New terminology featured on its website includes sub-prime mortgages and ‘Ninja’ loans (a US term for loans to borrowers with ‘No Income, No Jobs or Assets’). Other additions include commercial paper, collateralised debt obligations and BBA LIBOR.
The glossary also explains terms associated with the Unclaimed Asset Scheme, which will allow unclaimed money in dormant bank and building society accounts to be invested in community projects, while protecting customers' rights to reclaim their money at any time.
It is a useful tool for borrowers as well as those interested in plain-English explanations for financial terms.
BBA chief executive, Angela Knight CBE, said:
“Recent events have shown how complex the financial world has become. The language can seem mind-boggling, but people’s concerns are generally simple: what does it mean for me, my mortgage, my pension or my ability to pay the bills?
“The BBA is trying to help people fight through the jargon and make sense of developments that affect us all.”
Users are invited to email suggestions of further terms they would like to see defined.
