Debt Ontology

the process of accumulating interest or other income that has been earned but not paid

the process of reduction of debt or other costs through periodic charges to assets or liabilities, such as through principal payments on mortgages

a schedule of periodic payments (repayment installments) that specify changes in the balance of the debt over time

party to a debt instrument that is obligated to repay the amount borrowed (principal) with interest and other fees according to the terms of the instrument

upper bound on the total amount of money that a lender believes a party has the ability to repay as of some point in time

asset offered as security, pledged as an inducement to another party, to lend money, extend credit, or provision securities

written contract that specifies terms, over and above those specified in a promissory note, loan, or other debt instrument, under which the collateral must be made available to the lender

Examples include deeds of trust and uniform commercial code (UCC) agreements.

credit facility that is a confirmed source of financing for the borrower, as long as the borrower meets the conditions of the agreement

contractually committed portion of a credit facility that is available to the borrower and may be associated with some specific collateral

contractual agreement in which a debtor receives something of value and agrees to repay the creditor at some date in the future, in some form (e.g., cash, securities, etc.), generally with interest

credit agreement that allows the borrower to periodically take out money over an extended period of time rather than reapplying for a loan every time they need funds

a party to whom an obligation, such as an amount of money, or good, or performance of some service exists

a business recurrence interval convention that is used to calculate the number of days in an interest payment, which applies to the amount of accrued interest or the present value for debt instruments

an obligation to pay something, such as an amount of money, good, service, or instrument

contract terms that specify the formal rights and obligations of borrower and lender under a contract in which funds are lent from the one party to the other

a party that owes a debt or other obligation to another party

an interest rate that does not fluctuate over the lifetime of a loan or other debt instrument

a variable interest rate that is based on a specific index or benchmark rate

Certain revolving credit, such as credit-card related debt, may adjust after a specified period of time to an absolute rate stated in the agreement (variable but not floating) rather than based on a benchmark rate (variable, floating).

amortization in which the very last payment (which, if the schedule was calculated correctly, should be equal to all others) pays off all remaining principal and interest on the loan

the cost of using credit, or another's money, expressed as a rate per period of time, payable by a debtor to a creditor in consideration of the credit extended to the debtor

contract terms for payment of interest on a debt

a party that extends credit or money to a borrower with the expectation of being repaid, usually with interest

a variable interest rate charged by a financial institution for borrowing that is not prescribed as a margin over base rate but is set from time to time by the institution

amortization in which the payments made do not cover the interest due

asset pledged as collateral that is a financial asset, rather than physical asset

Examples of non-physical collateral include, but are not limited to, bank deposits, accounts receivable, stocks, bonds, other securities, and the like.

amortization in which the very last payment the last payment due may be a large balloon payment of all remaining principal and interest

asset pledged as collateral that has a material form, i.e., is a physical asset of the obligor

Examples of physical collateral include, but are not limited to, real estate, equipment, vehicles, spare parts, inventory, goods, supplies, fixtures, and leasehold improvements.

with respect to a debt: the value of an obligation, such as a bond or loan, raised and that must be repaid at maturity; for investments: the original amount of money invested, separate from any associated interest, dividends or capital gains

contract terms that specify requirements for repayment of the principal

negotiable instrument that is an unconditional and unsecured promise by one party to another that commits the principal party to pay a specified sum on demand or within a specified time frame under specified terms

time of day that an interest rate is reset, as indicated by some interest rate authority or market data provider

Examples include certain rates published by the Federal Reserve Board in their H.15 schedule, which are published at 4:15 pm on business days that are not holidays in the US.

credit facility that is a loan or line of credit used by retailers and real estate companies

Consumer credit cards are retail credit facilities, for example.

credit facility that enables the borrower to withdraw funds, repay, and withdraw again

portion of a credit facility extended to the borrower for some purpose, possibly per some schedule specified in the facility

credit facility that has yet to be confirmed as a source of financing for the borrower

sub-facility that has yet to be confirmed as a source of financing for the borrower

an interest rate that is allowed to vary over the maturity of a loan or other debt instrument