by banks to set interest rate. LIBOR comes in 8 maturities from overnight to 12 months and in 5 different currencies. Once in a day LIBOR announces its interest rate.

In 'Bill Purchase' the loan will be created for the full value of the draft and the interest will be recovered when the actual payment comes. For example, a 'Sight draft' is presented for which the loan is created for 100% of the draft value. The money is received after 7 days, and then the interest will be recovered for 7 days along with the principal amount.

You can save your money in such account and also earn interest on it. The number of withdrawal is limited and need to maintain the minimum amount of balance in the account to remain active.

It was very fast-paced. That's the best way to describe it. It was fast-paced, we had our own cubicles, called common business card holders, and that was pretty much it.

It is a Federal Agency (U.S) that gives funding to small businesses and entrepreneurs. SBA (Small Business Administration) loans are made through banks, credit unions and other lenders who partners with SBA.