What Is Simple Interest? Simple interest is an interest charge that borrowers pay lenders for a loan. It is calculated using the principal only and does not include compounding interest. Simple interest relates not just to certain loans. It’s also the type of interest that banks pay customers on their savings accounts. The formula to
What Is a Simple Interest Bi-Weekly Mortgage? A simple interest bi-weekly mortgage is a mortgage payment plan in which the lender applies the borrower’s payments immediately toward the remaining principal balance of the mortgage. This differs from a traditional bi-weekly plan, in which the servicer of the mortgage holds the first payment received during a month until
What Is a Simple Random Sample? A simple random sample is a subset of a statistical population in which each member of the subset has an equal probability of being chosen. A simple random sample is meant to be an unbiased representation of a group. Key Takeaways A simple random sample takes a small, random
What Is a Sin Tax? A sin tax is and excise tax on specific goods and services due to their ability, or perception, to be harmful or costly to society. The tax comes at the time of purchase. Some items that often have a sin tax include tobacco products, alcohol, and gambling. Sin taxes seek to
What Is a Sin Stock? A sin stock is a publicly traded company involved in or associated with an activity that is considered unethical or immoral. Sin stocks are generally in sectors that deal directly with morally dubious actions. They are perceived as making money from exploiting human weaknesses and frailties. Key Takeaways A sin
What Is a Single Filer? Single filers are taxpayers who file their federal income tax returns with the Internal Revenue Service (IRS) under the status “single.” This filing status is used by unmarried taxpayers who don’t qualify for any other filing status. Key Takeaways Single filer status is for unmarried people who do not qualify
What Is a Single-Digit Midget? Single-digit midget is a slang term for a stock with a price that is below $10 per share after having traded at a much higher level. The term came into prominence in the early 2000s when Internet companies that had taken off in the late 1990s, called dot-coms, lost value rapidly
What Is a Single-Disbursement Lump-Sum Payment Plan? A single-disbursement lump-sum payment plan allows a borrower to receive all reverse mortgage proceeds at once when the loan closes. This means that there are no monthly disbursements or other additional proceeds later. The single-disbursement lump-sum payment plan has a fixed interest rate, unlike other reverse mortgage payment
What Is Single Entity Coverage? Single entity coverage is a type of insurance policy that covers all real property in a condominium, including both the common areas shared by all property owners as well as the individual units. Key Takeaways Single entity coverage is an insurance policy that covers both the common areas shared by
What Is Single Interest Insurance? Single interest insurance—also known as vendors single interest insurance or VSI insurance—covers the interests of one of the two parties that co-own a property. This type of insurance typically covers a portion or all of the outstanding value owed to a lender for mortgaged or leased property. Single interest insurance
