Glossary – B2 Kapital

Debt

Filip Vidić — Wed, 07 Aug 2019 09:32:37 +0000

An obligation of a natural or legal person (debtor) to pay something (usually money) to another person (creditor).

Transfer/assignment of claims

Filip Vidić — Wed, 07 Aug 2019 09:31:25 +0000

A claim is transferred or assigned from the current creditor (assignor) to a new creditor (assignee), while the debtor and the claim remain the same. An assignment may be done based on an agreement, law or court order.

Default legal interest

Filip Vidić — Wed, 07 Aug 2019 09:29:38 +0000

Legal or default interest is a sanction imposed against a debtor who is overdue with their payment obligation. The default interest rate is set by the law or other regulations. The creditor is entitled to default interest regardless of whether it sustained any damage as a result of debtor being in arrears.

Interest

Filip Vidić — Wed, 07 Aug 2019 07:34:36 +0000

A fee for the use of replaceable, movable assets — most often money — owned by others. The interest rate is expressed as a percentage and is deemed to be the price for the money or capital payable by the borrower or debtor for using the money, capital or other replaceable assets given to them.

Creditor

Filip Vidić — Wed, 07 Aug 2019 07:33:01 +0000

The creditor is a party to a contractually binding arrangement authorized by the other party, i.e. debtor to demand surrender of assets, performance or non-performance of certain actions the debtor would normally be entitled to, or demand the debtor to give something up.