What is a Prepaid Cards Processor? A prepaid cards processor is a company that processes transactions for prepaid payment cards. Prepaid card processors are responsible for processing transactions for prepaid credit or debit cards, gift cards, payroll cards, and other payment cards that are considered secured by the front-loading of money. Key Takeaways A prepaid cards processor
What Is a Prepaid Expense? A prepaid expense is an expense that has been paid for in advance but not yet incurred. In business, a prepaid expense is recorded as an asset on the balance sheet that results from a business making advanced payments for goods or services to be received in the future. Prepaid
What Is a Prepaid Finance Charge? A prepaid finance charge is an upfront cost associated with a loan agreement or credit extension and must be paid in addition to standard loan repayment. These expenses may include fees, commissions, or administrative costs and are not part of the borrowed amount and are prepaid by the borrower
What Is Prepaid Insurance? The term prepaid insurance refers to payments that are made by individuals and businesses to their insurers in advance for insurance services or coverage. Premiums are normally paid a full year in advance, but in some cases, they may cover more than 12 months. When they aren’t used up or expired
What Is Prepaid Interest? Prepaid interest is the interest that a debtor pays before the first scheduled debt repayment. For taxation purposes, most kinds of prepaid interest are expensed over the life of the loan. For mortgage loans, prepaid interest can also be the interim interest that accrues from the settlement day to the beginning
What Is a Prepaid Tuition Program? A prepaid tuition program refers to one of two major types of 529 plans. The program allows donors to provide all or part of a student’s tuition for college or university. The amount paid is guaranteed to grow at the same rate as college tuition, regardless of its rate
What Is Prepayment? Prepayment is an accounting term for the settlement of a debt or installment loan in advance of its official due date. A prepayment may be the settlement of a bill, an operating expense, or a non-operating expense that closes an account before its due date. A prepayment may be made by an
What Is a Prepayment Model? In lending, a prepayment model is used to estimate the level of prepayments on a loan portfolio that will occur in a set period of time, given possible changes in interest rates. Prepayment is the settlement of a debt or part of a debt before its official due date. It
What Is the Prague Stock Exchange (PSE)? The Prague Stock Exchange is the oldest and most prominent stock exchange in the Czech Republic. The Prague Stock Exchange is located in the city of Prague and was reopened in 1993 after a nearly 50-year hiatus as a result of World War II during the rule of the
What Is a Pre-Approval? A pre-approval is a preliminary evaluation of a potential borrower by a lender to determine whether they can be given a pre-qualification offer. Pre-approvals are generated through relationships with credit bureaus which facilitate pre-approval analysis through soft inquiries. Pre-approval marketing can provide a potential borrower with an estimated interest rate offer
