ASSET BACKED SECURITY Definition

Bookmark and Share

ASSET BACKED SECURITY is a debt instrument collateralized by credit card receivables, auto loans or other assets and securitized by a bank or financial institution. To reduce the possibility of a disruption in principal and interest payments, the cash flow from these assets is enhanced by a variety of methods including letter of credit support, insurance, overcollateralization and excess interest.

Learn new Accounting Terms

FGAR is Florida Government Accountability Report.

INVESTORS' COMPENSATION SCHEME is a statutory scheme operated by the UK Securities and Investment Board to give individual investors up to £48,000 protection if an authorized investment business collapses.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.