Financial Terms Starting With F

A provider's published list of fees and charges for products and services. It should be read together with the Key Facts Statement and product terms because some fees depend on how the product is used.

The lender's formal approval after required credit, affordability, documentation, compliance, valuation and other conditions have been satisfied. A pre-approval or indicative eligibility result is not the same as final approval.

A cost charged for using credit or financing, which may include interest or profit and, depending on the context, related credit costs. Credit-card finance charges often apply to unpaid balances according to the issuer's terms.

Sanadak is the UAE's independent financial ombudsman unit for eligible complaints involving CBUAE-regulated Licensed Financial Institutions and insurance companies. Consumers generally need to complain to the institution first and wait 15 calendar days before eligible escalation.

The amount of credit or Shari'ah-compliant financing approved for the customer before repayments begin. It can differ from the cash received if fees, insurance or amounts paid directly to a seller are treated separately.

A borrower's first property claimed under the first-home or owner-occupier category for regulatory mortgage LTV purposes. The applicable maximum LTV differs by customer type and property value.

A deposit placed for an agreed period, usually in return for a stated or determinable interest or profit rate. Early withdrawal can reduce returns or trigger an early-redemption adjustment depending on the product.

An interest or profit rate that stays unchanged for the agreed fixed period. A product can be fixed for its full term or switch to a variable rate after an introductory fixed period.

A way of quoting borrowing cost by applying a stated rate to the original financed amount rather than the declining outstanding balance. It is not directly comparable with a reducing-balance rate or APR without conversion.

A legal enforcement process through which a lender may seek recovery against mortgaged property after serious default, subject to UAE law, court procedures and the financing documents.

A payment or withdrawal processed in a currency different from the card or account's billing currency. The final amount can reflect exchange conversion, card-scheme rates and applicable issuer fees.

The rate at which one currency is exchanged for another. The rate offered to a customer can include a spread or margin and may differ across banks, exchange houses, cards and transaction types.

A fee that a card issuer may charge on eligible foreign-currency or international transactions. It can apply in addition to currency conversion and should be checked in the card's Key Facts Statement or fee schedule.

Intentional deception used to obtain money, data, access or another financial benefit. Common banking risks include phishing, social engineering, account takeover, card fraud and fraudulent payment instructions.

A period allowing an eligible policyholder to review and, where permitted, cancel an insurance or takaful policy after issue or signing. In UAE regulated financial services, applicable cooling-off requirements should be checked against the product and CBUAE rules.

Payment of the total amount required to close an outstanding loan or financing facility before or at maturity. The lender may issue a settlement figure that includes principal, accrued amounts and permissible fees.

The movement of money from one account or person to another through a banking or payment system. Transfers can be domestic or international and may require an IBAN, BIC/SWIFT details or other beneficiary information.