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Party in interest |
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Party in interestAn ERISA-specified individual—such as an administrator, officer, fiduciary, trustee, custodian, or counsel—who is prohibited from making certain transactions involving a retirement plan. A trustee, for example, would be prohibited from using an IRA as collateral for a loan.Party in interest Similar MatchesNet interest cost (NIC)Net interest cost (NIC)The total amount of interest that will be paid on a debt obligation by a corporate or municipal bond issuer. Permanent interest bearing sharesPermanent interest bearing sharesPibs are shares issued by building societies which pay a fixed rate of interest rather than a dividend. For the building societies concerned, they are a way of raising money without demutualising. As an investor, the rate of interest you receive will be the rate in effect at the time you bought your shares. Even though the rate on the PIB may change, your income will always be the same - the rate at the time you bought. It is important to note that the % rate applies to the original issue price of the PIB, not to the current share price. So if the interest rate is 10% when you buy and the original issue price is 100p, the annual interest will be 10p even if the current share price is 150p. Although Pibs are 'safe' in the sense that there is a quantifiable, regular and certain income, there is a risk of capital erosion if the share price falls below what you paid. On the plus side, if you sell your Pibs and make a capital gain, there is no CGT to pay. One of the disadvantages of Pibs is that minimum investment levels can be quite high (£20,000+) and liquidity is quite low. There aren't many building societies left to issue new Pibs, and trading in existing Pibs is quite low. Gross interestGross interestInterest earned by deposits at banks and financial institutions, or on gilts etc. before deduction of tax.Interest charged on bank loans etc before any tax relief is taken into account. Interest in ArrearsInterest in ArrearsInterest that is due only at the maturity date rather than periodically over the life of the loan. Add on InterestAdd on InterestA method of charging interest usually used in the financing of automobiles, but not generally used in real estate financing. Interest is computed on the total amount borrowed and added on to the principal. Each payment is then deducted from this total amount. Interest on real estate loans is usually figured based on the balance owing after each payment is made (declining balance). Further SuggestionsBest interests of creditors testVariable Interest Rate Earnings before interest after taxes (EBIAT) Variable interest rate interest Interest equalization tax Future Interest variable interest rate Exact interest Uncovered interest parity interest receivable Interest rate parity theorem Daily interest prevailing interest rate Compound interest Interest on interest Interest tax shield Interest Cap Earnings before interest, taxes, and depreciation (EBITD) Effective Interest Rate Risk Free Interest Rate And interest Deferred interest mortgage reversionary interest interest rate swap |
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