What Is the 2011 U.S. Debt Ceiling Crisis? The 2011 U.S. Debt Ceiling Crisis was a contentious debate in Congress that occurred in July 2011 regarding the maximum amount of borrowing the federal government should be allowed to undertake. Key Takeaways The 2011 U.S. Debt Ceiling Crisis was one of a series of recurrent debates
A 2-1 buydown is a mortgage agreement that provides for a low interest rate for the first year of the loan, a somewhat higher rate for the second year, and then the full rate for the third and later years. Key Takeaways A 2-1 buydown is a type of financing that lowers the interest rate
What Is the 3-6-3 Rule? The 3-6-3 rule is a slang term that refers to an unofficial practice in the banking industry in the 1950s, 1960s, and 1970s that was the result of non-competitive and simplistic conditions in the industry. The 3-6-3 rule describes how bankers would supposedly give 3% interest on their depositors’ accounts
A 3-2-1 buydown mortgage is a type of loan that starts out with a low interest rate and rises over the next several years until it reaches its permanent rate. Here is how 3-2-1 buydown mortgages work and how to decide if one is right for you. Key Takeaways With a 3-2-1 buydown mortgage, the
What Are 3P Oil Reserves? 3P oil reserves are the total amount of reserves that a company estimates having access to, calculated as the sum of all proven and unproven reserves. The 3Ps stand for proven, probable, and possible reserves. The oil industry breaks unproven reserves into two segments: those based on geological and engineering
What Is a 401(a) Plan? A 401(a) plan is an employer-sponsored money-purchase retirement plan that allows dollar or percentage-based contributions from the employer, the employee, or both. The sponsoring employer establishes eligibility and the vesting schedule. The employee can withdraw funds from a 401(a) plan through a rollover to a different qualified retirement plan, a lump-sum payment, or
Investopedia / Ellen Lindner What Is a 401(k) Plan? A 401(k) plan is a retirement savings plan offered by many American employers that has tax advantages for the saver. It is named after a section of the U.S. Internal Revenue Code (IRC). The employee who signs up for a 401(k) agrees to have a percentage
